Hypocrites the world over, turns out Labour are tax dodgers too

Labour politicians and organisation are hypocrites the world over. While they attack multi-national corporates for not paying tax and use silly measures like trying to calculate tax on revenue rather than profit, they have been using the exact same tax structures to benefit themselves by paying no tax either.

A property company run by the Labour Party has paid no tax in eight years, despite earning millions of pounds in rental revenues, the Daily Telegraph can reveal.

Labour Party Properties Limited (LPPL), which owns a £6.3m portfolio of properties, has paid no corporation tax since 2003.

In those eight years the company has received a total of £8.7m in rents but declared losses of £279,000.

A Labour Party spokesman said the firm had done nothing to intentionally cut its tax bill.

Ed Miliband has repeatedly accused multi-national companies such as Starbucks and Google of failing to pay their full share of tax. 

The latest accounts show LPPL, which is wholly owned by the Labour Party and whose directors include Iain McNicol, the Labour Party general secretary, received £1,189,000 in rent from 21 properties in 2011. Around forty per cent of the portfolio, worth £2.5m, is rented on the open market, while the other buildings are leased to local parties as offices and social clubs.

After property expenses, LPPL recorded a gross profit of £49,000. But “administrative expenses” of £305,000, including legal and professional bills, left it with a loss before tax of £256,000. No tax was paid. Reporting the loss, the accounts said: “The directors consider the state of affairs to be satisfactory”.

In 2010, the company declared a £4,000 loss after receiving rents of £1.16m. Administrative costs came to £241,000.

The company last paid tax in 2003, when its bill was £22,000. It recorded profits in 2006 and 2009, but did not pay any tax in those years thanks to carried-forward losses.

 


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  • Mr Sackunkrak

    And here we have Labour and the Greens with property held by their trusts to rent out to Parliamentary Services to house their own bottom feeding MPs. Not illegal, but never ones to miss a trick. Whereas the rest of us just fund the money-go-round.

  • Macca

    Do as we say, not as we do – nothing to see here, move along thank you!

  • Sea Bear

    Wonder if Owl will investigate on NZ behalf on NZ Labour and NZ greens tax payments??

  • Alman

    and the message to the rest of us………… why are we so dumb to pay any taxes???

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