Submitted on Thursday 6th September 2012
Published on Tuesday 2nd October 2012
Current status: Closed
Closed: Wednesday 2nd October 2013
Signatures: 5
Tagged with
Council ~ council tax ~ Economy ~ income tax ~ Money ~ Tax ~ UK
Review of council tax; whether it could be replaced by a small rise in income tax or a local tax rate
The current system for Council Tax is flawed for a number of reasons:
* It is disproportionate to household income.
A proportionate tax rate would leave more money in the pockets of the poor, thus helping to alleviate the problem with food poverty in the UK, whilst for the rich it would be making a small dent in their savings - which are leaks from the economy.
* Debt collection. As it is not based on income nor collected through the tax system, there are a number of people unable or unwilling to pay, leading to court cases.
A proportionate tax rate collected through the tax system would remedy this.
* Bureaucracy. Collecting through tax systems in place would cut the number of departments and save money.
There are some issues though:
- Second homes. Usually higher tax rate payers.
- Tax avoidance schemes. A rate separate to income tax? Collect through corporation tax system?
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