COMMENT For the second time in a month – on capital gains tax and now on non-domiciled residents – Alistair Darling, chancellor, has beaten an embarrassing retreat after a fierce offensive led by wealthy individuals in the City. One U-turn was unfortunate; two suggests serious incompetence. Both operations were badly botched. But the generous tax treatment of non-doms is still a scandal requiring action.
Ordinary taxpayers are angry that rich people can use loopholes and expensive lawyers to avoid paying tax at up to 40 per cent like the rest of us. For a millionaire, 40 per cent is not a penal rate.
