Time to completely overhaul out Tax system

There is only one fair way to do this, so that everybody pays regardless.

Put tax on every product like VAT, then it will go directly to the government.

No middle man, no accountant needed, no companies or people avoiding tax.

This will also prevent all those companies that make a profit in this country, pay tax on their profits made in this country, rather than sending the profits to their head office in a country requiring less corporation tax.

Most products do carry VAT...how is this different?

Most products do carry VAT...how is this different?

Well first ask yourself why do we all pay VAT, and why do we also pay tax as well?

Well first ask yourself why do we all pay VAT, and why do we also pay tax as well?

No point in a quiz..just explain what you want to do....

That does not make sense. How can you pay tax if you don't know the sum of money which is taxable?

It's not just 20,40 % on everything. Its calculated, there is non taxable amount, bussines expenses and so on.

That does not make sense. How can you pay tax if you don't know the sum of money which is taxable?

It's not just 20,40 % on everything. Its calculated, there is non taxable amount, bussines expenses and so on.

A flat rate tax could be levied. Why should you need 20% or 40%.

We all know for example that the rich are less likely to pay their taxes if their tax is levied too high. That is when they start to evade tax. Set it at an acceptable level and they will pay. Well now you don't have to even do that under this system, as they wont be able to avoid it.

A flat rate tax could be levied. Why should you need 20% or 40%.

We all know for example that the rich are less likely to pay their taxes if their tax is levied too high. That is when they start to evade tax. Set it at an acceptable level and they will pay. Well now you don't have to even do that under this system, as they wont be able to avoid it.

I may be being a bit thick this evening but I don't understand your idea...can you be a but clearer?

You buy a tin of baked beans, you pay VAT and a new tax is added, which is your income tax on those beans. Both taxes go direct to the government.

You buy a tin of baked beans, you pay VAT and a new tax is added, which is your income tax on those beans. Both taxes go direct to the government.

So no income tax but more tax on goods we buy? What about stuff businesses buy for their running? Do they pay this tax on those items?Would companies also be taxed on profit?How about the personal tax allowance..would that disappear.Wouldn't this disadvantage the low paid?

So no income tax but more tax on goods we buy? What about stuff businesses buy for their running? Do they pay this tax on those items?Would companies also be taxed on profit?How about the personal tax allowance..would that disappear.Wouldn't this disadvantage the low paid?

Your income tax will just be transferred to goods rather than a separate income tax you pay monthly or annually each year. That way nobody can evade paying their income tax.

All Stationery for example will be taxed for businesses.

At the moment many companies have been in the news for not paying their taxes as they transfer these profits to their head office in Ireland, which has the lowest corporation taxes in Europe. If the law changed that stated, you pay tax on the profits you make in the country you make them, this would stop overnight.

The tax office know your annual salary and provide you with a tax code.

Those not liable for tax until a certain salary is reached will still not have to pay income tax on their tin of beans. You will be provided with a card if you are a non tax payer.

So I, as a non-taxpayer, do all my tax-paying sisters shopping and she then pays me back in cash - I can see that being a great idea.

There is only one fair way to do this, so that everybody pays regardless.

 

Put tax on every product like VAT, then it will go directly to the government.

 

No middle man, no accountant needed, no companies or people avoiding tax.

 

This will also prevent all those companies that make a profit in this country, pay tax on their profits made in this country, rather than sending the profits to their head office in a country requiring less corporation tax.

No, all you've done there is create a tax system that is so heavily slanted towards the wealthy and towards companies that their effective tax rate will plummet to almost nothing. They won't need to avoid tax, you've just let them off paying it on the vast majority of their money.

Only people on relatively low incomes (about 80% of the country) actually spend most or all of their incomes on day to day living costs and luxuries. Those people will find that the cost of everything rises sharply to compensate for the loss of revenue from all those taxes that actually make up the bulk of

the Government's tax revenue. And they'll be paying tax on a lot more things because you've removed all the exemptions.

The wealthy will end up paying tax on only a small (or microscopic in some cases) portion of their annual wealth because they only spend a small proportion of it on products.

The same goes for companies. The amount spent on physical materials tends to be a fraction of the wealth generated by manufacturing something or selling it at retail prices. Even if you put the tax up on those products to compensate for the loss of all the other taxes they have to pay, they're still just going to pass on that cost to their customers.

VAT only makes up about 17% of tax revenue. If you eliminate all the rest you either have to seriously hike the prices of everything or you cut Government spending by about £600billion a year.