Saturday, 21 May 2011

Danny Alexander Liberal Democrat MP for Inverness, Nairn, Badenoch and Strathspey Chief Secretary, HM Treasury (since 29 May 2010)

Total repayment recommended: £290.82
Total repayments received since April 1 2009: £512.92
Balance recommended to be repaid: £0.00

Capital gains tax controversy

Two days after being appointed to his new position, the Daily Telegraph newspaper published front-page allegations that Alexander had exploited a legal loophole to avoid the payment of capital gains tax on a property he had sold in 2007 alleging that he had profited from a "morally dubious" loophole to avoid paying capital gains tax. Just a few days earlier, the same newspaper had caused the resignation of Alexander's predecessor David Laws after finding irregularities in his expenses claims. The paper suggested that "the fact that Mr Alexander has become the second Lib Dem to face questions about his finances within three days has focused attention on whether the party leadership has properly audited the financial activities of its senior figures".
Alexander had bought the property in question, a London flat, in 1999 and, after being elected to parliament for a Scottish constituency in 2005, designated the property as his "second home" whilst claiming that his first home was now in his constituency, the property was then sold in 2007 for a profit on which he paid no capital gains tax. As the property was the only one he owned however, up until 2006, HM Revenue and Customs rules meant that capital gains tax was not payable as should someone find a buyer for their home within three years the property qualifies for relief from [capital gains tax] as long as the property has been the only or main home at some point. Speaking at the time Alexander said "I have always listed London as my second home on the basis set out in the parliamentary rules as I spent more time in Scotland than I did in London." The Daily Telegraph itself claimed that "there is no suggestion that Mr Alexander has actually broken any tax laws".


Figures in brackets are ranks.Data from (source). Read 2004/05 – 2008/09 and 1st quarter 2009/10 receipts.
Type2008/09 (ranking out of 647)2007/08 (ranking out of 645)2006/07 (ranking out of 645)2005/062004/052003/042002/032001/02
Staying away from main home£21,980 (201st) £23,083 (joint 1st with 142 others) £17,723 (453rd) £16,425
London costs£0 £0 £0 £0
Office running costs£22,878 (90th) £20,971 (179th) £34,965 (1st) £28,057
Staffing costs£89,951 (450th) £81,712 (503rd) £75,229 (555th) £60,412
Communications Allowance£15,684 (22nd) £11,798 (54th) N/A N/A N/A N/A N/A N/A
Members' Travel£23,356 (10th)1 £21,594 (13th)2 £24,499 (5th)3 £21,428
Members' Staff Travel£1,137 (67th) £1,058 (96th) £1,201 (102nd) £1,964
Members' Spouse Travel£7,316 (1st) £3,669 (19th) N/A N/A N/A N/A N/A N/A
Members' Family Travel£1,141 (16th) £93 (joint 87th with 1 other) N/A N/A N/A N/A N/A N/A
Centrally Purchased Stationery£4,183 (247th) £950 (243rd) £505 (530th) £1,048
Stationery: Associated Postage Costs£2,548 (288th) £2,101 (400th) £2,478 N/A N/A N/A N/A
Centrally Provided Computer Equipment £1,002 (576th) £930 (joint 523rd with 22 others) £930
Other Costs£0 £0 £0 £0
Total£187,625 (4th) £168,478 (22nd) £157,153 (34th) £132,742
1 Regular journeys between home/constituency/Westminster: Mileage £3,573 (216th). Rail £3,818 (245th). Air £14,335 (14th). Misc £1,630 (12th).
2 Regular journeys between home/constituency/Westminster: Mileage £3,322 (269th). Rail £2,180 (342nd). Air £14,581 (12th). Misc £988 (33rd). Other: Rail £523 (43rd).
3 Car £5,407 (119th). 3rd party £5 (62nd). Rail £1,841 (348th). Air £16,516 (7th). European £730 (63rd).

No comments:

Post a Comment