Hamilton and Button tax avoidance
Discussion
Had a discussion with a few friends last night (none F1 fans) who were so anti Hamilton/Button because of the tax status they hold, argument was they have had the benefit of British schools/nhs etc while growing up but as soon as they had become successful and rich they turn their backs on the UK choosing to live in tax exiles overseas
I suppose my friends have a point?
I suppose my friends have a point?
Turn their backs, or simply arrange their tax affairs to their own advantage? Tomato/tomato thing, isn't it?
They are odd things, individuals with significant global income, so why should the UK get the foreign income taxation? Schools, great, how did that contribute to their career (I'm guessing not much, having not seen a Motorsport GCSE). NHS, so what, their parents paid tax and NI, that's what it is for.
They are odd things, individuals with significant global income, so why should the UK get the foreign income taxation? Schools, great, how did that contribute to their career (I'm guessing not much, having not seen a Motorsport GCSE). NHS, so what, their parents paid tax and NI, that's what it is for.
It's a complete non-issue.
Put yourself in their shoes. You've got 10's of millions and the UK tax man wants a huge slice of that.
or.....
You can live in another country making yourself resident there and the tax man there will want less. And it's sunnier. And there are nicer cars. And it's more glitzy. And they host a GP on their own streets.
I would do exactly the same, as I'm sure you would too.
Not only that, the b
d UK government will try and take every penny it can in inheritance tax on items it's already taxed. A screwed up rule in any country if ever I heard of one.
Compare between Monte Carlo and the UK:
Assets located in Monaco are subject to the following inheritance tax rates :
in direct line of descendance : 0%
between brothers and sisters : 8%
between uncles and nephews : 10%
between relatives : 13%
between non-relatives : 16%
while in the UK:
Your estate will owe tax at 40% on anything above the £325,000 inheritance tax threshold when you die (or 36% if you leave at least 10% to a charity).
In three words. fk that st.
Put yourself in their shoes. You've got 10's of millions and the UK tax man wants a huge slice of that.
or.....
You can live in another country making yourself resident there and the tax man there will want less. And it's sunnier. And there are nicer cars. And it's more glitzy. And they host a GP on their own streets.
I would do exactly the same, as I'm sure you would too.
Not only that, the b
d UK government will try and take every penny it can in inheritance tax on items it's already taxed. A screwed up rule in any country if ever I heard of one.Compare between Monte Carlo and the UK:
Assets located in Monaco are subject to the following inheritance tax rates :
in direct line of descendance : 0%
between brothers and sisters : 8%
between uncles and nephews : 10%
between relatives : 13%
between non-relatives : 16%
while in the UK:
Your estate will owe tax at 40% on anything above the £325,000 inheritance tax threshold when you die (or 36% if you leave at least 10% to a charity).
In three words. f
k that st.No issues with Hamilton or Button but Paula Radcliffe is one I do, she has enjoyed her tax free millionaire lifestyle in Monaco for years all while receiving Lottery Funding which only ended back in 2012 despite doing fk all since 2005. The same now goes for Mo Farah but at least he actually wins stuff.
k all since 2005. The same now goes for Mo Farah but at least he actually wins stuff.
I believe they both pay quite a bit of UK tax on the income they generate here, it's all horribly complex of course, but at least some of their income goes to HMRC.
Plus there's the indirect revenue, Sky pays tax here, McLaren and Mercedes pay tax here, plus the VAT on all the merchandise - it's probably fair to say they're net contributors.
F1 in general is a huge income driver for 'UK Plc' and it's stars like Hamilton and Button that push that, if we were 22 guys you'd never heard of, or cared about racing every other weekend it wouldn't be nearly a popular.
Plus there's the indirect revenue, Sky pays tax here, McLaren and Mercedes pay tax here, plus the VAT on all the merchandise - it's probably fair to say they're net contributors.
F1 in general is a huge income driver for 'UK Plc' and it's stars like Hamilton and Button that push that, if we were 22 guys you'd never heard of, or cared about racing every other weekend it wouldn't be nearly a popular.
P-Jay said:
I believe they both pay quite a bit of UK tax on the income they generate here, it's all horribly complex of course, but at least some of their income goes to HMRC.
Plus there's the indirect revenue, Sky pays tax here, McLaren and Mercedes pay tax here, plus the VAT on all the merchandise - it's probably fair to say they're net contributors.
F1 in general is a huge income driver for 'UK Plc' and it's stars like Hamilton and Button that push that, if we were 22 guys you'd never heard of, or cared about racing every other weekend it wouldn't be nearly a popular.
I may be wrong, but I recall reading somewhere that when driving at different circuits they are working in different countries. Therefore, they are taxed for the work they do in the country they are in. This means that they could be paying tax everywhere.Plus there's the indirect revenue, Sky pays tax here, McLaren and Mercedes pay tax here, plus the VAT on all the merchandise - it's probably fair to say they're net contributors.
F1 in general is a huge income driver for 'UK Plc' and it's stars like Hamilton and Button that push that, if we were 22 guys you'd never heard of, or cared about racing every other weekend it wouldn't be nearly a popular.
Does this sound right?
jogon said:
No issues with Hamilton or Button but Paula Radcliffe is one I do, she has enjoyed her tax free millionaire lifestyle in Monaco for years all while receiving Lottery Funding which only ended back in 2012 despite doing fk all since 2005. The same now goes for Mo Farah but at least he actually wins stuff.
Paula Radcliffe? She's got to be living in the Monaco slums. If I saw her there I'd think she was on holiday. k all since 2005. The same now goes for Mo Farah but at least he actually wins stuff.Gassing Station | Formula 1 | Top of Page | What's New | My Stuff