One of the Tory party’s biggest donors has been ordered to pay back millions of pounds in tax after a judge ruled against an offshore scheme he had used to slash his bills.
The judge said a Guernsey-based trust set up by hedge fund boss George Robinson, one of the City’s highest-paid financiers, was ‘cosmetic’ and told him and three colleagues to pay the taxman £13million.
Mr Robinson, who is facing a personal bill of more than £2million, used an arrangement favoured by top footballers and City banks such as Goldman Sachs after being advised it could help him avoid tax.
But Revenue & Customs challenged the offshore arrangements, and now a tax tribunal has ruled in its favour. This will embarrass David Cameron, who has called aggressive tax-dodging ‘morally wrong’.
Labour Shadow Cabinet member Michael Dugher said: ‘This revelation about yet another tax-dodging Tory shows once again David Cameron’s talent for getting close to the wrong people.’
Mr Robinson has given large sums to the Tories, including £50,000 last October and £10,000 in January, and is also a trustee of Mr Cameron’s favourite think-tank, Policy Exchange.
He is entitled to be a member of the Prime Minister’s ‘Leaders Club’ for those who give more than £50,000 each year. Members can attend lunches to discuss issues with Mr Cameron and other senior Tories.
Mr Robinson, whose Sloane Robinson hedge fund is one of the most successful in the City, is said to be worth £220million.
The fund set up a Guernsey trust in 2004 after being advised it could avoid paying £3.3million in National Insurance contributions due on performance-related bonuses worth £24million for him and three other senior partners.
Story from the Daily Mail at http://www.dailymail.co.uk/news/article-2177062/George-Robinson-Major-Tory-donor-forced-repay-2million-investing-tax-dodge-scheme