Last week we had the IDS pension ideas, lifted nearly wholesale from our Welfare policy. Today we learn from Alison Little in the Daily Express that their brand new Quango, the Office of Tax Simplificationis advising the Chancellor to bring in another of our policies in the forthcoming budget.
THE biggest tax shake-up for decades which would merge income tax and National Insurance under a single rate is being considered by Chancellor George Osborne.Lets see what the UKIP policy states,
It could save companies and the Government hundreds of millions of pounds a year, say experts.
The plan emerged after the Chancellor appointed experts last year to dramatically simplify Britain’s complicated tax system.
His response to the Office of Tax Simplification (OTS) report will be made in his Budget on March 23.
A flat tax system for BritainThis of course is from our policies as they stood for the General election in 2005, that is the one before the last, so the numbers are a tad out of date,
- and merging existing income tax bands and employee’s National
Insurance contributions into a single flat income tax at a rate of 33%.
UKIP’s proposalBut we are in the process of a full scale policy review and new figures and details will be available shortly.
recognises that national insurance payments (and self-employed NI) are essentially an
additional income tax rather than contributions to a social fund. We would combine
income tax and employee’s NI contributions into an income tax at the single rate of
33% for all income above a raised personal allowance of £9,000 per year.
Of course we are delighted with these proposals from the Treasury Quango, and only hope that the Chancellor will take them on board.
While he is at it he should look the rest of the document, it could save him and his experts a great deal of time, and the country a great deal of money.
How about no income tax on the minimum wage? Or transferable tax allowances. Just remember people. UKIP is only about the EU 'n Immigration, so you best not trouble your little heads about the rest of the manifesto.