Tax and NIC merger proposal

opinions4u

You could very easily have a 32p rate for under 65s and a 20p rate for over 65s (for example, let's not get hung up on the exact figures). Or boost age allowances significantly and just have the 32p rate for all.

If it's properly researched (and some of the concerns raised here are valid, along with tax on savings interest and dividends etc), maintains revenue and reduces beaurocracy in the tax and benefit system then I'd see it is a good thing.

Andy_Davies

opinions4u wrote: »

You could very easily have a 32p rate for under 65s and a 20p rate for over 65s (for example, let's not get hung up on the exact figures). Or boost age allowances significantly and just have the 32p rate for all.

If it's properly researched (and some of the concerns raised here are valid, along with tax on savings interest and dividends etc), maintains revenue and reduces beaurocracy in the tax and benefit system then I'd see it is a good thing.

Like any change in the tax system there are likely to be winners and losers but I don't see that as a reason to discriminated based on age.

If income tax and NI are to be merged (and hopefully they will) then the goal has to be to set the tax free allowance high enough so that low income pensioners don't lose out but higher income pensioners should pay the same rate as everyone else on that income.

Andy