Tourist tax on flights

Remove this "Gordon Brown wanted a piece of the pie" tax on the one area of the transport network that was actually successful and performing for customers, which is now damaging the industry as per a number of airlines reducing flights and reducing visitor numbers.

 

 

This unfairly targets airlines operating out of the UK whereas many European competitors don't have this tax and have a commercial advantage.

This 'green tax' went directly to the treasury for Gordon Brown to waste on national debt. At least ring fence it to invest in a greener UK airline industry so that we can get ahead from our worldwide competitors.

Why is this idea important?

Remove this "Gordon Brown wanted a piece of the pie" tax on the one area of the transport network that was actually successful and performing for customers, which is now damaging the industry as per a number of airlines reducing flights and reducing visitor numbers.

 

 

This unfairly targets airlines operating out of the UK whereas many European competitors don't have this tax and have a commercial advantage.

This 'green tax' went directly to the treasury for Gordon Brown to waste on national debt. At least ring fence it to invest in a greener UK airline industry so that we can get ahead from our worldwide competitors.

Bicycles should be exempt from VAT

Bicycles (pedal bikes, push-bikes, whatever you like to call them) should be given a VAT exemption similar to books, food and children's clothes. Bicycle helmets should also be exempt.

Why is this idea important?

Bicycles (pedal bikes, push-bikes, whatever you like to call them) should be given a VAT exemption similar to books, food and children's clothes. Bicycle helmets should also be exempt.

Vehicle Tax

Stop the annual vehicle tax / charge.  Replace with additional charge on fuel.  Have "red" petrol for off road use to avoid penalising lawn mowers, quads, etc.

Saves larges ammount of money in admin and ensures all people pay tax according to use and prevents tax avoidance.

Why is this idea important?

Stop the annual vehicle tax / charge.  Replace with additional charge on fuel.  Have "red" petrol for off road use to avoid penalising lawn mowers, quads, etc.

Saves larges ammount of money in admin and ensures all people pay tax according to use and prevents tax avoidance.

Remove the Duchy of Cornwall’s exemption from paying certain taxes

The Treasury needs revenue urgently. Bringing the Duchy of Cornwall into the Corporation Tax and Capital Gains Tax net will bolster receipts and will show the government's commitment to making the UK a fairer country.

Why is this idea important?

The Treasury needs revenue urgently. Bringing the Duchy of Cornwall into the Corporation Tax and Capital Gains Tax net will bolster receipts and will show the government's commitment to making the UK a fairer country.

The domicile rule

This privelege allows so-called "non-doms" to avoid paying tax on in the UK on income kept abroad. This privelege is granted on very tenuous and often fabricated claims to be "domiciled" in other countries.

Why is this idea important?

This privelege allows so-called "non-doms" to avoid paying tax on in the UK on income kept abroad. This privelege is granted on very tenuous and often fabricated claims to be "domiciled" in other countries.

Reduce exempt periods for CGT on (rental) properties from PPR claims

Anyone selling a house can avoid 3 years' CGT just by claiming that house as their PPR (Principal Private Residence) for a very short period. So a buy-to-let landlord who is mobile, or has suitable family members to help – can juggle several properties and by judicious moving-in and moving-out can virtually avoid CGT completely. I rent, and it is commonplace to see landlords moving in for a month or two between rentals to activate this over-generous allowance (as well as maybe use the empty space).

My suggestion is to remove it completely – provide an incentive to sell promptly and ensure properties remain occupied as much as possible. If this is too strong, reduce the exemption to, say, a year, and also specify an actual period which counts at all – apparently there is no defined minimum – perhaps 6 months?

Why is this idea important?

Anyone selling a house can avoid 3 years' CGT just by claiming that house as their PPR (Principal Private Residence) for a very short period. So a buy-to-let landlord who is mobile, or has suitable family members to help – can juggle several properties and by judicious moving-in and moving-out can virtually avoid CGT completely. I rent, and it is commonplace to see landlords moving in for a month or two between rentals to activate this over-generous allowance (as well as maybe use the empty space).

My suggestion is to remove it completely – provide an incentive to sell promptly and ensure properties remain occupied as much as possible. If this is too strong, reduce the exemption to, say, a year, and also specify an actual period which counts at all – apparently there is no defined minimum – perhaps 6 months?

Repeal stamp duty on house purchases

What does the government give me for  my stamp duty? Most of us move residences out of necessity, either because our families have outgrown our current living conditions or because we need to relocate for work purposes (as suggested by the government!). Yet to perform this necessary action the government stings me, and seeing that it's hard to find a residence below £250k in many parts of the country, one has to find at least £7.5k to simply hand over to the chancellor. The lost revenue can be recovered more fairly, and uniformly, either through VAT and/or income tax.

