GOLDMAN 555

We all know things have gone up a lot recently and I suppose we will just have to take it in the tradesman's entrance...

Does anyone know if the below its truefor the budget of April 2008.

Income Tax Up 2%
Council Tax another 4.6%
Fule Duty Up 2%

If it isI think it will tip the country over the edge......

PeteBrant

Income tax won't rise.

In general it is lower (unless you are poorly paid - Nice)

I d think it rather silly that the Government are insisting on all public workers accept no more than 2% pay rise for the next three years, and in the same breath assure us that councils will be capped at a maximum 4.8% rise.

subaruturbo_18

i sound ignorant but they always raise these taxes, where does all the money go?

Tiggs

Yes - its true.

It's been widely covered in the financial press that Brown wanted to go back on the Pre-Budget announcement from October and implement a 10% hike in basic rate tax. Apparently someone told the press and its now common knowledge.

Leslie

I don't like to say, your guess is a good as mine!

How can they a Labour govt. possibly charge more income tax for the low paid and pensioners, and allow some public sector workers a 4.8% pay rise?

Do these plonkers ever talk to each other or is it all done on the consensual couch as before!

Les

Brendan Hughes

Wars cost a lot

And these days, so does fuel - on which almost everything depends, more or less.

Mitchy260

IT down to 20% making those in the £16-£40k pay scale better off.

Where is the mention of a 2% increase on todays 22%?

SJ_Skyline

Of course they have to raise taxes. How else can they afford to give £850M away to India? (A nuclear power that has not signed the NNPT)

speedking

The horse's mouth. AIUI 10% rate to be abolished, income tax basic rate to be reduced to 20%, but NI to be increased. Overall little change to actual take home pay.

Mitchy260

Actually, national average wage increase by £16.54 a month... (Better than a kick in the bollocks i suppose )

£10,000 - £724.09 / £715.63 (-£8.46 pm)
£11,000 - £779.93 / £773.13 (-£6.80 pm)
£12,000 - £835.76 / £830.63 (-£5.13 pm)
£13,000 - £891.59 / £888.13 (-£3.46 pm)
£14,000 - £947.43 / £945.63 (-£1.80 pm)
£15,000 - £1003.26 / £1003.13 (-£0.13 pm) Break Even Point
£16,000 - £1059.09 / £1060.63 (+£1.54 pm)
£17,000 - £1114.93 / £1118.13 (+£3.20 pm)
£18,000 - £1170.76 / £1175.63 (+£4.87 pm)
£19,000 - £1226.59 / £1233.13 (+£6.54 pm)
£20,000 - £1282.43 / £1290.63 (+£8.20 pm)
£21,000 - £1338.26 / £1348.13 (+£9.87 pm)
£22,000 - £1394.09 / £1405.63 (+£11.54 pm)
£23,000 - £1449.93 / £1463.13 (+£13.20 pm)
£24,000 - £1505.76 / £1520.63 (+£14.87 pm)
£25,000 - £1561.59 / £1578.13 (+£16.54 pm) UK National Average
£26,000 - £1617.43 / £1635.63 (+£18.20 pm)
£27,000 - £1673.26 / £1693.13 (+£19.87 pm)
£28,000 - £1729.09 / £1750.63 (+£21.54 pm)
£29,000 - £1784.93 / £1808.13 (+£23.20 pm)
£30,000 - £1840.76 / £1865.63 (+£24.87 pm)
£31,000 - £1896.59 / £1923.13 (+£26.54 pm)
£32,000 - £1952.43 / £1980.63 (+£28.20 pm)
£33,000 - £2008.26 / £2038.13 (+£29.87 pm)
£34,000 - £2064.09 / £2095.63 (+£31.54 pm)
£35,000 - £2121.26 / £2153.13 (+£31.87 pm) Maximum sweet spot
£36,000 - £2185.43 / £2210.63 (+£25.20 pm)
£37,000 - £2249.59 / £2268.13 (+£18.54 pm)
£38,000 - £2313.76 / £2325.63 (+£11.87 pm)
£39,000 - £2377.93 / £2383.13 (+£5.20 pm)
£40,000 - £2439.47 / £2440.63 (+£1.16 pm)

speedking

As £31.87(x12)/£35000 = 1.1%, I will stand by my statement . When people hear 2% reduction they imagine a 10% saving in tax (2/22), which will not happen unfortunately.

darts_aint_sport

Unless you earn £35k/month then I think you've got your figures wrong!

