Anneliese has today welcomed the announcement that the next Labour government will scrap the non-dom tax status.
Non-domiciled tax status allows some of the wealthiest residents of the UK to limit the amount of tax they pay on the money they earn outside the UK. This is done by defining their permanent home as being outside of the UK, meaning that they do not pay UK tax on their income from outside of the UK.
Anneliese said: “I’m really glad that Ed Miliband has today said he will abolish the non-dom tax status, as it’s unfair that some of the richest people in our society can get away with paying less tax due to this legal loophole. Getting rid of the non-dom tax status shows that Labour will act to tackle tax evasion and aggressive tax avoidance – something that I am already doing in the European Parliament.
“Since being elected last year, I have made it a priority to push for more action on tax evasion and aggressive tax avoidance, and have been appointed as the lead for the Socialists and Democrats group within the European Parliament on a report looking into tax justice. We have already made progress, including the announcement by the European Commission of a tax transparency package, but there is much more to do –we need country by country recording of profits by multinational companies. Neither businesses nor individuals should be able to get away with paying less than their fair share of tax, which is why Labour has made tacking this a real priority.”