Why wasn't 40pc rate reduced or income tax thresholds raised?

[Indigoo03]

Any opinions?

You seem to actually have no lived experience in term understanding those you perceive as ‘rich’ in today’s climate with three kids, a mortgage etc and what they do/don’t do with their money

I have fuck all sympathy for people earning over £150, 000 who get a massive tax cut

Very…slowly…for…you…now…

I am not a spokesperson for anything.
You are now trolling because you don’t bet that other get what they’re trying to do via tax cuts, even if they disagree with it.

What people (and markets) don’t agree with, is cutting taxes.

I am one of those people.

But what people on here (who don’t understand basic taxation) are saying is that money not collected via tax cuts should somehow be given to those who earn less. A tax redistribution.

I don’t agree with it at all - but in line with what they are trying to achieve, I understand their methods.

Nobody is asking you too.

Tax cut on someone earning £160k per annum is about £500 per annum.

Do realise that?

There is more truth to this than some people would like to admit. I lean left and have voted in the past for tax raising parties, but certainly don't trust this fucking Tory shower to use tax money to assist the vulnerable rather than give it to their mates.

Massive eh?

LOL.

Ok then.

But what people on here (who don’t understand basic taxation) are saying is that money not collected via tax cuts should somehow be given to those who earn less. A tax redistribution

I am saying that people who are on salaries that are currently at the lower end of the tax scale should have been the ones to benefit instead of the ones at the top end.

If we have several billion pounds of tax cuts to make, it should have been done to give those at the lower end of the tax scale more take home pay.

How much extra money will you have now?

You can only benefit by not paying as much tax (a tax cut) as your normally would have.

People on the lower end pay very little tax.

They can only benefit very little, otherwise it becomes a subsidy on others and o out more money in their pockets.

Then that’s out of the realm of tax cuts isn’t it.

With tax and NI cuts, in our house across two adult earners, we stand to gain 3.5k in the next tax year.

We have also paid a hefty six figures, hundreds of thousands of pounds worth of tax, over many years.

You can’t give tax back to people who aren’t paying it already.

The NI move… I don’t know what to say about that tbh.

When I earned about £35k (as a single parent with two kids), I received several hundred pounds a month in UC because of childcare costs (it didn’t cover even half of those costs though). And CB.

It was a pretty hefty subsidy just to keep me on the labour market. And I was scraping around just to get by. Because if you take home c.£2,150 a month there’s not much (actually nothing) left after you’ve paid £1200 (sometimes more in a long month with many weekdays) for nursery and covered your mortgage and basic bills.

More positively, struggling to just stay in the labour market has paid off for me as I’ve been able to move into a role that’s nearly doubled my salary and means I don’t qualify for anything (but tax free childcare) any longer. But not everyone is going to be able to do that for many reasons - a crucial one being that, for it to be worth losing the UC childcare subsidy, I needed to enormously increase my salary. There was a big area in between where not qualifying for it would have totally negated any salary increase. Ridiculously, after covering childcare, mortgage and bills there’s still not as much left over to fund the kind of lifestyle people on MN seem to think someone on my salary would be living.

It’s a scandal that a salary that puts me in the top 8% of earners doesn’t go some fulfil those MN expectations. And I’m very aware that it’s temporary because my childcare costs will reduce substantially next year when the DfE subsidy kicks in, and even further the following year when my youngest goes to school. So I am not complaining about how terrible it is for me (clearly it’s not and I am extremely grateful for that!); I am* *complaining about how dreadfully successive governments have mishandled the economy to get to a situation like this.

As I said: it’s an economy riddled with huge, structural issues. It’s a bloody mess. And this mini budget does nothing to address this stuff.

And we gladly pay our taxes! Always have done.

They most definitely can and do!

There is no need to be rude. I do not need you to speak slowly, I understand the budget perfectly well. As do the markets. As do most people to be honest.

The cash benefit between different vingtiles is being widely discussed but the % increase in take home pay (which was a deliberate political choice) is what makes this such an unusual and indefensible budget at this time when those on low and middle incomes are facing rising prices and a genuine deep squeeze on their living standards.

The % increase in take home pay for someone on £20,000 is 1%. The % increase in take home pay for someone on £200,000 is 4.5%. This is why the budget is unpalatable to most.

This budget is genuinely and intentionally regressive. This is unacceptable IMO. It is early 80s trickle-down economics which has been proven not to work.

I have not been rude. I have responded, rightfully, to 2 barbed posts from you, re my intent posting on here.

And no, most people don’t understand it, at all. Most people don’t get basic taxation and how it works - as is evident on here.

The % increase in take home pay for someone on £20,000 is 1%. The % increase in take home pay for someone on £200,000 is 4.5%. This is why the budget is unpalatable to most

Yes!! Because they pay in way less overall. It can’t be the same using this system of tax cuts can it?

I think people can clearly see this budget is genuinely regressive and is not sensible at this time, it is visible from space.

I get taxation, thank you very much.

I just am one of the many millions of people who will never earn a salary of the 1% who earn very high salaries.

The increase in my take home pay versus the rate of inflation is worrying.
When I see rich households get tax cuts, I do ask why.

Do you realise 46p combined with NI and all the rest of it means more than 50% of what someone is earning is being taxed. Ludicrous.

Basically working for free until well after lunchtime. Where is the incentive to work or earn more?!

Me too!

I don’t agree with the tax cuts either

Me too. It's scandalous and irresponsible to have cut them.

It can’t be the same using this system of tax cuts can it? I genuinely do not understand what your point is here? The whole point is people disagree with this particular tax cut.

1. The decision to make this budget disproportionately benefit the top 5% of earners was deliberate
2. It was the wrong choice ethically
3. It was the wrong choice economically

Because tories to a man (and woman) are all fucking cunts

Because she is even less scrupulous than Johnson.