Global saviour and eco warrior Gordon Brown took great delight in announcing the 50% income tax on high earners, Brown bragged long and loud about the £3 billion tax revenues and how it was fair to bleed people dry with still more taxes. There was much disagreement about exactly how much money this tax measure would raise, most estimates from sources other than a Labour
asshole mouth piece predicted no more than £750 million would be raised, yet Labour boasted billions would be raised by milking achievers and risk takers.
Lord Myners the City Minister famous for making assumptions on banking has admitted that the Treasury has significantly reduced it’s estimate of the revenue to be raised by this new level of
He said that he believed that the new top rate, due to come into force this April, would still generate extra income from the wealthiest 2 per cent in the national workforce. But he cast doubt on whether the Treasury would pocket the £1.13 billion it has earmarked for 2010, and the £2.5 billion it hopes to raise in 2011. “We still believe it will be beneficial,” he said.
Which can be translated as: The Country is so broke we would go ahead even if we only raised an extra £10 in tax revenues and we could get some pure envy votes from our benefits scroungers core voting base.
Mike Warburton, senior tax adviser at Grant Thornton, one of Britain’s biggest accounting firms, said that clients were pursuing four main ways to avoid paying half their salary in tax: bumping up this year’s pay; storing up pay in their company firm, to be drawn down at a later date; leaving the country; or choosing to pay it to charity rather than the taxman.
“People are taking obvious avoidance measures because they are not prepared to pay 50 per cent tax,” Mr Warburton said. Read the rest of this entry