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Why pay tax?

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Comments

  • Cpu2007
    Cpu2007 Posts: 724 Forumite
    Part of the Furniture 500 Posts Combo Breaker
    I thought tax on your salary is paid as it goes to support your pension.
    What happens if a person works for 5 years, pay taxes and then moves to another country? is all the tax paid throughout the years gone?
  • zygurat789
    zygurat789 Posts: 4,263 Forumite
    Part of the Furniture Combo Breaker
    Cpu2007 wrote: »
    I thought tax on your salary is paid as it goes to support your pension.
    What happens if a person works for 5 years, pay taxes and then moves to another country? is all the tax paid throughout the years gone?

    Your thoughts were not correct.
    Taxation pays for all government expenditure with no ring-fencing.
    The only thing that is constant is change.
  • Cpu2007
    Cpu2007 Posts: 724 Forumite
    Part of the Furniture 500 Posts Combo Breaker
    so what is it that goes on the pension? the NI tax?
  • dzug1
    dzug1 Posts: 13,535 Forumite
    10,000 Posts Combo Breaker
    Cpu2007 wrote: »
    I thought tax on your salary is paid as it goes to support your pension.
    What happens if a person works for 5 years, pay taxes and then moves to another country? is all the tax paid throughout the years gone?

    In principle they get a deferred right to a pension in this country - though not until they have worked 10 years. 5 years they would get nothing


    But state pension is not the only thing taxes and NI are spent on. You can hardly say that they got nothing at all in exchange
  • dzug1
    dzug1 Posts: 13,535 Forumite
    10,000 Posts Combo Breaker
    Cpu2007 wrote: »
    so what is it that goes on the pension? the NI tax?

    Money raised by any taxation. No specific 'pot' of money, just money.
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