Liz Truss backs down on 45p tax rate cut in humiliating U-turn

[carmanmemoranda]

If Truss was genuine about income tax and simplifying it and making it more equal then she would be addressing tax loopholes and avoidance.

I have nothing wrong with paying my share if everybody else pays theres. But legal major avoidance annoys me, and probably most people.

 

[Justin Passing]

How much extra does some one who earns 25k get?

I knew maths wasn't your thing but come on, it's mental rithmitik
If you're paying 20% on (25k minus 13k) thats 2.4k
If you're paying 19% on (25k minus 13k) thats 2.28k
120 sovs

The most anyone gets out of a reduction from 20 to 19 % on (50k minus 13k) is 370 pa.
One pound per day.

 

[ellal]

"Levelling up" is geographical, as well you know.

So there are no poor people in the south of england?

If you don't realise that there are poor people all over the UK, then you should re-evaluate your understanding of that statement!

 

[ellal]

120 sovs

Funnily enough membership of the EU only cost us £108...

Leaving the club has cost us all thousands!

 

[Justin Passing]

So there are no poor people in the south of england?

If you don't realise that there are poor people all over the UK, then you should re-evaluate your understanding of that statement!

You don't understand the phrase you used - look it up.
It's about opportunity, not cash.

Opportunity is contingent on literacy. Oh, you won't know what that means, Never mind, you don't matter anyway, you're poor.

 

[Gerrydelasel]

"Liz Truss backs down on 45p tax rate"
So policy is now determined by Twitter outrage and opinion polls. The ultimate in populism. Well done everyone. Carry on as usual, the same fiscal approach that got us into this mess will surely get us out.

 

[Vinty]

Even the Twitterati are a better judge of what is right for the country than Khazi and Liz.

 

[IT Minion]

1 Something must be done.
2 <mad plan doomed to failure> is something
3 We must enact <mad plan doomed to failure>

 

[ellal]

You don't understand the phrase you used - look it up.
It's about opportunity, not cash.

Opportunity is contingent on literacy. Oh, you won't know what that means, Never mind, you don't matter anyway, you're poor.

So according to you, does everyone has the same opportunity in their own particular location?
(and don't forget you insisted on geography being the issue, not what opportunity is available everywhere)

And could you remind us what it costs to go to a private school as opposed to the state (albeit a partially privatised) system?

Cash not a problem when applying to go to Eton then according to you?

Jeez, what a load of b*llox you spout!

 

[ic1927]

 

[ajohn]

She's of scot free - the chancellor made her do it.

Not sure where the term scot free came from
Dred Scott was a black slave born in Virginia, USA in 1799. In several celebrated court cases, right up to the USA Supreme Court in 1857, he attempted to gain his freedom. These cases all failed but Scott was later made a free man by his so-called owners, the Blow family. Knowing this, we might feel that we don't need to look further for the origin of the phrase 'scot free'. Many people, especially in the USA, are convinced that the phrase originated with the story of Dred Scott.

The etymology of this phrase shows the danger of trying to prove a case on circumstantial evidence alone. In fact, the phrase has nothing to do with Mr. Scott.

Given the reputation of Scotsmen as being careful with their money we might look to Scotland for the origin of 'scot free'. Wrong again, but at least we are in the right part of the world now. 'Skat' is a Scandinavian word for tax or payment and the word migrated to Britain and mutated into 'scot'

 

[motorbiking]

Still leaves this one that isn't much help to low income people

19% is the lowest the basic rate has ever been in the modern Income Tax system. This is a tax cut worth over £5 billion for workers, savers and pensioners. 31 million taxpayers will benefit from this policy in 2023-24, with an average gain of £170.

The ones that get maximum from it earn over £50k

It's still an ideological tax cut paid for via debt.

Oh forgot, I quoted from a gov web page.

The ones who pay the most in tax then?

 

[ajohn]

The ones who pay the most in tax then?

What's that got to do with take home income distribution? It's also £5b more debt - more than added.

 

[motorbiking]

What's that got to do with take home income distribution? It's also £5b more debt - more than added.

Good point, maybe it should only apply to those living in the most expensive parts of the country? After all someone on £50k a year in Durham is significantly better off than if he lived in Surrey.

I think occasionally its right and fair for those who pay the most (proportionally) to get a break now and again. Otherwise they get resentful and try to find schemes that reduce their burden. e.g. buying goods tax free.

 

[wellyfish]

Funnily enough membership of the EU only cost us £108...

Leaving the club has cost us all thousands!

Eurozone workers:

"From the early 1980s until the eve of the global financial crisis, the labour share of income fell significantly and persistently, coinciding with a measurable decline in inflation and trade union density". Isabel Schnabel, Member of the ECB's Executive Board.

And she's still banging on about monetary policy ...

Source and slides here.