Would those on higher incomes pay more tax to support those affected by restrictions?

[nutmegtea]

Myself and most of my friends and family are not affected by the lockdown financially. They can work from home, have savings and so on.

Most support further restrictions although not all. Some are happy to pay more tax to help pay for it all but others are resentful of those who got paid on furlough while they had to keep working and essentially see it as them getting paid out of their pocket to do nothing. I can see why they think that although I don't agree with them and its inevitable that some jobs are going to be more impacted than others but it has made me curious is people who do earn more would be happy to see a steep rise in the tax they pay to help pay for an extended furlough scheme, grants to businesses, the arts and self employed or does it annoy you to have tp pay out more for some to sit about while you are still having to work?

I think you’ll find Hugh earners are already carrying the lion’s share of tax already. Perhaps a tax on luxury items that can be spread across more of the population would be more fair

Additionally, it’s naive to think high earners are not impacted by covid because they can sign from home. If the organisations they work for are not doing well, they’ll be living their jobs too. At my husband’s company they’re making lots of redundancies and all these people have worked through lock down. Quite a number of these people could be classed as high earners.

No, I wouldn't be happy about it.

I'd much prefer to see various tax loopholes closed so that businesses raking in profits and paying sod all tax had to pay a higher amount of tax.

I'd also be highly sceptical that any higher taxes paid would ever reach anyone in need with the current government.

Pay more then op. Donate more. Doesn't mean everyone else is happy to. Agree that companies that pay very little tax should have those loopholes closed though.

What is high income ? Because I’d be considered as such According to some pps and def don’t have a luxurious life but would need to right belts if it was increased.

Intesting arguments here. I earn >40k but

@nutmegtea - I’m a higher rate taxpayer too. I agree that corporation tax is too low but not sure what you mean by “corporate welfare”? Do you mean state aid or more general assistance for the poorer in society like uc tip ups? I do think we need to balance between a minimum wage that is fair to the individual and that makes business sense. Otherwise you do see fewer employees which is the last thing we need.

We have a somewhat progressive income tax system at the moment. So if taxes need raising I would support raising it for all, not just "high earners".

@CayrolBaaaskin I mean that often its the businesses that abuse tax loop holes are the same ones who benefit from the low wages that things like tax credits make possible. They can't have it all ways!

Yes, of course. The higher taxes will be coming anyway, caused by the pandemic not lockdowns. Without lockdowns they’ll be needed to sort out the mess after the health service is overwhelmed. It would be a better use of taxes to fund furlough and small business support.

@nutmegtea - what tax “loopholes” are you referring to? I used to work in global tax.

Tbh - I think our minimum wage is high enough that businesses are not paying less than they otherwise would. Not significantly anyway. In the US where there are not the same top ups, people are often paid much less than here for mw jobs.

No. For the government to piss it away on "management consultants" like they have for track and trace shambles? Government seems to care more for lining deloittes pockets than anything else.

I don't see the logic of some people.
We will all be paying for Covid for years, just as we paid for the World Wars for years and other historic events for decades.

I do think we need another lockdown, it's coming whither we like it or not. I'm hoping all shops will be allowed to stay open.

I'm all for progressive taxation in general - those who earn more should pay more, during this crisis and at all other times. It's such a common sense proposition that I don't know why it isn't just the way things work. I guess the answer is that politicians always want to court middle class votes and it's an unpopular position for a key voting demographic.

@CayrolBaaaskin Who wants to be like the US? That would be my worst nightmare. It is well known that many global companies aggressively avoid paying the tax they should in the uk and our outdated tax system lets them do it because there is not the political will to properly sort it out. Even the new reforms on tech tax can be side stepped by companies like amazon.

You may think that minimum wage is high enough but the truth is that people can't get by on it.

@MessAllOver

Higher earners will have to pay more tax. Because they're the only ones who will have the money to do it. So it doesn't matter whether we're "happy" or not about it.

What I can't stand (apart from the vitriol directed at those on furlough through no choice of their own) is the short-termism. Most of those furloughed will not be earning mega-bucks. It will cost far less in the long run to pay them a fair percentage of their salary (80% to 100%) to make ends meet and keep businesses open than it will to deal with the consequent problems of unemployment, homelessness and a rise in claiming benefits, poverty and child neglect. With luck, there will be a vaccine next year...We should try our best to keep businesses and the arts going and people in their jobs and houses until then. Then we might potentially have a functioning society when normal life resumes.

I agree

I would be happy for all unemployed people to have basic support and retraining, not just those affected by covid - but I would expect them to make every effort to find a new job (which I appreciate may not be possible for many straight away) or retrain.

I find it strange that many people are so concerned about people losing jobs because of covid, and want more financial support, but aren't concerned about improving the existing arrangements for people who become unemployed. People lose their jobs all the time for reasons outside their control, I don't see why people who lose their jobs due to covid are more deserving?

It's because of the swath of redundancies/job losses in the context of shrinking sectors.

I would happily pay more taxes if the cash went to the NHS, public services etc. Lining the pockets of Tory's mates in Serco and the like, no thanks.

We will all have to 'pay' to fund this crisis. Typically those that earn more pay more in taxes which is why we have tax brackets.

Those that have more disposable income pay more through more purchases.

I suspect some things like tax allowances/relief will be reduced to claw more money back.

Given this crisis has affected everyone (before covid can you ever have imagined being a pilot would be a risky profession job wise) across many different industries I don't see why one tax bracket should be targeted specifically.

@christinarossetti19 What about a UBI then which would allow people to be more adaptable and creative in finding work in the new economy which I agree is changing rapidly.

A UBI would be eminently sensible and cheaper to administer that the current UC system.

Unfortunately, it's a complete anathema to Tory ideology.

@nutmegtea - what loopholes? What are you suggesting that “global companies” do to avoid tax in the uk? What are they not caught by the GAAR? What do you think is outdated about our tax system?

You were saying before that companies were being subsidized by the taxpayer who pays top up to low wages. I was saying that I don’t think that’s true- countries which don’t have such top ups don’t have higher wages. I wasn’t at any stage saying I wanted us to be more like the US or that I thought the minimum wage was enough. I was saying that I don’t think companies would pay any more if there wasn’t a welfare state given the level of the current minimum wage.

@nutmegtea - wouldn’t a UBI just be a less focused (on the poor and therefore much much more expensive and less socially progressive) version of universal credit?

It’s easy to come up with easy answers if they don’t actually have to work isn’t it?

It sounds a good idea to say those that have lost their jobs should retrain, but many of those who have lost their jobs are on minimum wage and they do not have the money to pay course fees.

My household are middle income rather than higher income, but comfortable, and could afford to pay more tax. I don't object to the idea on principle, my issue is that I simply wouldn't trust our repulsive current government to ensure the tax increase actually did support extended furlough schemes for arts etc, nor to ensure their cronies were kept out of the trough. I would be concerned they'd find a way to pay Serco for a load of poverty consultants or something of that nature.