Labour would re-introduce the 50p tax rate

[TheCyclingProgrammer]

Where did you get figures for current tax year that won't finish for next 2 months and people won't be submitting SA for another 9?

This.

It would appear that the 50% rate did bring in significant revenue and possibly more than previously though.

Does a 50p income tax rate raise the money that Ed Balls & Labour claim? | ampp3d

That said, I believe that Labour are yet to show their working.

I have no objection to it in principle if it can be shown to raise significant revenue. I don't believe for one minute that it "disincentivises working hard" (you're still earning much more money than most) but it does risk encouraging creative avoidance.

[AtW]

It would appear that the 50% rate did bring in significant revenue and possibly more than previously though.

Ok, so £3 bln in increased tax revenue now (and nobody knows for how long), but how much future investment that would cost?

I reckon big part of tax increase in that bracket is due to HMRC anti-avoidance work in the last few years.

Osborne's calculation is that 45% tax will get more revenues than 50% - that's the only thing that would really matter (to people with brains), and he'll be able to show it right before election in budget 2015 - by that point he'll have tax returns for first full year of 45%.

[Zero Liability]

Why wouldn't it disincentivise it when you can go work abroad and with less tax, in nicer climes? It's not like the world outside Britain is some post-apocalyptic nightmare. I object to it both in principle and in practice.

You are in effect taxing work, so it will disincentivise it. The fact that people will continue working because they need or want money (with inflation, you need to earn that much more to ensure you have a decent retirement fund) just means they have to sacrifice that much more leisure for it. It isn't the 'rich' who pay this, who know how to work the tax system to a tee, but skilled labour and professionals. Eventually some will figure out they can make more money for less hassle elsewhere, and leave. So I think ATW makes a good point.

And then, all this so some profligate government can spend it to its liking? No thanks.

[AtW]

So I think ATW makes a good point.

As always.

And it's AtW. I am very case sensitive.

[MarillionFan]

As always.

And it's AtW. I am very case sensitive.

The 't' is silent, which is why is mum always goes. Aw!!!!! His surname, Bless.

[Doggy Styles]

Ed Balls is an economic numpty. He has never been right about anything.

[AtW]

Ed Balls is an economic numpty. He has never been right about anything.

He is Right wing...

[Mich the Tester]

In the meantime, more news of the wonders of socialism:

BBC News - Argentina to ease foreign exchange controls after peso slump

I know I'm a bit scathing on CUK about religion at times, but at least one can never disprove religious beliefs. Socialism, on the other hand, is proven to be utter crap over and over again, to deliver low performance for the nations who adopt it, and yet people still espouse it! LUNATICS!

Argentina was pretty much back on track after the default in 2000 or so and then along came Kirchner and f***ed it all up again. They have a large, educated middle class trying anything to get out; many have Italian passports or relatives in the US so it's easy enough to give up and leave for somewhere they might have more chance of success.

[Mich the Tester]

Ok, so £3 bln in increased tax revenue now (and nobody knows for how long), but how much future investment that would cost?

Dunno but going on the track record of successive governments, 3bn of extra revenues would lead to 3.15 bn in extra spending and another 150 mn in debt for you to finance.

[GB9]

A danger is that 50p soon becomes 60p etc.

As soon as Labour has spent the additional revenue they will come back to those with the broadest shoulders.

And no, it isn't fair, but that's socialism for you.