Richard Murphy

Tim W's favourite accountant, Richard Murphy, wonders what the fuss is about Aberdeen Asset Management's rumoured departure from these shores.

Guess what? Here we have another company threatening to leave the UK that is not only not paying UK tax in 2007, it’s such a seasoned UK tax avoider that it’s downgraded its previously stated UK tax liabilities by £7.8 billion in two years.

Michael Meacher refers to our Dicky as one of the UK's foremost tax experts. Its a pity then that Mr Murphy has such trouble telling the difference between millions and billions. This is probably the same affliction from which Gordon Brown suffers.

Richard's argument is a bit dicky too (it always is). Why should their 2007 tax bill be the criterion used? What happened in 2006? Well, the comparative figures show that last time round they had a tax charge of nearly ten million and, adjustments aside, that's not an inconsiderable sum. And never mind the charge - what did they actually hand over in cash in 2007? The answer, according to the cashflow statement, is £9.7m and the year before that £6.7m.

So in simple cash terms, a company which has handed over £16.4m in cash in the last two years is, according to our Dicky, "contributing little or nothing".

You can see why they'd want to leave, can't you?