MattW

Buried in the finer detail from yesterday's pre budget report.

Salaries of >100k lose personal allowance
Dividend tax rates up to 37.5%

Labour revert to form.

Assuming the above changes are delayed, it is interesting to see that middle incomes benefit the least from the proposed changes. I suspect we may see Labour in the wilderness longer than the Tories have been.

boxst

What does lose personal allowance mean?

Steve

stilover

VAT reduced to 15% But..................


National Insurance contributions up
Petrol Duty up
Alcohol & Tobacco duty up.

This is a complete con. A 2.5% drop in VAT is not going to make people go out and spend. They are raising Taxes through the back door. If they really wanted to give people more money to help them out of debt, why not just reduce income TAX?

Because this isn't about saving people money. It's about raising Taxes. If I don't go out and spend money to save 2.5% VAT, I'll still be more out of pockets as every time I tank my car up, it'll cost me more. Every time I fancy a pint it'll cost me more. Every pay cheque I get will be less money as I'm paying more in NI.

Get this shower of Sh*te out of power ASAP.

boxst

Ah, the amount you earn before paying tax. This is a good table from the BBC:

INCOME TAX, NI CHANGES COMPARED TO 2008/09 TAX YEAR
Income/year 09/10 10/11 11/12
10,000 118.80 118.80 215.58
25,000 118.80 118.80 140.58
50,000 343.30 343.30 240.08
75,000 343.30 343.30 115.08
100,000 343.30 343.30 -9.93
125,000 343.30 -951.70 -1429.93
150,000 343.30 -2246.70 -2849.93
175,000 343.30 -2246.70 -4224.93
200,000 343.30 -2246.70 -5599.93

Steve

tanyatriangles

iTrader: (2)

Sorry, what do those figure represent? I see some have - values, what does that mean?
Sorry if it's a thicko question

CharlesW

That's how much worse off those groups will be each year, because of the loss of personal allowances. Remember Denis Healy. He proudly proclaimed that he would "squeeze the pips until they squeeked". That's the "rich" he was talking about. Goodbye "New Labour" - Hullo "Old Labour".

That was not long before he had to go begging to the IMF. Gordon and Alistair are headed the same way soon.

tanyatriangles

iTrader: (2)

So the figures WITHOUT minuses represent how much BETTER off people will be?

Seine

Yes.....becuase that is a +

Leslie

I keep wondering if the source of money will dry up for UK borrowing as they did before in Callaghan's time!

Les

stuart n

According to reports today anyone earning over £20K a year will be worse off in 2011 as we have to start paying this cash back.