Citizen or "Tax cow"?

[Deleted User]

sleepymans wrote: »

To add insult to injury we have to pay some tax on savings not sheltered in ISAs:eek:

You do not pay tax on your savings. You pay tax on the interest earned from savings, which is going to be pennies for most people. Some types of ISAs provide tax benefits (eg: no tax on interest).

Most people earning an average wage will cost the country more than they contribute and most higher earners will use far less than they contribute, that's okay and how the system should be. If you want to take issue with the way taxes work, don't focus on the amount that you have contributed and taken, focus on the bigger picture.

lincroft1710

sleepymans wrote: »

Household insurance tax
2 x motor insurance premium tax

Compared to Income Tax, Council Tax, VED (if you don't have a £35 pa vehicle), fuel, tobacco and alcohol duty, these are minimal

lincroft1710

sleepymans wrote: »

Has anyone done the calculation on their own situation?
What percentage would you guess the tax element would be? 20% is obviously too low, and although it FEELS like 50%, I guess it won't be that much....or is it??

If you have an income of £10,000 pa, don't drink or smoke, don't have a pet or a car, employ tradesmen who have a turnover under the VAT threshold, don't eat in restaurants, you will have quite a low percentage of your income as a tax element.

John_Pierpoint

citricsquid wrote: »

You do not pay tax on your savings. You pay tax on the interest earned from savings, which is going to be pennies for most people. Some types of ISAs provide tax benefits (eg: no tax on interest).

Most people earning an average wage will cost the country more than they contribute and most higher earners will use far less than they contribute, that's okay and how the system should be. If you want to take issue with the way taxes work, don't focus on the amount that you have contributed and taken, focus on the bigger picture.

No see below - it is government policy to confiscate 2% of savings through inflation every year; usually a higher rate of inflation is achieved.

http://en.wikipedia.org/wiki/Stealth_tax

this is a bit out of date
http://www.dailymail.co.uk/news/article-335860/New-Labour-sham-157-stealth-tax-rises.html

But don't forget the green levies collected via the power companies.

http://www.telegraph.co.uk/finance/economics/10351414/Stealth-taxes-are-no-way-to-solve-the-cost-of-living-crisis.html

Now try to work out how much extra you are paying in excessive prices for imported goods that have to jump a tariff wall plus a possible anti dumping levy, or a fixed quota. The most insidious is the Common Agricultural Policy, that pays a subsidy to land owners remorselessly in good times as well as bad.

Don't forget to include charges to park on the side of the road if there are plenty of spare spaces.

Finally spare a thought for the children who will have to pick up the tab for the "kicking the can down the road" measures, such as the Private Finance Initiative.