And it all comes tumbling down. The establishments house of cards is collapsing one card at a time, and this calls for real change amongst the political and financial class, and for a crackdown on both legal and illegal tax avoidance and evasion. The Panama Papers leak, looking out to be the biggest leak in history, has named hundreds of companies and powerful, elite figures who have been laundering money and avoiding global tax through a tax and investment company, Mossak Fonsenca based in Panama.
The leak has named figures such as David Cameron’s father, Ian Cameron who had set up an offshore fund through the company which allowed him to get away with never paying UK tax. Russian president, Vladimir Putin has also been caught up in the leak, which to be perfectly honest is no surprise. The leak has taken its first victim, Icelandic Prime Minister Sigmunder David Gunnlaugsson who has resigned over his families dodgy tax status which the leak revealed.
So what do these papers actually tell us? Well to be honest all we need is questions answered. We all know that corruption is rife within the modern elite world but we pay little attention to it because it doesn’t actually have an extensive effect on our daily lives but actually if we dig a little bit deeper, our awfully unequal tax system actually does have a huge impact on our living.
The basis of any tax is to fairly collect a proportion of people’s or corporate money, based on how much they earn and to distribute it into the budgets of our beloved public services, like the NHS, education, the welfare state and our emergency services, and for this to work to its fullest, everyone has to pay their fair share. So for these leaks to provide evidence that hundreds of corporations and even our prime ministers family have been avoiding paying tax, that they can afford to pay, when from 2013-14 nearly 3 million people were summoned to court for small levels of unpaid council tax. It is corrupt, it is unfair and to be frank it is shameful.
In my view, corporation tax is already too small and the 45p top rate of tax is ridiculously low. This isn’t a case of people not paying because they can’t. This is rich, powerful and elite figures and big, multi-billion pound corporations who are avoiding and evading the minute amounts of tax that they are required to pay by the Exchequer.
What the Panama papers show us above all, is that we desperately need change. If tax was fairly payed by everyone in this country, the NHS wouldn’t be in such a dire situation and our national steal industry would be running smoothly as it rightly should be. But unfortunately things will not change under this conservative government.
Cameron, Osborne and many of the top Tory ministers are not ready to recognise the needs of the working class and those in our society who cannot help themselves, they are in it for the money and our money that they can give away to their rich buddies. Everyone should pay tax, but should be paying it based on how much they earn. It is simple and it is fair. End of.