Arctic Monkeys Respond To Tax Avoidance Claims

Arctic Monkeys have issued a statement in response to claims they were involved in an attempt to hide between AU$1 million and AU$2 million in a tax avoidance scheme. Other high-profile British participants in the scheme reportedly included actor Sir Michael Caine and George Michael.

“We would like to respond to some misleading comments concerning our financial affairs that have circulated in the press over the past few weeks,” write the band in a statement on their website. “Several years ago we were advised to make an investment that offered legitimate tax savings.”

“However, we have received no tax saving from that investment, avoided no tax and will receive no future tax benefit. We have always paid all our taxes when due and on time and are therefore not required to repay any tax,” they conclude in the missive, addressed To Whom It May Concern.

As Music Feeds reported last month, the group’s members were named amongst 1,600 people who collectively tried to hide £1.2 billion (AU$2.18 billion) in the tax avoidance scheme. According to a Times report, the members each paid between AU$69,000 and AU$152,000 in fees to the Liberty tax strategy to protect between AU$1 million and AU$2 million between 2005 and 2009.

The band declined to comment about the allegations to the paper. However, singer Katie Melua‘s lawyers told The Times she had invested in Liberty at the suggestion of her accountants, but she later repaid the sheltered tax. England’s Revenue & Customs reportedly spent more than a decade investigating the Liberty scheme, and are set to challenge its legality in court in March next year.

The allegations made against the Arctic Monkeys raised the ire of fellow UK indie favourites Bombay Bicycle Club. As Gigwise reports, frontman Jack Steadman told BBC Radio 5 Live that the scheme was “disgusting,” but said he could easily fathom how success can change a person’s outlook.

Gallery: Arctic Monkeys – Brisbane, Entertainment Centre 07/05/14

Photos by Charlyn Cameron

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