Tice £91,000 Tax Dispute Labeled ‘Minor Administrative Oversight’ by Reform UK

Reform UK has described a tax dispute involving its deputy leader Richard Tice’s property firm as a “minor administrative oversight,” according to the party’s latest statement. The issue centers on a £91,000 shortfall in tax payments by Tice’s company before distributing dividends to him and his Jersey-based trust, as revealed by the Sunday Times.

Property Company’s Tax Handling Sparks Debate

The Sunday Times reported that Tice’s firm, Quidnet REIT Limited, which invests in real estate, failed to remit the required 20% levy on its dividends prior to transferring profits to him and his offshore trust. This discrepancy has drawn criticism from Labour, who labeled the situation a “major scandal” undermining Tice’s “integrity and credibility.”

“This is a major scandal which goes to the heart of Richard Tice’s integrity and credibility. Reform cannot ignore it,” said a Labour spokesperson.

Reform UK Defends Tice’s Tax Actions

Richard Tice, through Reform UK’s home affairs spokesperson Zia Yusuf, argued that the issue was a “technicality.” Yusuf emphasized that any tax not covered by the company would have been compensated by Tice personally via income tax, stating, “So it does look like HMRC netted off in the same way.”

“Any tax that would have not been paid or underpaid by the company paying the dividend… would then have been overpaid by Richard himself in the form of income tax,” Yusuf remarked.

HMRC Remains Neutral on Investigation

A representative from HMRC stated, “We neither confirm nor deny investigations and we cannot comment on identifiable individuals,” when asked about the matter. This response leaves room for ambiguity, while Tice highlighted that the overall tax due was fulfilled, calling the reporting “effectively complaining I paid too much tax rather than [my] company pay some tax on my behalf.”

Labour Pushes for Further Scrutiny

Labour’s chair Anna Turley recently directed HMRC to examine Tice’s tax affairs after the Sunday Times highlighted the company’s potential avoidance of nearly £600,000 in corporation tax. The inquiry follows Tice’s claim that his firm adhered to UK laws, asserting there was “no obligation” to remit the highest possible tax.

Press Conference Highlights Controversy

At a Westminster press conference, Tice questioned whether taxpayers would willingly pay more than required, stating, “How many friends of yours would voluntarily choose to pay more tax than they are legally obliged to do?” He argued that the “idea of paying the maximum tax” could harm the UK economy.

Quidnet REIT Limited, the company at the center of the controversy, is described as a UK-based entity that “paid UK tax in accordance with UK laws,” Tice added during the event.