TAX ON FULL STATE PENSION APRIL 2027

ClashCityRocker1

BikingBud said:

ClashCityRocker1 said:

BikingBud said:

BlackKnightMonty said:

BikingBud said:

MetaPhysical said:

There are people that add nothing and take everything.

Nearly everybody spends money, is a consumer. So they add something. They interact with people. They are parts of families. Just who are these ghosts who "add nothing and take everything"? Sounds like The Sun Says reaching one of its considered verdicts on single parents, people with three kids, refugees or social housing residents.

As for "taking everything" - a lot of the "everything" is hoovered up by a few. They buy stuff too - Lewis Hamilton bought himself a private jet and set things up so he could avoid paying the VAT on it. That's a lot of of week's Job Seekers' Allowance right there.

BikingBud

ClashCityRocker1 said:

BikingBud said:

ClashCityRocker1 said:

BikingBud said:

BlackKnightMonty said:

BikingBud said:

MetaPhysical said:

There are people that add nothing and take everything.

Nearly everybody spends money, is a consumer. So they add something. They interact with people. They are parts of families. Just who are these ghosts who "add nothing and take everything"? Sounds like The Sun Says reaching one of its considered verdicts on single parents, people with three kids, refugees or social housing residents.

As for "taking everything" - a lot of the "everything" is hoovered up by a few. They buy stuff too - Lewis Hamilton bought himself a private jet and set things up so he could avoid paying the VAT on it. That's a lot of of week's Job Seekers' Allowance right there.

Thanks.

I refer the poster to my previous post.

Qyburn

BlackKnightMonty said:

The challenge comes from fewer and fewer households being net contributors in terms of tax (receiving more in benefits and services).

in 1977 it was only 37% of all UK households which were net benefiters. Now the figure is 53.3%.

What were income tax rates in 1977, wasn't it 35% basic rate?

Cobbler_tone

ClashCityRocker1 said:

BikingBud said:

ClashCityRocker1 said:

BikingBud said:

BlackKnightMonty said:

BikingBud said:

MetaPhysical said:

There are people that add nothing and take everything.

Nearly everybody spends money, is a consumer. So they add something. They interact with people. They are parts of families. Just who are these ghosts who "add nothing and take everything"? Sounds like The Sun Says reaching one of its considered verdicts on single parents, people with three kids, refugees or social housing residents.

As for "taking everything" - a lot of the "everything" is hoovered up by a few. They buy stuff too - Lewis Hamilton bought himself a private jet and set things up so he could avoid paying the VAT on it. That's a lot of of week's Job Seekers' Allowance right there.

How much has Hamilton contributed to the UK economy, without the tens of millions in tax he has paid? What has Sandra, the single parent on benefits in your Sun column brought to the party?

Not even a fan of Hamilton but I don't think he is best example to foot the JSA bill.

BlackKnightMonty

Qyburn said:

BlackKnightMonty said:

The challenge comes from fewer and fewer households being net contributors in terms of tax (receiving more in benefits and services).

in 1977 it was only 37% of all UK households which were net benefiters. Now the figure is 53.3%.

What were income tax rates in 1977, wasn't it 35% basic rate?

What was VAT, what was insurance premium tax, what was fuel duty?

The figure used is ALL household taxes paid vs ALL benefits received.

HTH

LHW99

Qyburn said:

BlackKnightMonty said:

The challenge comes from fewer and fewer households being net contributors in terms of tax (receiving more in benefits and services).

in 1977 it was only 37% of all UK households which were net benefiters. Now the figure is 53.3%.

What were income tax rates in 1977, wasn't it 35% basic rate?

35% basic rate, going up to a top rate of 83%.

https://resource.download.wjec.co.uk/vtc/2015-16/15-16_20/unit7/TaxRates73-90_resource.pdf (p.2)

Grumpy_chap

ClashCityRocker1 said:

 - Lewis Hamilton bought himself a private jet and set things up so he could avoid paying the VAT on it.

I have not fact-checked that, assuming it is correct, it is just an example showing why "tax the rich" or "place the burden on those with the broadest shoulders" can't be relied upon.  If that group perceive they are taxed unfairly, they will seek legal measures to reduce tax liability.

A simpler tax system would have fewer mechanisms by which matters could be arranged to reduce tax liability.

We must be conscious of the fact that tax on the wealthiest has to be moderated in the global context as the wealthiest can often opt to be taxed under an alternative jurisdiction.

sheramber

ClashCityRocker1 said:

BikingBud said:

ClashCityRocker1 said:

BikingBud said:

BlackKnightMonty said:

BikingBud said:

MetaPhysical said:

There are people that add nothing and take everything.

Nearly everybody spends money, is a consumer. So they add something. They interact with people. They are parts of families. Just who are these ghosts who "add nothing and take everything"? Sounds like The Sun Says reaching one of its considered verdicts on single parents, people with three kids, refugees or social housing residents.

As for "taking everything" - a lot of the "everything" is hoovered up by a few. They buy stuff too - Lewis Hamilton bought himself a private jet and set things up so he could avoid paying the VAT on it. That's a lot of of week's Job Seekers' Allowance right there.

Since he lives in Monaco what has that to do with UK tax receipts?

kinger101

BlackKnightMonty said:

Personally I would prefer they lowered the 45% band or pumped it up a bit, to remove the £100k-125k  loss of personal allowance. (Which makes for a marginal tax rate of 60% Income tax [65% in Scotland]). It’s encouraging reduced productivity for the high income earners like doctors and other professionals.

The 60/65 percent tax band also raises very little as people do everything in their power to avoid it.  

If we're going to fill the gap with income tax....

Raising basic rate by 1 p brings in 8 billion
Raising higher rate by 1 p,  2 billion
Additional rate by 1 p,, 0.25 billion

The problem isn't solved by (only) taxing higher earners more.  

BlackKnightMonty

kinger101 said:

BlackKnightMonty said:

Personally I would prefer they lowered the 45% band or pumped it up a bit, to remove the £100k-125k  loss of personal allowance. (Which makes for a marginal tax rate of 60% Income tax [65% in Scotland]). It’s encouraging reduced productivity for the high income earners like doctors and other professionals.

The 60/65 percent tax band also raises very little as people do everything in their power to avoid it.  

If we're going to fill the gap with income tax....

Raising basic rate by 1 p brings in 8 billion
Raising higher rate by 1 p,  2 billion
Additional rate by 1 p,, 0.25 billion

The problem isn't solved by (only) taxing higher earners more.  

I think there is a good case to raise the basic rate. Something like 29m pay it, and it is currently just too low and out of keeping with our European neighbours.

However there is also a desperate need to reduce spending. PIP, motability, winter fuel allowance, triple locks. There is so much that needs to be addressed.