| scraping 10 pence on low paid |
| The issue: |
why has it taken a year for this out cry to start when all the MP's have known the 10 pence tax was being scraped and tax starting at 20 pence. it seem's to me that the Conservatives including our leader David has left it to late to help us low paid as is the norm, what are you lot going to do when we run out of money.
i would also like to know why we have to pay for your second home when i know a lot of freinds who live and work in London and travel each day from there family home.
I am becoming totaly ------off with the fact i am supposed to find £60.00 a month more for food,diesel and all the other house hold bills but my increase in wages will only be about £25.00.
Perhaps someone is not putting as much energy into thair job as i have to into mine and if i dont i lose mine straight away. |
| Date Issue Raised: |
07 Apr 2008 |
| My response: |
Thank you for your email about the abolition of the 10 pence starting rate of income tax.
One of Gordon Brown’s last acts as Chancellor of the Exchequer was to abolish the starting rate. It was a key part of Labour’s 2007 Budget since its abolition, coupled with putting up National Insurance Contributions (NICs), was yet another stealth tax to enable Gordon Brown to pay for his 2 pence cut in the basic rate.
Regrettably, it is quite clear what the implications of abolishing the 10 per cent rate are. It means that members of our Armed Forces, who are serving Britain in tough conditions in Iraq and Afghanistan, will pay more tax. The abolition of the starting rate will also hit other low-income individuals, including those who work to provide vital public services such as NHS workers and part-time teaching assistants.
Overall, 5.3 million of the lowest paid earners will be worse off as a result of the income tax and NICs changes announced in 2007. Many will become more dependent on the complicated tax credits system, thereby reducing their self-reliance. Taking away more of people’s money whilst making them more dependent on the state is symptomatic of this Government's approach.
The Government obtained the Parliamentary authority to abolish the starting rate through a Budget resolution passed by the House of Commons on 18 March 2008. My Party voted against the resolution because of the burden imposed on hard-working individuals. We will continue to press the Government on this issue as the Finance Bill goes through Parliament.
We would approach each Budget seeking ways, consistent with sound public finances and economic stability, to reduce taxes on businesses and families striving for a better life.
Once again, thank you for taking the time to write to me.
|
|
Sir George Young Bt MP: Constituency and Parliamentary Website 