Meanwhile, the rich get richer..

[Obelix]

Again that's irrelevant. Tell me how a pensioner, with capital twice the average should generate twice the tax take on a third of the average income?

 

Well?

[Wildcat]

Again that's irrelevant. Tell me how a pensioner, with capital twice the average should generate twice the tax take on a third of the average income?

 

Well?

 

I don't think they should necessarily in the proportion. That said that does not mean there shouldn't be taxes on wealth.

 

A direct answer to your question and the obvious one (indeed perhaps the only one) would to call for a tax on Wealth would it not? What other answer could there be to your question?

[Obelix]

So tell me how a pensioner, with capital twice the average should generate twice the tax take on a third of the average income?

 

It's not a difficult question. Although it seems to be the way all the socialists on here avoid it like the plague.

[Cyclone]

I do not recall asserting that.

I suggested that those who own a third of the country could probably contribute more.

 

Besides, how many "pensioners living in large houses with nothing but the basic state pension" do you think there are?

If they have a large house, then most likely they've been working most of their lives, and therefore have a sensible pension plan.

 

The income of the retired is generally lower in comparison to their wealth than the income of a comparably wealthy but working person.

Hence why owning the wealth of a 3rd of the country in no way implies that they should be paying 1/3rd of the tax burden of the country.

The wealth will of course have at some point come from income, which was taxed at the time.

 

So no, we shouldn't base taxation on net value, it's not a workable proposition.

[Cyclone]

I do not recall asserting that.

You have a remarkably poor memory

 

most of it is in the form of land and property... most of which should be providing an income.

[Paul2412]

Whilst most of us are wondering how we are going to make ends meet thanks to the swingeing government cuts, it's interesting to note that even in these hard economic times the rich have managed to make more money for themselves this year than in all the previous 22years.

 

According to the Times rich list, the collective wealth of Britain's 1,000 richest people has increased by nearly a third. (The multimillionaires, 513 of which are based in London, are worth £335.5 billion, up by £77.265billion this year.

 

What I find sickening is that many of these unelected people have the ear of the cabinet and can influence decisions in their own best interest to make sure they get richer still.

 

Most of the deficit we are busily paying back is going straight into their pockets so they can buy gold and commodities and can escape the hyper inflation which is on its way. Thus they are already beginning to rocket in value.

 

Seen the prices in the supermarket lately?

 

So, in your world nobody can get rich? If I start a business that starts to expand I should say "enough is enough, I don't want to increase my profits"?

[studentbob]

So, in your world nobody can get rich? If I start a business that starts to expand I should say "enough is enough, I don't want to increase my profits"?

 

It wouldn't actually be that difficult to impose an upper earnings / profit cap throught the tax system.

[Hairyloon]

It wouldn't actually be that difficult to impose an upper earnings / profit cap throught the tax system.

I don't think a cap is a good idea. There should always be the opportunity to earn more, but an ever increasing proportion of the "more" should go as tax.

[studentbob]

I don't think a cap is a good idea. There should always be the opportunity to earn more, but an ever increasing proportion of the "more" should go as tax.

 

What about this as an example

 

1. Full time minimum wage of £15,000 and maximum wage of £225,000 (min wage multiplied by 15)

 

2. Income tax to be charged at the following rates:-

£20,000 - £50,000 taxed at 25%

£50,001 - £100,000 taxed at 40%

£100,001 - £225,000 taxed at 50%

 

3. All earnings above £225,000 will be automatically transferred to a centralised fund and the individual will be credited with an enhanced pension based on their contributions.

 

4. Sole traders and those in partnerships will be subject to the same limits as the employees in paragraph 3 but their credits will appear in their accounts and enhance the value of their business.

 

5. Limited companies will be subject to the same limits as the sole traders and partnerships in paragraph 4.

 

6. Public companies would still be able to pay an annual dividend to shareholders, but this would be limited to a percentage of the share price per share, as well as to a percentage of the company profits as a whole. The dividends paid to individual shareholders will be counted as earnings and subject to income tax.

 

7. The centralised fund will be used to assist start up businesses, as well as paying the unemployed at the minimum wage of £15,000 to work in the community.

 

8. Close all tax loopholes and enforce the policy by nationalising the accountancy proffession.

 

It's not neccessarily what I would consider to be the correct way, but it's more fair than the current system, and more viable than Cameron's version of the Big Society - and it's not communism!

 

(Puts on crash helmet and prepares to take the flak)

[Obelix]

What about this as an example

 

1. Full time minimum wage of £15,000 and maximum wage of £225,000 (min wage multiplied by 15)

 

2. Income tax to be charged at the following rates:-

£20,000 - £50,000 taxed at 25%

£50,001 - £100,000 taxed at 40%

£100,001 - £225,000 taxed at 50%

 

3. All earnings above £225,000 will be automatically transferred to a centralised fund and the individual will be credited with an enhanced pension based on their contributions.

 

4. Sole traders and those in partnerships will be subject to the same limits as the employees in paragraph 3 but their credits will appear in their accounts and enhance the value of their business.

 

5. Limited companies will be subject to the same limits as the sole traders and partnerships in paragraph 4.

 

6. Public companies would still be able to pay an annual dividend to shareholders, but this would be limited to a percentage of the share price per share, as well as to a percentage of the company profits as a whole. The dividends paid to individual shareholders will be counted as earnings and subject to income tax.

 

7. The centralised fund will be used to assist start up businesses, as well as paying the unemployed at the minimum wage of £15,000 to work in the community.

 

8. Close all tax loopholes and enforce the policy by nationalising the accountancy proffession.

 

It's not neccessarily what I would consider to be the correct way, but it's more fair than the current system, and more viable than Cameron's version of the Big Society - and it's not communism!

 

(Puts on crash helmet and prepares to take the flak)

 

Well for a start, I'd close down my buisness, take my capital and leave.

 

That'd lose you about £240k in personal taxation take a year, and put 40 people out of work.

 

All hail Socialism.