Edit: ah you spotted

Mitchy260

Sorry, dont follow.

In comparison to salary now and in a few months time. Joe Bloggs earning £35000 is going to see a £31.87 increase in his take home pay every month.

Surely thats a good thing?

Not 10%, works out at around 4% though

£35000pa....

Total tax and NI in 2007/8 = £9544.90
Total tax and NI in 2008/9 = £9162.40

Difference of £382.50 per year (£31.87 per month) or around a 4% deduction.

PeteBrant

It is if you earn £35K.

Unfortuantely it's the lower paid that are covering the cost of it.

Pretty wrong if you ask me.

Mitchy260

Yes i agree, there will be millions of people earning less than the £15000ish break even point

alcazar

iTrader: (2)

And a further £50M to China. And the b@stards have just refused yet again to write off the Humber Bridge debt, so that Cancer patients from the south bank have to pay an extra £5.40 for their treatment, while prisonersin Hull Jail's wives, girlfriends mates and families can cross for free

Lying Labour B@stards!

Alcazar

The Zohan

<nods>

kingofturds

iTrader: (1)

Why are they giving £850 million to India?

PaulC72

but the ones earning over 40k will be worse off?

Ringpeas

To buy influence in trade deals.

girl-in-a-scoob

we always look after others better than we look after our own

The Zohan

Yes, it sems that way doesn't it

try for a real eye opener

https://www.scoobynet.com/non-scooby...ml#post7623708

girl-in-a-scoob

that is so wrong

The Zohan

Yup, it certainly is.

Lisawrx

iTrader: (1)

What gets to me is I am on a low income, so will likely be in the worse off bracket. I have no problem that those earning more than me may benefit, good for them for being in a better position than me (I mean that sincerely, not sarcastically). What does bother me as I will be worse off, and as I'm already not earning alot, I will be technically contributing more to those who know how to play the benefit game, not working at all.

I work hard, and don't want a lecture about 'get a better paid job', but I think it's unfair I will be paying more to those unwilling to work. Just to make it clear I don't think people earning more should foot the bill, I have an overall problem with the benefit system but thats another story.

I know this is only partially where tax goes, but it is the part that gripes me quite a bit.

ScooByer Trade

Also VAT scammers take a big chunk of the biscuit too.Heads of ex and present mobile phone companies are the ones. I guess the government is trying to regain its losses.

Mitchy260

Yes because NI band is increasing.

At the moment you pay 11% upto £34840 and then 1% afterwards. From April you will pay 11% to £40040 and then 1% afterwards.

Meaning the gain in income tax, is taken up and more by them moving the threshold for NI.

And hence why £35000 is the sweet spot for maximum gain

The year later 09/10 the IT and NI will be brought in line so again it wont make much difference, ie 40% set at £43000, NI set at £43000

So what you gain in IT, you'll lose in NI

Sneaky

Mitchy260

With the 40% tax band set to be increased to £36000 (+£5435) so £41345 in total (Not confirmed until next month but this is what has been planned)

Someone earning

£40,000...an increase of £1.16 per month.
£41,000...a decrease of £32.55 per month.
£42,000...a decrease of £25.30 per month

And from then onwards,ie £43,000/£44,000 etc a decrease of the same £25.30 per month.

This will be right for year 2008/9.

But will change slightly when NI and IT are brought in line with each other in 09/10.

In 09/10, You'll gain in IT going to around £43000, but then you'll lose by NI going to the same £43000.

It will then be finally alligned and move up together from then onwards

speedking

So why not scrap NI and just call it all income tax at 51%

rossyboy

iTrader: (8)

Would surely save a lot of admin, but then maybe people would realise more what they actually pay in total in tax.