Why is this idea important?

What does the government give me for  my stamp duty? Most of us move residences out of necessity, either because our families have outgrown our current living conditions or because we need to relocate for work purposes (as suggested by the government!). Yet to perform this necessary action the government stings me, and seeing that it's hard to find a residence below £250k in many parts of the country, one has to find at least £7.5k to simply hand over to the chancellor. The lost revenue can be recovered more fairly, and uniformly, either through VAT and/or income tax.

Alcohol Pricing

Place a national tax on all alcoholic drinks over 5% OG sold out with public houses and clubs. Maintain current alcohol prices in pubs and clubs to ensure drinking is maintained within a controlled environment.

Why is this idea important?

Place a national tax on all alcoholic drinks over 5% OG sold out with public houses and clubs. Maintain current alcohol prices in pubs and clubs to ensure drinking is maintained within a controlled environment.

Reducing The United Kingdom’s National Deficit – No To Europe & Foreign Aid

According to the Maastricht Treaty, the deficit of any nation should not exceed 3% of the Gross Domestic Product of that Nation.  According to the Office For National Statistics our 2009 deficit at £159,200,000,000 was 11.4% of the Gross Domestic Product.  According to the Maastricht Treaty, the cumulative debit of any nation should not exceed 60% of the Gross Domestic Product of that Nation.  According to the Office For National Statistics our 2009 cumulative debt at £950,400,000,000 was 68.1% of the Gross Domestic Product.  It is clear from these figures that something is very, very wrong.

Why is this idea important?

According to the Maastricht Treaty, the deficit of any nation should not exceed 3% of the Gross Domestic Product of that Nation.  According to the Office For National Statistics our 2009 deficit at £159,200,000,000 was 11.4% of the Gross Domestic Product.  According to the Maastricht Treaty, the cumulative debit of any nation should not exceed 60% of the Gross Domestic Product of that Nation.  According to the Office For National Statistics our 2009 cumulative debt at £950,400,000,000 was 68.1% of the Gross Domestic Product.  It is clear from these figures that something is very, very wrong.

Reduce the duty on premium drinks

Reduce the duty on premium quality drinks, in particular real ale, real (British) lager (as defined by CAMRA) and real cider (defined as cider made with pure fruit with no additives other than preservatives – exact definition to be supplied by CAMRA), and single malt whisk(e)y.

Why is this idea important?

Reduce the duty on premium quality drinks, in particular real ale, real (British) lager (as defined by CAMRA) and real cider (defined as cider made with pure fruit with no additives other than preservatives – exact definition to be supplied by CAMRA), and single malt whisk(e)y.

Abolish Road Fund Licence

My proposal is simple and often commented on amongst my friends.

If the road fund licence was abolished it couldbe replaced with a pay as you drive system of funding road repairs.  The tax would be collected by adding £0.0025 per litre of fuel sold.

Why is this idea important?

My proposal is simple and often commented on amongst my friends.

If the road fund licence was abolished it couldbe replaced with a pay as you drive system of funding road repairs.  The tax would be collected by adding £0.0025 per litre of fuel sold.

Abolish Income Tax (and make Payroll costs non-deductable for Corporation Tax)

This idea starts from the premise that the proper purpose of tax is to raise revenues.  (I will return to other purposes at the end.)  On this basis, Income Tax should be abolished as it fails to raise revenue; is expensive to collect and administer; and is an obstacle to enterprise.

A consideration of a number of categories of employee will demonstrate how Income Tax fails to raise revenues:

  • Individuals employed in the Public Sector (close to half our economy): gross salaries are paid from tax receipts, and a portion then taken back immediately from the recipients.  Income tax collected from these individuals is merely a recycling of funds; payment on a net basis would eliminate complexity and administration with no loss to the exchequer.
     
  • Individuals employed by large, profitable private sector firms: across a workforce of varying earnings, gross PAYE revenues amount to approx. 20% of payroll.  Payroll expenses are a deductable expense of business, with larger companies deducting at 30% (set to reduce).  The employer is given more relief than the tax taken from the employee.  By switching to net pay, abolishing income tax and making payroll no longer a deductable expense, administrative costs and complexity would be reduced, and the total revenue to the exchequer would increase.
     
  • Individuals employed by small firms: in a company paying the smaller companies rate, the tax relief to the employer is approximately equal to the tax raised from employees.  These companies are, however, particularly impacted by administrative burdens, so would benefit greatly from abolition of Income Tax.
     
