Group of 83 super-rich individuals call for wealth tax
Miles Dean, Head of International Tax, comments in Citywire Wealth Manager in relation to news that a group of wealthy individuals have published a letter calling for a wealth tax to fund Covid-19 recovery.
Miles’ comments were published in Citywire Wealth Manager, 13 July 2020, and can be found here.
“Eighty three of the world’s richest people have called for tax increases on them and the wealthy elite to help economies recover from the Covid-19 crisis.
In an open letter, the group warned the crisis could last for decades and force some 500 million people into poverty.
Andersen UK head of international tax, Miles Dean, said it was ‘commendable’ that a group of the super rich are crying out to pay more tax.
However, he said that paying more tax is not the answer to the economic consequences caused by Covid.
‘Some might argue the signees are hypocritical and should state, for the record, what steps they have taken over the past 10 years to reduce their tax bill,’ Dean highlighted.
‘[Or] in the case of those that have inherited mass fortunes, the steps that their relatives took to ensure as little tax was paid when passing down their wealth. Because that’s what will, without doubt, have happened.’
He added: ‘Very few people enjoy paying tax and the idea that these very same people would be happy for their government to tax them more and then some is the stuff of fantasy.’”