Proposed change to the tax system, 30% rate for all....

elmarko1234 said:
A proposal by the tax payers alliance & a group of CEO's.

Now... call me cynical...

But perhaps (just maybe) this is an attempt to get those at the top (Who already yield the greatest benefits of society) to pay even less to sustain it.

According to the first figures, it could cost £50billion PA in lost tax - increasing the deficit significantly, then you have to take it on faith that it would yield economic growth (which I highly doubt as the spending power of the public, IE the people who buy the goods, would be stretched even further).

I'll leave to floor to people who will personally benefit from this to try to justify yet another tax cut for the top few percent at the expense of wider society.
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It is a way of simplifying things so that people build wealth and keep it in the country.
 
MooMoo444 said:
lol, but seriously, this kind of tax system just makes the poor poorer and the rich richer.
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Not at all.
The current basic rate of tax is 20% and National insurance is 12%, so 32% in total. The proposed system would be 30% tax and 0% National insurance, so they would be slightly better off.
 
Spit said:
It is a way of simplifying things so that people build wealth and keep it in the country.
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Exactly, plus a flat rate makes tax avoidance a let loss attractive for those who do earn a pretty large sum.

Also the increase to a £10k personal allowance makes a pretty big difference to what most people take home at the end of the day, my guess is that it would outweigh the increase in percentage rates for a large number of people.
 
This change would see my net pay go up around £120 a month. How much county tax erodes in to that is an unquantifiable thing though.
 
Leo101b said:
Exactly, plus a flat rate makes tax avoidance a let loss attractive for those who do earn a pretty large sum.

Also the increase to a £10k personal allowance makes a pretty big difference to what most people take home at the end of the day, my guess is that it would outweigh the increase in percentage rates for a large number of people.
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Except over the next few years it's going to be increased to £10k...by 2015 I believe at the current tax rates...so yeah it makes a big difference but a bigger difference if the rates stay the same, if they change it just limits the impact somewhat.
 
the left will never agree or like it as this kind of system is not suited to punitively punishing the high earners as its all their fault we are in financial meltdown.

People love to see high earners get taxed to the hilt, in their eyes its justice. Personally I see it as envy. I am not a particularly high earner, but I also see zero benefit from loading more taxation on to the successful, it simply drives them out of the UK and to some where else. Net result is our loss as good innovators and business drivers leave the country in droves, leaving us likely in a worse position financially simply due to governments wanting to appease the jealous peasants.
 
wildman said:
the left will never agree or like it as this kind of system is not suited to punitively punishing the high earners as its all their fault we are in financial meltdown.
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Who exactly do you think caused the financial meltdown?, the people who own 15% of the total wealth or those who own 85%?.
 
yhack said:
25% emergency tax rapes low earners while they have it. 30% all the time? **** that.
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30 % without NI. If you do the maths you are better off

e.g someone on 25K per year will this year receive the following

Net Wage £19,362.36

Now if the tax free allowance was 10K and the tax rate was 30% flat they would get taxed @30% on 15k and get 10K without any tax or NI. This results in a net wage per year of 20500.

So lowish earners would be better off at the falt 30 with no NI and a 10K allowance
 
Well if poor earners are supposedly 'better off', and the high earners are massively better off, how will this work in any way?
 
elmarko1234 said:
Who exactly do you think caused the financial meltdown?, the people who own 15% of the total wealth or those who own 85%?.
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It certainly wasn;t the average middle earner on 40 to 60K who is currently being raped while the benefit scum get a free ride on his hard work thats for sure.

Needless to say punitively punishing the successful because they are well successful and made a nice ammount of wealth is not productive. Keep telling yhourself it is and then see where this country is in 15 years time when every last champion of innovation and entrepreneur packs up and goes somewhere else.

The leftists of this world really shock me with their lack of future vision almost as much as the rightists shock me with their complete lack of maths skills when it comes to adding up budgets
 
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