How much more tax?

sultan123

What do people think of the below, is it accurate

sultan123

https://www.thetimes.co.uk/article/middle-class-families-face-40-000-stealth-tax-on-incomes-v95rqrkcq


New article today, any accuracy?

MattMattMattUK

sultan123 said:

https://www.thetimes.co.uk/article/middle-class-families-face-40-000-stealth-tax-on-incomes-v95rqrkcq


New article today, any accuracy?

Some accuracy, but meaningless all the same. Yes people will pay more because of fiscal drag vs an entirely static tax policy, but the idea that tax policy would stay entirely static for the next six years is daft. The reality is in the UK we all, but especially low and middle earners pay too little tax, paying the little bit extra because of this is going to go some way (although nowhere near far enough) to fix the issues caused by us having tax revenue far too low for the last fifty years. 

sultan123

MattMattMattUK said:

sultan123 said:

https://www.thetimes.co.uk/article/middle-class-families-face-40-000-stealth-tax-on-incomes-v95rqrkcq


New article today, any accuracy?

Some accuracy, but meaningless all the same. Yes people will pay more because of fiscal drag vs an entirely static tax policy, but the idea that tax policy would stay entirely static for the next six years is daft. The reality is in the UK we all, but especially and middle earners pay too little tax, paying the little bit extra because of this is going to go some way (although nowhere near far enough) to fix the issues caused by us having tax revenue far too low for the last fifty years. 

For example, The Times found that a worker earning £60,000 a year will pay an estimated more than £134,000 in income tax during the next decade, which is a tax bill 18 per cent higher than it would have been had the thresholds not been frozen.


Where are these numbers from?

MattMattMattUK

sultan123 said:

MattMattMattUK said:

sultan123 said:

https://www.thetimes.co.uk/article/middle-class-families-face-40-000-stealth-tax-on-incomes-v95rqrkcq


New article today, any accuracy?

Some accuracy, but meaningless all the same. Yes people will pay more because of fiscal drag vs an entirely static tax policy, but the idea that tax policy would stay entirely static for the next six years is daft. The reality is in the UK we all, but especially and middle earners pay too little tax, paying the little bit extra because of this is going to go some way (although nowhere near far enough) to fix the issues caused by us having tax revenue far too low for the last fifty years. 

For example, The Times found that a worker earning £60,000 a year will pay an estimated more than £134,000 in income tax during the next decade, which is a tax bill 18 per cent higher than it would have been had the thresholds not been frozen.


Where are these numbers from?

The numbers are based on fiscal drag, that is the difference between the thresholds if they stay static vs if they rose with inflation and measured against wages rising with inflation.

sultan123

MattMattMattUK said:

sultan123 said:

MattMattMattUK said:

sultan123 said:

https://www.thetimes.co.uk/article/middle-class-families-face-40-000-stealth-tax-on-incomes-v95rqrkcq


New article today, any accuracy?

Some accuracy, but meaningless all the same. Yes people will pay more because of fiscal drag vs an entirely static tax policy, but the idea that tax policy would stay entirely static for the next six years is daft. The reality is in the UK we all, but especially and middle earners pay too little tax, paying the little bit extra because of this is going to go some way (although nowhere near far enough) to fix the issues caused by us having tax revenue far too low for the last fifty years. 

For example, The Times found that a worker earning £60,000 a year will pay an estimated more than £134,000 in income tax during the next decade, which is a tax bill 18 per cent higher than it would have been had the thresholds not been frozen.


Where are these numbers from?

The numbers are based on fiscal drag, that is the difference between the thresholds if they stay static vs if they rose with inflation and measured against wages rising with inflation.

Is that accurate in the sense no one knows what thresholds would increase to

TheAble

Still keeping the old thread going then Sultan? 

sultan123

TheAble said:

Still keeping the old thread going then Sultan? 

Just with this new article wanted to revisit