Why Labour's high tax plan is stupidity

[DodgyAgent]

I suppose I might get to see my parents a bit more often, so I’m not all that bothered.

And they thought that they had managed to get away from you!

[doodab]

Again, it’s not bankers throwing their toys out of the pram, it’s chemicals companies who trade with each other. The big ones are leaving partly because of taxes, but partly because of something much scarier; Britain’s credit rating will quite probably be cut, and almost certainly if Brown gets back it. This is extremely important for chemicals traders and buyers as they depend on being able to get letters of credit (bank guarantees). One factor in creditworthiness is country risk; if the country risk is higher, the max value of a letter of credit for the trader is reduced, which kills business. So you need to be in a country with a good credit rating. Add to that, as I’ve explained, the SMEs will move to follow the big companies for the sake of staying in business. THIS HAS NOTHING TO DO WITH RICH BANKERS THROWING THEIR TOYS OUT OF THE PRAM, except for a minority of cases. It has much more to do with moderately wealthy people wanting to save their businesses.

Sorry, I seem to have bent your thread OT by replying to someone elses post about bankers. My bad.

[doodab]

Fair enough. My reply was a bit OTT, but that phrase "fair share of tax" is like a red rag to a bull.

Aah, I thought it was the reference to strippers.

[DodgyAgent]

Aah, I thought it was the reference to strippers.

Are you saying that bankers money is more wisely spent by the government than it is being spent on strippers?

[BoredBloke]

"The chemicals group asked lenders on Wednesday for permission to move its headquarters and tax residence to Switzerland to save up to €450m ($680m) in the next four years"

So you are happy for the country to lose 100m euro each year - how do you think the government will make up this short fall?

[doodab]

What do you mean by social responsibility? .

I mean playing ones part in society in a responsible manner.

To some extent that means making ones contribution to the public purse, but it also means taking responibilty for the effects of ones actions on society, and choosing to act in a way which balances ones own lifestyle with the collective good.

[doodab]

"The chemicals group asked lenders on Wednesday for permission to move its headquarters and tax residence to Switzerland to save up to €450m ($680m) in the next four years"

So you are happy for the country to lose 100m euro each year - how do you think the government will make up this short fall?

Perhaps the government will save €100m a year by not having to provide them with national security, infrastructure, a working legal system and an educated workforce?

[doodab]

Are you saying that bankers money is more wisely spent by the government than it is being spent on strippers?

I'm saying that strippers will be forced to lower their prices due to fall in demand. More boobies for the rest of us.

Collective good, see?

[minestrone]

Tax hikes work in exactly the same way as a shop putting up prices.

If there is local competition people just go elsewhere very quickly.

Thatcher of course knew that.

[TimberWolf]

Higher taxes are inevitable now anyway which ever party gets in. The whole economy needs to be restored from the 1997 backup.