'Do you think you get good value from paying tax?' poll discussion

Former_MSE_Lawrence
Former_MSE_Lawrence Posts: 975 Forumite
edited 18 January 2011 at 4:55PM in MoneySaving polls
Poll started 11 January 2010:

Do you think you get good value from paying tax?

We pay tax as a cost of living in the wider civil society, so that all the functions it requires, both for us and others are met.

Yet if we were (probably wrongly) to think in purely selfish terms, do you feel you gain more than you lose?

Total you pay in: Income tax, VAT, council tax and others
Total you receive: Benefits, tax credits, NHS treatments, police, national security, council services etc
Which of these do you think best reflects your situation?

I receive much more than I pay in
- 345 votes (4 %)
I receive more than I pay in - 349 votes (4 %)
I receive a little more than I pay in - 213 votes (3 %)
It's roughly the same - 383 votes (5 %)
I pay in a little more than I receive - 438 votes (6 %)
I pay in more than I receive - 2,240 votes (28 %)
I pay in much more than I receive - 3,899 votes (50 %)

Voting has now closed but you can still click 'post reply' to discuss below. Thanks :)


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Comments

  • I chose I receive MUCH more than I pay in.

    I've never claimed any kind of benefit.

    I am a 40% taxpayer.
  • MSE_Martin
    MSE_Martin Posts: 8,272 Money Saving Expert
    First Post First Anniversary Combo Breaker
    I chose I receive MUCH more than I pay in.

    I've never claimed any kind of benefit.

    I am a 40% taxpayer.

    In that case I hope you voted I pay in MUCH more than I receive?

    Have i badly drafted the poll or is this a typo?
    Martin Lewis, Money Saving Expert.
    Please note, answers don't constitute financial advice, it is based on generalised journalistic research. Always ensure any decision is made with regards to your own individual circumstance.
    Don't miss out on urgent MoneySaving, get my weekly e-mail at www.moneysavingexpert.com/tips.
    Debt-Free Wannabee Official Nerd Club: (Honorary) Members number 000
  • RacyRed
    RacyRed Posts: 4,930 Forumite
    Combo Breaker First Post
    I voted I pay in much more than I receive.

    The system seems to be skewed in such a way that you are either a contributor or a beneficiary of the tax system.

    And proportionally, those on low to middle incomes are by far the greatest contributors. The tax system makes it easy for those on substantial incomes to invest in such a way that their net tax contribution can be massively reduced.

    I'm so glad I'm no longer having to advise bankers on how to reduce the tax due on the bonus payments they are promised before they even begin to work for their banks. It would make me physically sick to have to do that this year.
    My first reply was witty and intellectual but I lost it so you got this one instead :D
    Proud to be a chic shopper
    :cool:
  • rob5110
    rob5110 Posts: 19 Forumite
    I chose "I pay in much more than I receive"

    I have only been to the doctors 3-4 times in my life, i earn between 30-35k, and put in 8% of my salary to pension, so probably wont get anything when i retire.
    i even go to the tip every couple of weeks because of the terribleness of the refuse collection service.
    I've never been on benefits.
    I own a car which is just a tax magnet.
    I phoned the police once, for a car break in - they did nothing. I got a leaflet, and that's it.
    I've never been caught speeding, or been spoken to by the police for any reason.
    I can't think of any council services i've used recently, apart from street lights, refuse collection, gritting etc.

    I suspect most people will believe that they pay in much more than they recieve, but that's one of the problems with having a poll on this site - it natuarally would attract the more sensible, tax-paying sector of society.

    Maybe older people who use the NHS more might consider their answer though - the question doesn't make it clear if you mean in your whole life, or in the last 12 months or today.

    I think the 'system' is set up so people pay more tax when they are working, then claim that back with increased social care (pensions, NHS etc) when they get older.
    Plus, if you work for the civil service, or a teacher or whatever, surely your whole salary is coming from the tax pot anyway?

    Anyway, it's going to be interesting to see the results. I predict a heavy swing to the 'i pay far more than i get' option!
  • RacyRed wrote: »
    The system seems to be skewed in such a way that you are either a contributor or a beneficiary of the tax system.
    That would seem to be the point though, right?

