Dec 22

This is why Boris Johnson might go to jail

“Now what on earth has London Mayor Boris Johnson done to deserve jail?” You might be wondering.

Well, the mayor – who was born in New York and holds a U.S passport – is being chased by U.S authorities to stump up cash towards American capital gains tax on an Islington home he sold for £1.2m in 2009.

If Boris does not pay tax, he’s breaching U.S. tax law  which requires all citizens, including those with dual citizenship like Boris, to file a tax return and pay U.S. taxes.

On being asked whether he intends to pay the bill, Boris told the National Public Radio in the US recently: “I think it’s outrageous.

“Well, I’m – no is the answer. Why should I? I haven’t lived in the United States for, you know, well, since I was five years old.

“I could but I pay – I pay the lion’s share of my tax, I pay my taxes to the full in the United Kingdom where I live and work.”

Mark Sher, a US tax specialist at American private wealth manager Maseco, told City A.M.: “He’s a citizen with a US passport, and therefore must pay US taxes. The possibility of him going to jail is minimal, because he’ll probably end up paying the tax. But if he doesn’t, jail becomes a very distinct reality.”