Nigel Farage confirmed yesterday that Ukip are not likely to repeat their 2010 General Election manifesto pledge to abolish employee’s National Insurance and introduce a flat rate of Income Tax. The policy was to merge employee’s National Insurance (then charged at two rates of 11 and 1 per cent) with Income Tax (then three rates of 20, 40 and 50 per cent) into one rate of tax of 31 per cent.
Asked on the Andrew Marr Show if a flat rate of tax was still a Ukip policy, he said: Continue Reading
The TaxPayers’ Alliance yesterday journeyed to Tatton, the constituency MP George Osborne yesterday to raise awareness of Tax Freedom Day, which is when the average Briton stops working for the taxman and starts working for themselves. It is calculated by the Adam Smith Institute and it’s a reminder of exactly how little of their money people actually keep. Continue Reading
It might not have felt like the most momentous morning yesterday underneath a particularly grim grey sky: according to the Adam Smith Institute, for the first time this year you were working for yourself not the Government. It took until May 28th, but the average worker has now paid off their share of the tax burden for the year. Somewhat terrifyingly, this represents progress; last year it was May 30th. The fruits of your labour were two days sooner in coming than last year. Continue Reading
Last night I debated ‘Is a Smaller State a Better State‘ at the Bristol Festival of Ideas, with Labour peer Maurice Glasman and the Observer’s chief leader writer Yvonne Roberts, chaired by the Observer’s assistant editor Julian Coman. The debate was interesting with three distinct views, but there were also striking areas of agreement across some of the topics discussed. Continue Reading
Every year, the Adam Smith Institute calculates Tax Freedom Day – the first day in the year when you finally begin to earn for yourself.
And today, May 28th, is that day. That means that you have worked 148 days of this year solely to pay your taxes.
We think that’s far too long. We want to see tax cuts so that people get to keep more of the money that they earned, to spend on their own families. It doesn’t make sesnse for politicians to take a huge chunk of cash from people’s pay cheques, then dish some of it out in grants and benefits.
Taxes are too high, too complicated and they need to be drastically reformed. Our 2020 Tax Commission – run jointly with the Institute of Directors – mapped out a plan for a simpler and less burdensome tax system. One that would mean you wouldn’t be working for 40 per cent of the year just for the tax man.
So Happy Tax Freedom Day. We hope it falls much earlier in the years to come.