Submitted on Tuesday 5th July 2022
Rejected on Monday 11th July 2022
Current status: Rejected
Rejection code: no-action (see below for details)
Change the income tax structure to remove the 60% effective marginal rate
The Government should remove rules that reduce the personal allowance for people who earn over £100,000. The associated loss of tax revenue to the exchequer should recovered through the introduction of a more progressive income tax structure.
Removal of the personal allowance for people who earn over £100k has the effect of creating a 60% effective marginal rate of income tax up to £125k, returning to 40% for £125-£150k. As such, the current effective income tax structure is not progressive. It does not apply higher tax rates to higher levels of income.
The 60% effective tax rate is a clear disincentive for those earning around £100,000 (mainly those seen as "wealth creators"). The vast majority will act to avoid this rate.
You can't sign this petition because it was rejected. But you can still comment on it here at Repetition.me!
The Government e-Petitions Team gave the following reason:
We understand you're concerned about the reduction in personal allowance for those earning more than £100,000 per year, however we're not clear what the "more progressive income tax structure" you propose to replace this with would be.
You might like to sign this petition which calls for a related action:
Raise the tax personal allowance reduction threshold from £100,000 to £150,000: petition.parliament.uk/petitions/618660
3.22.240.165 Sat, 16 Nov 2024 11:05:18 +0000
