An accounting firm in London has become involved in the tax row between the two main candidates for the job of London mayor.
Boris Johnson and rival Ken Livingstone clashed on a LBC radio broadcast recently, when the current incumbent was accused of tax avoidance. Livingstone claimed Mr Johnson avoided paying income tax by channelling his earnings through a company structure.
After the attack on his client’s character, the mayor’s accountant, Robert Maples, sent a letter to the Evening Standard stating that Boris Johnson does not indulge in tax avoidance. His entire income is subject to income tax, he is not involved in tax avoidance schemes and he does not transfer income to other family members, Maples explained in his letter.
The letter went on to say that the London mayor had a shareholding in a TV production company that he gave up in 2008 and all the income from that holding was declared on his tax return.
Mr Livingstone made his accusations against Johnson after details emerged that his tax affairs were not necessarily as they should be. After the radio debate, the two parties agreed to stop attacking each other’s business affairs in public.