Did you know that a report is published every month showing
the yield from each of the UK’s taxes - http://www.hmrc.gov.uk/statistics/receipts/info-analysis.pdf?
It is a bit of a myth buster!
From it, I can see that in 2002, when the VAT rate was
17.5%, VAT contributed £63.026Bn or 20% of taxation revenue. In 2012, the
VAT rate was 20%, the yield £98.292Bn or 21% of taxation revenue. So we’re
paying about 50% more tax overall than we did ten years ago – horrific!
The respective yields of taxes in percentage terms, have
remained about the same over the last ten years, with Income Tax (including
PAYE, capital gains tax and NICs) bringing in 54%, VAT 21%, Corporation Tax 9%,
Oils 6%, stamp taxes 2%, tobacco duties 2% and alcohol duties 2% That
leaves 4% for “others”. One of the “big taxes”, Inheritance Tax, yielded
just £2.917Bn or less than two thirds of one per cent of total taxation
yield. This also indicates that an awful lot of time and hot air,
especially at Budget time, is expended on taxes that really yield very little –
time to start clearing out some of them.
No comments:
Post a Comment