2aguy
Diamond Member
- Jul 19, 2014
- 112,220
- 52,455
Yes, Britain shows what happens when you allow the government to pay for everything...the poor end up paying huge amounts of their wealth for crappy government services....
Brits Of All Incomes Struggling Under Massive Tax Burden
The poorest people in the UK pay out nearly half of their income in taxes, new research has found. At the other end of the scale, the richest 10 per cent pay out nearly £30,000 a year more than they receive in benefits in kind.
The figures explode the government’s rhetoric on lifting the poorest out of taxation, as, although the government has given with one hand in the form of lower income taxes, it has taken with the other, primarily through VAT.
Previous analysis of the distribution of the tax burden has focused on income tax, which falls disproportionately on the highest earners. Last year, the Institute for Fiscal Studies repeatedly warned the government against looking to this group to plug its finances, arguing that “lumping more taxes on the rich” was not a sustainable strategy in the long term.
This view was further reinforced when, at the end of last year, it emerged that the top 3,000 earners pay more in tax than the bottom third of earners, some 9 million people.
However, new analysis by the TaxPayers’ Alliance shows that high taxes aren’t only a problem for the rich. This year, Value Added Tax (VAT) will be the government’s second largest source of revenue, and that tax hits lowest income households the hardest as a percentage of outgoings.
Brits Of All Incomes Struggling Under Massive Tax Burden
The poorest people in the UK pay out nearly half of their income in taxes, new research has found. At the other end of the scale, the richest 10 per cent pay out nearly £30,000 a year more than they receive in benefits in kind.
The figures explode the government’s rhetoric on lifting the poorest out of taxation, as, although the government has given with one hand in the form of lower income taxes, it has taken with the other, primarily through VAT.
Previous analysis of the distribution of the tax burden has focused on income tax, which falls disproportionately on the highest earners. Last year, the Institute for Fiscal Studies repeatedly warned the government against looking to this group to plug its finances, arguing that “lumping more taxes on the rich” was not a sustainable strategy in the long term.
This view was further reinforced when, at the end of last year, it emerged that the top 3,000 earners pay more in tax than the bottom third of earners, some 9 million people.
However, new analysis by the TaxPayers’ Alliance shows that high taxes aren’t only a problem for the rich. This year, Value Added Tax (VAT) will be the government’s second largest source of revenue, and that tax hits lowest income households the hardest as a percentage of outgoings.