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Top 1% of earners pay 30% of all UK income tax receipts

MarkjukMarkjuk Posts: 30,436
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http://www.dailymail.co.uk/news/article-2451686/Squeezing-rich-How-1-earners-pay-THIRD-income-tax-year.html

http://www.telegraph.co.uk/finance/personalfinance/consumertips/tax/10368203/Top-earners-to-pay-third-of-all-income-tax-despite-rate-cut.html
Highest paid to contribute almost 30% of all income tax in 2013-14
£1million earners pay 12% of tax, up from 6.4% at the last election
Up from just 20% a decade ago as richest shoulder more of the burden
The proportion paid by the top one per cent of earners has risen steadily, hitting 25 per cent in at the time of the 2010 election and 27 per cent last year.
Latest figures from HM Revnue and Customs show those earning £160,000-a-year – putting them in the top one per cent – will pay 29.8 per cent of all income tax.

It has risen sharply in the last decade. In 2003 the same group accounted for just 20 per cent of the total income tax raised.
This year the richest 0.1 per cent will pay 14.1 per cent of all income tax, and the mega-rich earning more than £1million will contribute almost 12 per cent.
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    BrokenArrowBrokenArrow Posts: 21,665
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    I guess tax avoidance is not as big an issue as people thought then.
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    smudges dadsmudges dad Posts: 36,989
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    Sounds fair enough. We get more money overall and have more left after tax than other people, so it's better for everyone. :)
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    faded.princessfaded.princess Posts: 1,627
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    This cannot be true as everyone knows that Britain is supported by those on benefits and low paid hard working families.

    Or at least that's what Labour would have their gullible supporters believe.
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    jmclaughjmclaugh Posts: 63,999
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    No surprise, that is how the income tax rules are structured. The only interesting point is the percentage of income tax receipts they pay has gone up from 25 to 27% since the last election.
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    BrokenArrowBrokenArrow Posts: 21,665
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    jmclaugh wrote: »
    No surprise, that is how the income tax rules are structured. The only interesting point is the percentage of income tax receipts they pay has gone up from 25 to 27% since the last election.

    Isn't this because the tax allowance has gone up to 10k?

    Or has this not come into effect yet?
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    jmclaughjmclaugh Posts: 63,999
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    Isn't this because the tax allowance has gone up to 10k?

    Or has this not come into effect yet?

    Nope as logically that would reduce the figure. The fact is above a certain level people lose an increasing portion of their personal allowance and eventually all of of it.
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    TheEngineerTheEngineer Posts: 7,789
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    Isn't this because the tax allowance has gone up to 10k?

    Or has this not come into effect yet?

    For 2013/14 it is £9440, for 2014/15 it will be £10,000
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    TheEngineerTheEngineer Posts: 7,789
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    jmclaugh wrote: »
    Nope as logically that would reduce the figure. The fact is above a certain level people lose an increasing portion of their personal allowance and eventually all of of it.

    Correct:

    Details here: http://www.hmrc.gov.uk/rates/it.htm

    Basically for ever £2 you earn over £100,000 your personal allowance drops by £1. So for 2014/15 anyone earning over £120,000 will have no tax free allowance.
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    Nick1966Nick1966 Posts: 15,742
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    It's say something about the UK distribition of income and salaries when the number of taxpayers equal to the population of Blackpool pay around £50 billion in income tax each year.
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    deptfordbakerdeptfordbaker Posts: 22,368
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    There is a ratio between rich people that pay most of the tax and the poor that don't. Its why migrants need to be rich or high earners, so they don't alter it too much.
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    TheEngineerTheEngineer Posts: 7,789
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    Nick1966 wrote: »
    It's say something about the UK distribition of income and salaries when the number of taxpayers equal to the population of Blackpool pay around £50 billion in income tax each year.

    Those who can, do. Those who can't, moan about it on the internet, ;)
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    jmclaughjmclaugh Posts: 63,999
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    Nick1966 wrote: »
    It's say something about the UK distribition of income and salaries when the number of taxpayers equal to the population of Blackpool pay around £50 billion in income tax each year.

    So what is it it says bearing in mind the population of Blackpool is 142,000?
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    trevgotrevgo Posts: 28,241
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    I trust the class warriors will have a strategy for replacing the 30% of revenues paid by the richest 1% once Labour have scared them off.
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    DotheboyshallDotheboyshall Posts: 40,583
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    How much of the income do they have and how much in other taxes do people pay?
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    Nick1966Nick1966 Posts: 15,742
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    jmclaugh wrote: »
    So what is it it says bearing in mind the population of Blackpool is 142,000?

    Wretched Wiki !They said it was 239,000. :o
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    wazzyboywazzyboy Posts: 13,346
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    trevgo wrote: »
    I trust the class warriors will have a strategy for replacing the 30% of revenues paid by the richest 1% once Labour have scared them off.

    Increase the opportunity for wealth and higher incomes of the other 99 per cent and thus taxable income along with it?
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    jmclaughjmclaugh Posts: 63,999
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    Nick1966 wrote: »
    Wretched Wiki !They said it was 239,000. :o

    So what? The working population is about 30m.
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    Biffo the BearBiffo the Bear Posts: 25,859
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    wazzyboy wrote: »
    Increase the opportunity for wealth and higher incomes of the other 99 per cent and thus taxable income along with it?

    Shh don't talk common sense.
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    wazzyboywazzyboy Posts: 13,346
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    Shh don't talk common sense.

    Seems odd to me to extol the virtues of a low and no taxation culture at one end of the income scale and bleat about disproportionate tax burdens at the other.
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    LostFoolLostFool Posts: 90,662
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    wazzyboy wrote: »
    Increase the opportunity for wealth and higher incomes of the other 99 per cent and thus taxable income along with it?

    I've never understood that argument. Are the "other 99%" sitting around saying "there's no point in getting rich because there are already enough rich people. I'll wait until they all leave." :confused:
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    jmclaughjmclaugh Posts: 63,999
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    wazzyboy wrote: »
    Increase the opportunity for wealth and higher incomes of the other 99 per cent and thus taxable income along with it?

    And how exactly can that be done?

    Personally I'm for reducing the tax burden.
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    wazzyboywazzyboy Posts: 13,346
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    LostFool wrote: »
    I've never understood that argument. Are the "other 99%" sitting around saying "there's no point in getting rich because there are already enough rich people. I'll wait until they all leave." :confused:

    If you want to redistribute the tax burden, more people need to be eligible to pay tax. I can only see two ways to achieve this:

    1. Through increased wealth/income and/or

    2,. The lowering of thresholds.

    Not sure what you mean by people sitting around waiting for the rich to leave?
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    wazzyboywazzyboy Posts: 13,346
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    jmclaugh wrote: »
    And how exactly can that be done?

    More and better paid jobs and/or lowering tax thresholds?
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    jmclaughjmclaugh Posts: 63,999
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    wazzyboy wrote: »
    More and better paid jobs and/or lowering tax thresholds?

    The "and" part is illogical and you haven't explained the how, just restated the what.
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    CharlotteswebCharlottesweb Posts: 18,680
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    I guess tax avoidance is not as big an issue as people thought then.

    That depends entirely on what proportion of the total income they also get.
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