OLDHAM MP Michael Meacher has launched a lone campaign to bring back the 10p income tax band.
The former minister has welcomed the government's compensation deal, but says it would be complex and have side effects.
Mr Meacher admits it would cost £6.6bn to bring back the rate, but says rich people should be forced to foot the bill through new tax measures.
He said: "This would ensure that the cost of restoring the 10p tax rate is born solely by redistribution from the richest ten percent of society whose wealth has trebled since 1997."
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Meacher calls for 10p tax band
May 14, 2008
MP Michael Meacher
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Kurt Stephens, Sale (14/05/2008 at 06:55)
This has the advantage that everyone benifits, but the poorer benifit proportionally more than the rich.
Two bands of tax, at 20% and 40% are very simple.
In my opinion, we should endevour to lower the amount paid through income tax by raising the thresholds, and transfering the taxes to sociallise undesirable activities, such as polluting, drinking, smoking and causing congestion.
Shift the disincentive away from workign hard towards discouraging people from doing 'unsociable' things.
Roger Jones's P45 (formerly MC Spanner) (14/05/2008 at 08:51)
The rich pay more tax than the poor. There is only so many times that you can scrape that barrel.
Try the following
1. Reverse the cheap gimmick and restore the 10% and 22% bands.
2. Cut spending on wasters and undesirables.
Tax the rich and they will take thier money and jobs elsewhere meaning LESS TAX.
Black Flag (14/05/2008 at 08:54)
Income tax is one of the most astonishing con tricks of all time. Its supporters give the impression that it benefits the poor and is somehow fair, but the super wealthy avoid it, while the poor lose a good proportion of their income. It also gives the state an excuse to demand to know about every penny you earn, which is a massive invasion of privacy.
A fair tax system should be based on the principle of "Keep what you make, pay for what you take."
jomov, Manchester (14/05/2008 at 10:11)
Come-On-City. Manchester, formerly of Brooklyn. (14/05/2008 at 10:45)
Rather than raising the tax band for the rich, can we actually get the rich to pay their tax? I did read that for 2006/2007 the corporate tax evasion figure stood at £80 billion.
Yet the government seems to always go after the poor.
And your argument about not taxing the rich more just seems wrong to me. I can't argue specifics but 'Dont tax them or they will throw their rich dummy away and leave' - just seems wrong.
Roger Jones's P45 (formerly MC Spanner) (14/05/2008 at 15:44)
I would be interested to find out where you read that. Anyway that is Corporate Tax not "The Rich"
It is just common sense that "The Rich" will have a tolerance to paying tax. Ultimately all people have a tolerance and Labour's Tax it Ban It agenda has taxed everybody to that point. Rich people are just more mobile and will take thier cash elsewhere.
Pearl Assurance, Shire Pharma, WPP, Diageo,Shell, Aberdeen Asset, Old Mutual have all looked at leaving the UK for Ireland or Switzerland in recent weeks becuase of the constant taxation burden increases of this government. Hundreds of businesses were sold in the lead up to April 6th becuase of the 80% increase in CGT.
The Pips are definitely squeaking....