4 ms·

Everything is financed by labor anyway. Capital gains tax represent less than 10% of tax revenue. Income and national insurance (also income, not sure why it h

Everything is financed by labor anyway. Capital gains tax represent less than 10% of tax revenue. Income and national insurance (also income, not sure why it has a different name) has always made the lion's share. https://www.gov.uk/government/publications/budget-2020-documents/budget-2020 https://www.gov.uk/government/publications/budget-2020-docum...

pjc50 4y ago
National Insurance was introduced as a social security scheme, and still has a few links despite going into the general revenue pot. https://www.which.co.uk/money/pensions-and-retirement/state-pension/can-i-top-up-my-state-pension-an0q09p37nsj https://www.which.co.uk/money/pensions-and-retirement/state-... It serves the same role as the US social security scheme with a different accounting treatment.
- bojangleslover 4y ago
  Call it what you want, it's income tax
  - pjc50 4y ago
    Apart from applying in a different range of circumstances and being capped, yes it's linked to income. (Does raise the question of whether student loan repayments, which are also linked to income unlike other loans, and have been called a "graduate tax" by some of their advocates, are also an income tax that applies only to people born after a particular date ...)
    - hkt 4y ago
      They're only an income tax if you can't pay them off. Call it a tax on the poor and normal, while as ever the wealthier cohorts get a nice break. This is why there should have been an actual graduate tax. That and the fact that a graduate tax would at least have been predictable, unlike, say, the soaring interest rates on student debt at the moment.
  - youngtaff 4y ago
    Worse that that it’s a tax on earned income i.e. people working, so landlords etc don’t pay it on their unearned income i.e. rents
    - callamdelaney 4y ago
      No, they definitely pay income tax on rent. HMRC deducts any rental income from your tax free allowance on income ahead of time in fact.
      - biorach 4y ago
        They were referring to National Insurance, not Income Tax
- dazc 4y ago
  No it doesn't, it is just another income tax.

pjc50 4y ago

National Insurance was introduced as a social security scheme, and still has a few links despite going into the general revenue pot. https://www.which.co.uk/money/pensions-and-retirement/state-pension/can-i-top-up-my-state-pension-an0q09p37nsj https://www.which.co.uk/money/pensions-and-retirement/state-... It serves the same role as the US social security scheme with a different accounting treatment.

bojangleslover 4y ago
Call it what you want, it's income tax
- pjc50 4y ago
  Apart from applying in a different range of circumstances and being capped, yes it's linked to income. (Does raise the question of whether student loan repayments, which are also linked to income unlike other loans, and have been called a "graduate tax" by some of their advocates, are also an income tax that applies only to people born after a particular date ...)
  - hkt 4y ago
    They're only an income tax if you can't pay them off. Call it a tax on the poor and normal, while as ever the wealthier cohorts get a nice break. This is why there should have been an actual graduate tax. That and the fact that a graduate tax would at least have been predictable, unlike, say, the soaring interest rates on student debt at the moment.
- youngtaff 4y ago
  Worse that that it’s a tax on earned income i.e. people working, so landlords etc don’t pay it on their unearned income i.e. rents
  - callamdelaney 4y ago
    No, they definitely pay income tax on rent. HMRC deducts any rental income from your tax free allowance on income ahead of time in fact.
    - biorach 4y ago
      They were referring to National Insurance, not Income Tax
dazc 4y ago
No it doesn't, it is just another income tax.