'Fantasy Chancellor' poll discussion

Former_MSE_Lawrence

Fantasy Chancellor

Poll Started 22 March 2011:

It's budget week, so we'd like to ask which taxes would bear the brunt of the raises if you were standing in George Osborne's shoes?

You must pick at least one, and at most five (note this is far more to gauge attitudes to different taxes than practical revenue-raising choices)

Fuel – ie petrol or diesel
Wine
Beer
Spirits
Cigarettes
Stamp Duty – when buying houses
Tax on unearned income (savings interest, dividends etc)
Inheritance tax
VAT
Vehicle tax
Corporation tax
Capital gains tax
Income tax basic rate 20%
Income tax higher rate 40%
Income tax top rate 50%
National Insurance – rate that employees pay
National Insurance – rate that employers pay

Please vote here, or click 'post reply' to discuss below. Thanks

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Gordon_the_Moron

I think alcohol should be listed as one option rather than 3, if you vote for one you should vote for them all, I would have but ended up voting for none or I'd have voted more than 5.

dillydilly

Gordon_the_Moron wrote: »

I think alcohol should be listed as one option rather than 3, if you vote for one you should vote for them all, I would have but ended up voting for none or I'd have voted more than 5.

doesn't that assume all three are equally taxed ? The taxation on beer is far higher per litre than the tax on wine and spirits, yet the strength of Wine (12% abv) and Spirits (40% abv) is far more damaging to the liver than beer (4-5% abv). Far from increasing tax on Beer I would suggest the taxation structure and rules on advertising should be adjusted to encourage the benefits of lower abv beers. Gordon - <slap> (sound of large trout hitting legs...)

Interesting that many of those with higher votes are towards the wealthy, yet Inheritance Tax gets few votes. Isn't it the case that only 5% of estates actually trigger any inheritance tax charge, with those estates giving £650k (assuming married couple rate) to people who really don't need it, but helps keep them in black range rovers and private villa holidays... remember the 40% tax is only paid on the amount over £650k - that's a lot of tax free wodge

bruirn

teddyco wrote: »

How about an option in the poll: 'none of the above - More government spending cuts and LOWER taxes'.

Even though I work in the private sector I'm not sure I'd like to see yet more public spending cuts. The public sector has been squeezed so much already that I can definitely hear the pips squeeking.

AlanM

Corporation Tax seems to be quite popular as well, however a lower rate of Corporation Tax brings in more revenue as more companies would bring their income here if it were lower. As it is lots of companies have moved their income elsewhere to benefit from lower rates. e.g. Boots taking their profits to Netherlands.

icklepeach

I voted for corporation tax because of things like this http://www.guardian.co.uk/commentisfree/2011/feb/07/tax-city-heist-of-century

I think big business (like Big Money People) are making a lot of money by dodging the maximum amount of tax in the most creative of ways. I can see that small - medium sized companies would benefits from lower corp taxes and would support that, but a small increase in the biggest companies could make a big difference if you see what I mean? like the 50% tax band.

kelloggs36

I would like to see an even higher income tax band of 60% for those earning over £200k per year, and a closure of all the tax loopholes for the super rich who pay much less tax as a % of their income whilst the rest of us have to make cuts. They may have to have less champagne but they won't be at risk from losing their homes from taking home a bit less money.

Paul_Herring

National Insurance – rate that employees pay
National Insurance – rate that employers pay

I'm failing to see the difference between these two. Employees ultimately bear the brunt of both combined.

i.e. if "Employer NI" goes up, then employers arrange things such that the increase comes out of lower pay rises/new employee salaries.

And much like teddyco above - I'd have liked to see an option for "none of the above, start cutting taxes."

This poll won't be getting a vote from me.

rickbonar

I think most of us agree on cigarettes, wine, alcohol, corporation tax.

I believe maybe there could be a supermarket tax too.
For too long these giants have strangled away small traders by vastly undercutting them, then once they're gone ... up the prices considerably. Petrol is going the way of the greengrocer and corner shop and the pubs.

That's another thing... I remember when the only off-licence was the pub. Now everyone but especially the supermarkets are selling drink cheaply and young people get tanked up before hitting the pubs and clubs on supermarket booze.

And before anyone says anything about freedom of choice ... these people are blocking the A&E at the hospitals and taking up Police and ambulance resources.
If I was the chancellor I would look at barring supermarkets from selling alcoholic drinks at all.
Also small shops should be exempt business rates and premises over a certain capacity taxed much more highly. Then you might reverse the trend of small shops disappearing. A similar argument for the demise of the pub trade if we have alcohol only sold in pubs and pub off-licences again.

billshep

How about asking the same question in reverse - a real fantasy - which taxes should definately not rise - or maybe even decrease!

Paul_Herring

rickbonar wrote: »

I think most of us agree on cigarettes, wine, alcohol, corporation tax.

I don't.

A similar argument for the demise of the pub trade if we have alcohol only sold in pubs and pub off-licences again.

Off-licence prices have always been cheaper than on-licence prices, and certainly for a few years before the pubs started shutting down at a huge rate. 'Cheap supermarket booze' was not the cause (or even a major cause) of the decline in pubs.

Look towards the smoking ban for that.