To think that being in a high tax bracket doesn't mean you work 'harder'

[dietcokeandgalaxyplease]

I'm so so sick of reading about people who welcome the Tory's tax reduction for high earners because of course they 'work hard' and why should they be penalised.
AIBU to think that even though you work HARD you don't always earn a lot? I genuinely think that if you earn more you should contribute more.
I'm a nurse married to a paramedic. Neither of us are paying the higher tax rate.... obviously we need to work harder???? 😡

I dont actually agree if you earn more you should pay more. Why should you. Surely to make it fair, we should all pay the same. It sort of discourages people to want to earn more if they lose loads of it in tax.

I’m not a higher rate tax payer and disagree with the bands. It should be a flat 20% for all. Most people at that rate have worked hard to get there, firms don’t pay high salaries for little work.

I’m not sure about that inequality would heighten and that is the root of them and us.

Also how is someone on £15k to afford it

I do agree that risk, setting up a business, can lead to reward otherwise no one would do it.

I dont actually agree if you earn more you should pay more. Why should you. Surely to make it fair, we should all pay the same

Because we want to live in a generous, fair society?

@Karwomannghia higher tax payers earn more than about £47k.

People threaten to leave the country due to high taxes need to be:
Completely upwardly mobile (able to support family move)
Money to move and function in a society where they will usually receive no government assistance
Generally employed in a way which means the fact that they don’t know the local language/ employment law/ customs / employers doesn’t matter- ie self employed with international interests or powerful enough to work for a conglomerate who will arrange all this and be happy to do so just because the executive would rather not pay tax in their home country

In short we’re talking high level international executives, self employed business people. It’s the James canns in Monaco, not Dave the accountant from Horsham.

And the James canns of the U.K. are very few. It’s not worth worrying about them leaving.

I think my db in Sweden pays about 60 percent tax on anything over about 55k? And 40 percent on everything less than that.

I genuinely think that if you earn more you should contribute more.

Ummm, I do, I pay 10 times more income tax and national insurance than someone on full time minimum wage, I also pay about 3 times more income tax and national insurance than someone on the national average wage. I don't earn 10 times the minimum wage or 3 times the national average either.

Karwomannghia

You asked for examples of people who would leave.

I’m not sure what proportion of the decision is due to finances or the fact that it’s a family owned company owned by a Jewish family, but my husbands employer intends to move their entire office out of the UK in the event of Corbyn becoming PM.

DH is by far the main breadwinner and my salary alone would barely cover our rent so we would leave the UK. The vast majority of the company are top rate tax payers and 10% or so earn 7 figures (DH isn’t anywhere near 7 figs though 😂).

@trewser My boyfriend is Swedish, he is after living here for six year still shocked at how low our taxes are and how people as a whole don’t seem to want a society that works for everyone by having good public services, childcare etc.

Where would they go?

I love Sweden. I really might try and move back there wanders off to Google

II struggle to understand why people with loads of money twist and turn out of paying tax, celebrities for example*

I don’t think they do. They earn shitloads of money, don’t know what to do with it, hire an accountant, take their advice and sign a few forms . No hassle needed

Even the Labour party daren't suggest taxing everyone more. If they did, I'd probably vote for them

in short we’re talking high level international executives, self employed business people. It’s the James canns in Monaco, not Dave the accountant from Horsham.

And the James canns of the U.K. are very few. It’s not worth worrying about them leaving.

Ha ha ok! So the idea that rich people are going to leave and we should all give them more money to stay because we need them here is just bollocks?

I totally agree with that Ilovetolurk. You also
Have to remember without basic tax planning people will pay inordinate amounts of tax. There is nothing wrong with tax planning, most of us do so

I would say so @Karwomannghia. Those of us on PAYE aren’t going anywhere

Rhayader thank you. I do hope you’re not uprooted!
What are the wider implications of the business moving elsewhere?

My friend in Sweden pays an eye watering amount of tax but travel is so cheap and childcare is high quality and highly subsidised.

"Because we want to live in a generous, fair society?"
But that's not at all fair that the person who earns more has to pay more?

None of you would want my tax bill. Despite earning an annual sum significantly more than the basic rate tax threshold my take home pay is not significantly more than someone paying basic rate tax at the top of the band.

How can someone on £15k pay 1/3?

If they get top ups now will that just increase to compensate

@Biker47 yes yes - me too!

I think its a shame they use 'we work hard' or 'i earned it' as reason for paying less tax because it instantly alienates all the people working hard and not earning enough to pay higher rates. It implies other people dont work hard. There is also a solution of not working hard and paying less..
I am far from a higher rate tax payer but i do think taxing earnings is easy and people understand it but i am not sure its the right tax. Would taxing wealth be fairer. I've also wondered whether a big tax free allowance and then a high flat tax rate above that might work better.

Because we want to live in a generous, fair society

It isn’t currently fair though is it. Some paying average, some paying way more and others paying nothing as they don’t work or work little. Nothing fair about that at all.

It's annoying that people who worked hard at school, got good exam results, went to uni, got a massive loan to go to uni then did well in life has to pay more tax than those who didn't bother.