Tuesday, March 6, 2007

Local Inome Tax - Video Response

The Liberal Democrats and the SNP are the only two parties proposing that local services be funded by a Local Income Tax. My views on the matter are recorded (slightly jerkily) below:

2 comments:

Robert Burns said...

You say that a local income tax would be unfair. Fine, but isn't it equally unfair that currently pensioners and others on low incomes bear a disproportionate amount of the council tax burden. The income tax system doesn't force people on low incomes to contribute beyond a certain point - why should other forms of taxation target them?

Of course, a really radical approach would be to question why council tax is so high in the first place, but it's probably too much to expect anyone to pursue that line of questioning.

- said...

There is a case for reform in all existing tax systems. However, the Local Income Tax hits one particular group alone, and shifts the burden solely onto that income group. The principle of all contributing, at least something, to the services we all enjoy, is lost.

Low income groups do have a relatively higher tax burden, but they are also often the big gainers from local services in ways that other groups do not benefit.