Merging Income Tax and National Insurance would just be more honest

November 15, 2011 11:06 AM

Over the weekend Kamal Ahmed, Business Editor at the Sunday Telegraph,  reported that the Government is slowly moving towards simplifying the tax system by at least merging the administration of Income Tax and National Insurance. Our research on the growing complexity of Britain's tax code shows that an ambitious attempt to simplify the system is needed. And in another recent paper we showed how a full merger was possible.

A full merger, and bringing the two taxes together instead of just having them work the same way behind the scenes, isn't just simpler.  It would also be more honest. Here is a simple new video, produced with visualisation experts See What You Mean, that sets out how the tax system understates how much we're really paying, in Income Tax and Employees' National Insurance - even before we get onto Employers' National Insurance which also depresses your wages:

[iframe http://www.youtube.com/v/GnbuNkPNzcE?version=3&hl=en_US 500 308]

Click here to tweet the video to your family and friends

Over the weekend Kamal Ahmed, Business Editor at the Sunday Telegraph,  reported that the Government is slowly moving towards simplifying the tax system by at least merging the administration of Income Tax and National Insurance. Our research on the growing complexity of Britain's tax code shows that an ambitious attempt to simplify the system is needed. And in another recent paper we showed how a full merger was possible.

A full merger, and bringing the two taxes together instead of just having them work the same way behind the scenes, isn't just simpler.  It would also be more honest. Here is a simple new video, produced with visualisation experts See What You Mean, that sets out how the tax system understates how much we're really paying, in Income Tax and Employees' National Insurance - even before we get onto Employers' National Insurance which also depresses your wages:

[iframe http://www.youtube.com/v/GnbuNkPNzcE?version=3&hl=en_US 500 308]

Click here to tweet the video to your family and friends

Latest Blogs:

TaxPayers' Alliance Icon

Vice chancellors' vices

2:13 PM 27, Jul 2017 Duncan Simpson

TaxPayers' Alliance Icon

Euston Station Action Day

11:18 AM 26, Jul 2017 Shahmir Sanni

TaxPayers' Alliance Icon

It's not more money that the NHS needs...

1:22 PM 25, Jul 2017 Ben Ramanauskas

TaxPayers' Alliance Icon

Guildford Action Day

10:44 AM 24, Jul 2017 Shahmir Sanni

TaxPayers' Alliance Icon

BBC Pay Day Dismay

3:58 PM 19, Jul 2017 Katherine Harvey