Labour MP and Shadow Chancellor of the Exchequer John McDonnell stated that if Labour wins, they would require companies with greater than £36m in turnover or more than 250 employees to file a complete tax return in order to illuminate any “sweetheart” tax avoidance deals that may be in place. McDonnell claims doing so would close tax loopholes that result in a £36bn gap between what should be paid and what is actually received by the Exchequer. The Guardian points out major corporations including Google, Vodafone and Starbucks, are rumoured to have such tax-saving deals in place.
Said McDonnell of the plan, “Labour will pour the disinfectant of sunlight on large company accounts, helping close down the loopholes and the scams that the tax dodgers rely on.”
Conservative party vice-chairman Stuart Andrew MP said in response that the government has already brought in £140bn in additional tax revenues since 2010 and suggested that the Labour initiative would “wreck the economy with higher taxes” and debt.