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ATW QOTD

By Pete Moore On May 2nd, 2012

Wasn’t all that long ago, within my parents’ life time if not my own, that you didn’t pay income tax until you were on average or above wages. Now you do if you’re part time on the minimum wage.

That’s Tim Worstall, who’s not old and not harking back that far.

We’re constantly assailed with scandals by which we’re supposed to be outraged. It seems more and more of them are to do with taxes, usually whether some rich man has ponied up enough. The real and constant scandal of taxes, however, is the one which is universally ignored by the pro-State media (which is all of it): that millions of people on low to average incomes pay any tax at all.

9 Responses to “ATW QOTD”

  1. Now you do if you’re part time on the minimum wage.

    You do post some rubbish Pete. The minimum wags is £6.08 per hour and let’s assume part-time hours of 25 per week, which equates to ££7,904 per annum. The tax allowance is £8,105. Maybe Tim’s calculator isn’t working?

  2. Peter –

    Isn’t the allowance something like £7400?

  3. Those of ” average income ” should pay tax.

    ” Average income ” is where the money is.

    And everyone should have some skin in the game.

  4. Nope, I don’t want any skin in any collective game.

  5. The Income Tax rules & regs can be (and often are) a complicated mess.
    My ‘combined’ income with my Ill Health retirement pension and Incapacity benefit doesn’t even come close to the allowance of £8105 yet i pay Income Tax?
    It’s been explained why to me several times but i still don’t understand it?

  6. It’s all about what percentage of GDP does the government take.
    It would be interesting to see historical and national data on that.

  7. To reach a true and realistic GDP figure it would be necessary to seperate government spending from that of the private sector, – which incidentally is where the profit is made.

    It would probably surprise many, – even government ministers, – just how low the true figure is.

    Under present means of calculating GDP, you can have a massive GDP, and no profit, entirely due to massive borrowings. By all means have a figure for GDP, but let us also have a profit and loss statement…

  8. I remember when the news carried ‘Balance of payment’ figures. I guess they stopped doing it when the figures became too embarrassing to publish.

  9. Isn’t the allowance something like £7400?

    No, it went up from £7,465 to £8,105 last month, thanks to the Lib Dems. Their target is for it to be £10,000 by the time of the next election.