UK Labour MP and arch-critic of the Isle of Man Dame Margaret Hodge has made an unsubstantiated dig at the island’s tax policy.

She went on Twitter to claim that ’in the run up to the local elections, Boris Johnson used a private jet to hop around the country.

’The private jet he used is registered in the Isle of Man.

’The super-rich have long used this tax haven to deliberately avoid paying any VAT on their jets.’

She made her allegation even though the island has a clean sheet over its VAT treatment on imported jets.

In 2019 an investigation by UK Treasury found no evidence of VAT avoidance.

HM Treasury said at the time: ’The Isle of Man Government has correctly implemented and administered UK and EU VAT law for aircraft and yachts.’

In another tweet Hodge, MP for Barking in London, says: ’Our Prime Minister has surrounded himself with super-rich Tory donors who may be avoiding tax and spoiling him with jets and lavish gifts.

’Just what political favours do they expect in return?’

Replying on Twitter Michael Josem, of the newly-launched Manx Taxpayers’ Alliance, writes: ’It is a shame that a Westminster MP tries to deceive her constituents about the Isle of Man like this.

’The Isle of Man has the same relevant rules as the United Kingdom, and correctly applies the UK law on this issue. She should stop deceiving her constituents.’

At the time the island was cleared of any wrong-doing over VAT the Chief Minister Howard Quayle said: ’We have always maintained that the Isle of Man government followed the same UK and EU laws in relation to the importation of yachts and aircraft.’

The review was carried out by HM Treasury following a series of allegations of VAT avoidance in late 2017 that emerged following the Paradise Papers expose.

It was alleged that aircraft were being used for leisure by owners who then falsely claimed their plane was being used for business purposes in order to claim the VAT back.

The Manx government invited HM Treasury to carry out the review of its VAT rules and procedures regarding aircraft and yacht importations.