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‘Dodgy Dave’s cuts harming tax fight’

Corbyn takes a swipe at government slash to HMRC budget

“DODGY” David Cameron was caught fiddling the figures over how much the government spends fighting tax avoidance yesterday — and has still not published his tax return.

In the wake of the Panama Papers scandal, Jeremy Corbyn demanded to know why the government is cutting funding for HM Revenue and Customs — Britain’s tax investigation agency — by £400 million.

“The Panama Papers exposed the scandalous situation where wealthy individuals seemed to believe that corporation tax and other taxes are optional,” said the Labour leader.

“When Her Majesty’s Revenue and Customs says that the tax gap is £34 billion, why is the Prime Minister cutting HMRC staff by 20 per cent and shutting down tax offices, losing the expertise of the people who could close that tax gap?”

The Prime Minister claimed that the government had committed an extra £800m to HMRC to “fund additional work to tackle tax evasion.”

“HMRC is taking very strong action, backed by this government, backed by the Chancellor and legislated for by this House,” he insisted.

But Mr Corbyn pointed to the government’s own Budget document which shows that spending on HMRC will fall from £3.3bn to £2.9bn by 2020.

And the PCS union said the government has cut 14,000 staff and is planning to close almost all of HMRC’s 170 tax offices.

Mr Cameron “is not cutting tax abuse; he is cutting down on tax collectors,” stormed Mr Corbyn.

Mr Cameron, as he does so regularly under pressure, sought refuge in a cheap jibe for his chortling backbenchers.

He said the tax return published by Mr Corbyn this week was a “a metaphor for Labour policy: it was late, it was chaotic, it was inaccurate and it was un-costed.”

However Mr Corbyn pointed out it showed that he had actually overpaid, making a “generous donation to HMRC.”

A Labour spokesman later added: “The bigger question is: when is the PM going to publish his tax return? Still no sign of that. Still no sign of the Chancellor’s.

“Both Jeremy and John (McDonnell) have published theirs. I think it would be nice to see tax returns from the two leading figures in the government.”

A PCS spokesman said: “People will not be fooled by warm words from the Tories who rely on big-money donations from people implicated in the Panama Papers, and we will not tolerate it. There needs to be action to strengthen HMRC and close down the loopholes and the tax havens.”

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