Non-dom Ashcroft owes Britain £100m in taxes, says Vince Cable - News - Evening Standard
       

Non-dom Ashcroft owes Britain £100m in taxes, says Vince Cable

Tory tycoon Lord Ashcroft was accused of owing Britain £100million in taxes today as the row over his finances continued to dog the Conservatives.

Liberal Democrat Treasury spokesman Vince Cable used Parliamentary privilege to make the allegation about the Conservative Party deputy chairman in the Commons.

Minutes before, David Cameron tried to draw a line under the controversy by pointing out that Lord Ashcroft's £4.5 million in donations to the Tories was a fraction of the party's total gifts.

But shadow foreign secretary William Hague faced fresh questions over his links to Lord Ashcroft as the issue dominated Prime Minister's Question time.

The peer, who has had business interests in Belize, reignited the row this week when he confirmed he was a "non-dom" and had not paid full British taxes.

He pledged to start doing so after the election. Mr Cable said he told ministers "several weeks ago" Lord Ashcroft had spent years not paying UK taxes.

Non-doms can live in the UK but do not have to pay tax on overseas income.

As part of a deal to gain his peerage, Lord Ashcroft gave a commitment in 2000 to move his affairs to Britain, telling then Tory leader Mr Hague he would live "permanently" in the UK.

But critics claim he has spent the last 10 years as a "non-dom" failing to pay full taxes.

"This has been confirmed, and it has been confirmed that he avoided approximately £100 million of tax while serving in Parliament," Mr Cable told MPs.

Mr Cable said the Government had adopted a Tory proposal for a "poll tax" on non-doms which hit low-income expatriates but would be "a pathetic flea bite to seriously rich fatcats like Lord Ashcroft".

Commons leader Harriet Harman said: "The country had been misled into believing that he was complying with his assurances."

Ms Harman added: "It is evident that the Tory party is for sale but Britain is not."

Earlier, on talkSPORT radio, Mr Cameron insisted the issue had been "dealt with".

He pointed out that the Tories had pledged to levy an annual charge on all non-doms.

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