    There wouldn't be much point in everyone coming out even after tax... The idea is that we all benefit from communal facilities (roads, hospitals, police, etc) and that the poor are assisted (i.e.: are net beneficiaries).
    RacyRed wrote: »
    And proportionally, those on low to middle incomes are by far the greatest contributors. The tax system makes it easy for those on substantial incomes to invest in such a way that their net tax contribution can be massively reduced.
    That I would agree with. And the catch there is that we're constantly told that we are in effect "competing" for the wealthy tax-payers (even assuming that the wealthy residents who do stay don't squirrel away savings anyway),

    There is some truth in that, but really it just goes to show that perhaps we need to look at taxing the rich from a global perspective, in order to make simply moving away a non-solution.
    - GL
  • RacyRed
    RacyRed Posts: 4,930 Forumite
    Combo Breaker First Post
    That would seem to be the point though, right?

    There wouldn't be much point in everyone coming out even after tax... The idea is that we all benefit from communal facilities (roads, hospitals, police, etc) and that the poor are assisted (i.e.: are net beneficiaries).

    There is some truth in that, but really it just goes to show that perhaps we need to look at taxing the rich from a global perspective, in order to make simply moving away a non-solution.

    You have picked me up well on that point. I had thought of expanding my post to take the point further -

    "The system seems to be skewed in such a way that you are either a contributor or a beneficiary of the tax system..." And heaven help you if, after decades of being a net contributor, you find yourself in a position where you need to be a net beneficiary.

    As the guy in the adverts says, "It doesn't work that way" And that is why I think the current system is heavily skewed. Everyone gets trapped within a category.

    I agree about global taxation, that is well overdue. But there are many ways of reducing a tax bill without having to leave the country.
    My first reply was witty and intellectual but I lost it so you got this one instead :D
    Proud to be a chic shopper
    :cool:
  • ennui
    ennui Posts: 83 Forumite
    I wouldn't have a clue how to calculate it. I feel like a contributor - I work full-time, pay council tax and don't get any benefits or use any council services other than those everybody does (refuse collection, street lighting, roads etc.). However, I have a chronic medical condition and get free prescriptions. Plus my earnings are fairly low, so my income tax contribution isn't that high. Then there was the relatively cheap higher education I received.

    All in all, I suspect I'm more of a burden on the system than it feels like when I groan at the deductions on my pay slip!
  • I voted 'pay in a bit more than I receive' as whilst I don't get any benefits or tax credits, I don't pay council tax either (I live with my parents) and on top of income tax and NI I'm also paying back my student loan, which to me feels like a tax as it comes out of my wages, but for a service I've already received. (I'm also still trying to get HMRC to talk to me as they've got me on the wrong tax code and I'm overpaying, but I'm choosing to ignore that for the purpose of the poll.) So apart from what I'd get anyway - the NHS, police, roadworks, rubbish collection etc - I don't get much, but I'm OK with that.
    "A mind needs books as a sword needs a whetstone, if it is to keep its edge." - Tyrion Lannister
    Married my best friend 1st November 2014
    Loose = the opposite of tight (eg "These trousers feel a little loose")
    Lose = the opposite of find/gain (eg "I'm going to lose weight this year")
  • brizey47
    brizey47 Posts: 31 Forumite
    Yes at the moment I'm sure I pay more than I receive, I claim no benefits and pay full tax NI and council tax, rarely visit the doctor, haven't even spoken to police in ages, my wheelie bin is never more than half full every 2 weeks so0 yes I do pay in more than I receive BUT from March 2012 I will be 65 and I will probably retire then I'm sure I will receive more than I pay in though for how long even I don't know.
  • angelizz
    angelizz Posts: 111 Forumite
    The level of tax in this country makes me feel sick. Personal tax, corporation tax, VAT, road tax, council tax, business rates, stamp duty, my god they'll even tax me when I die. And what do I get - bins emptied once a fortnight (or once a month if it snows), potholes the size of Lancashire in the road leading to my house (causing damage to my car), blocked drains which caused flooding to my garage (which the council promised to address within 21 days - that was in September). I've had enough, I really have.
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