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The Guardian - UK
The Guardian - UK
Politics
Ben Quinn and Rowena Mason

Corbyn and Reeves among MPs who claimed accountants’ fees on expenses

Rachel Reeves in the House of Commons in June.
Rachel Reeves (centre) in the House of Commons in June. Photograph: UK Parliament/Jessica Taylor/PA

The shadow chancellor, Rachel Reeves, and former Labour leader Jeremy Corbyn were among 12 MPs who used parliamentary expenses to claim for professional accountancy advice to help with tax returns, documents show.

The expenses claims relate to the 2021-22 tax year for earnings which had to be declared under HMRC’s self assessment system.

The amounts ranged from £137.50 in the case of Reeves to £444 in the case of Luke Hall.

Invoices provided by the MPs to the Independent Parliamentary Standards Authority (Ipsa) were released under the Freedom of Information Act.

Asked why they needed help to fill out tax returns when millions of people manage without, and most other MPs do not claim expenses for that purpose, MPs responded by saying that their claims were within Ipsa rules.

The MPs and the amounts claimed were Luke Hall (£444), Matthew Pennycook (£246), Rachel Reeves (£137.50), Andrea Jenkyns (£240), Jeremy Corbyn (£250), Andrew Stephenson (£360), Emma Lewell-Buck (£252), Paul Maynard (£222), Michael Fabricant (£396), Gareth Bacon (£240), Jack Lopresti (£300), and Gill Furniss (£348).

All members of parliament receive a salary through Ipsa’s payroll and are subject to PAYE.

John O’Connell, the chief executive of the TaxPayers’ Alliance, said: “With MPs required by law to submit tax returns, some politicians have viewed this as a necessary business expense which they are justified in billing taxpayers for.

“But with many in the private sector covering the cost and effort themselves, questions will be asked about whether taxpayers should pick up the tab for MPs’ tax returns.”

Among those who responded to the Guardian, Lopresti said he was surprised to learn that MPs did not have the option to submit tax returns online when he was first elected in 2010, and had been advised to instruct an accountant.

“As this situation was as a direct result of me being a member of parliament, Ipsa treats it as a legitimate expense – as the amount claimed relates specifically to my tax return as a member of parliament,” he added.

Asked why he needed help filling out a tax return, he replied: “I receive my member of parliament salary and a salary from the Conservative party in my capacity as deputy chairman.

“I receive no other income, capital gains or dividends. I am always mindful about the use of taxpayer’s money and of course I am very happy that information relating to every penny that I have ever claimed is fully accessible online for my constituents and indeed anybody else to see.”

Andrea Jenkyns said she had been informed when she was first elected to parliament in 2015 that MPs did not have the option to submit online tax returns and had to do these via physical forms.

“Also, given the public nature of an MP’s role one would hate to make a mistake on such official forms and would much prefer to leave this to accountants who are more expert on filing tax returns,” she added.

She said she and many MPs were advised to instruct an accountant, while the amount claimed for related solely to her tax return as an MP.

“As a member of parliament – and as a taxpayer - it is vital to me and many others, that the expenses of members of parliament are transparent, and open to scrutiny, to ensure that every penny of taxpayer’s money is a penny well spent.”

Gareth Bacon said the claim related to income earned in relation to his parliamentary duties and was submitted and approved in full accordance with Ipsa rules.

The other MPs had not responded on the record by the time of publication.

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