Tuesday, April 22, 2008

10p Tax revolt bothering Brown

The Inland Revenue Tax Tables linked here, makes calculation of the exact changes to the 10p and standard rate bands adjusted for the small increase in personal allowance for a typical low paid young single earner quite simple. The income tax changes at the following income levels are as follows: At 10,000 pounds p.a. one is one hundred and thirty pounds and 10p worse off- a 16.6% tax rise At 12,000 pounds p.a. one is ninety pounds and 10p worse off - a 7.4% tax increase. At 14,000 pounds p.a. one is fifty pounds and 10p per year worse off - a 3% tax rise. At 16,000 pounds a year one is ten pounds and 10p per year worse off. At 18,000 pounds a year one is twenty nine pounds and 90p better off. So the lower your pay the worse is the effect. A masterstroke of stupidity from a man, Gordon Brown, that even Tories like to laud as ultra intelligent. How would the super-rich like a tax jump of 16.6 per cent?

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