GENERAL ANTI TAX AVOIDANCE PRINCIPLE

Motion Text

That this House notes and shares the public opposition to tax avoidance schemes like K2; believes that the Government should introduce a General Anti-Avoidance Principle to tackle tax avoidance, rather than a narrowly focused General Anti-Abuse Rule; further believes that unlike a narrow rule, a principle cannot be broken or circumvented by corporate lawyers or tax avoidance advisers; further believes that a principle, underpinned by a sensibly-financed HM Revenue and Customs (HMRC) clearance system, would be attractive to both businesses and HMRC, by creating a level playing field for all businesses so that all pay their fair share, whilst bringing in tax revenue to HMRCthat would otherwise go unpaid; and therefore calls on the Government to legislate for a principle that any financial arrangements made by a company or individual should not have as their primary purposethe avoidance of tax.