  • Individuals employed by failing firms: in a loss-making firm, without sufficient profits against which to deduct payroll costs, there is a net gain to the exchequer.  A change to net pay and zero income tax might provide considerable assistance to such firms' survival, however, by reducing their cash outgoings.  This could help many firms to survive, with overall benefits to the economy and consequently total tax take.

Abolishing Income Tax entirely would increase total tax take from larger firms; save administration costs in both public and private sector enterprises; and allow deep cuts at HMRC.  Additionally, by simplifying casual working, it would increase workforce participation.

Certain conditions would need to be met for such a policy to be workable, including:

  • A national 'Tax Free Day' would need to be announced, from which date employers would have a right to re-set employees' salaries to a net basis, and after which payroll expenses would cease to be deductable.
     
  • Appropriate treatment and adjustment of pensions in payment would be required, together with accruing right expressed on a salary-related basis.
     
  • The self employed would need to be required to convert to a simple corporate form, and become taxed under the same code as smaller companies.
     
  • Suitable transitional arrangements would need to be determined to compensate for impacts to the timing and stability of tax receipts (PAYE offers the benefit to the exchequer of being collected at a consistent rate, and hard to manipulate; which can not be said of Corporation Tax currently.)

(Note: applying a similar logic, one would also create a process whereby smaller companies (charged tax on profits at 20%) that only supply other businesses (claiming relief at 20% – 30%) could opt to supply services on a non-taxable (for supplier) and non-deductable (for customer) basis, saving both administrative costs, and increasing total tax take again.)

In closing, it is appropriate to mention the other current role of the tax system – to support social engineering goals of redistribution through 'progressive' tax rates.  I make no comment about the merits or otherwise of a redistributive policy, but would argue that given our system of personal taxation fails to raise revenues that are not recycled in public sector employment or exceeded by Corporation Tax reliefs on the same payrolls in the private sector, it is a hugely wasteful and destructive way to pursue those goals.  Other tax mechanisms – such as differential bands of VAT (the Marketing community can tell us which categories of product are consumed by different wealth strata), could achieve similar or greater redistribution at much lower cost.

Why is this idea important?

This idea starts from the premise that the proper purpose of tax is to raise revenues.  (I will return to other purposes at the end.)  On this basis, Income Tax should be abolished as it fails to raise revenue; is expensive to collect and administer; and is an obstacle to enterprise.

A consideration of a number of categories of employee will demonstrate how Income Tax fails to raise revenues:

  • Individuals employed in the Public Sector (close to half our economy): gross salaries are paid from tax receipts, and a portion then taken back immediately from the recipients.  Income tax collected from these individuals is merely a recycling of funds; payment on a net basis would eliminate complexity and administration with no loss to the exchequer.
     
  • Individuals employed by large, profitable private sector firms: across a workforce of varying earnings, gross PAYE revenues amount to approx. 20% of payroll.  Payroll expenses are a deductable expense of business, with larger companies deducting at 30% (set to reduce).  The employer is given more relief than the tax taken from the employee.  By switching to net pay, abolishing income tax and making payroll no longer a deductable expense, administrative costs and complexity would be reduced, and the total revenue to the exchequer would increase.
     
  • Individuals employed by small firms: in a company paying the smaller companies rate, the tax relief to the employer is approximately equal to the tax raised from employees.  These companies are, however, particularly impacted by administrative burdens, so would benefit greatly from abolition of Income Tax.
     
  • Individuals employed by failing firms: in a loss-making firm, without sufficient profits against which to deduct payroll costs, there is a net gain to the exchequer.  A change to net pay and zero income tax might provide considerable assistance to such firms' survival, however, by reducing their cash outgoings.  This could help many firms to survive, with overall benefits to the economy and consequently total tax take.

Abolishing Income Tax entirely would increase total tax take from larger firms; save administration costs in both public and private sector enterprises; and allow deep cuts at HMRC.  Additionally, by simplifying casual working, it would increase workforce participation.

Certain conditions would need to be met for such a policy to be workable, including:

  • A national 'Tax Free Day' would need to be announced, from which date employers would have a right to re-set employees' salaries to a net basis, and after which payroll expenses would cease to be deductable.
     
  • Appropriate treatment and adjustment of pensions in payment would be required, together with accruing right expressed on a salary-related basis.
     
  • The self employed would need to be required to convert to a simple corporate form, and become taxed under the same code as smaller companies.
     
  • Suitable transitional arrangements would need to be determined to compensate for impacts to the timing and stability of tax receipts (PAYE offers the benefit to the exchequer of being collected at a consistent rate, and hard to manipulate; which can not be said of Corporation Tax currently.)

(Note: applying a similar logic, one would also create a process whereby smaller companies (charged tax on profits at 20%) that only supply other businesses (claiming relief at 20% – 30%) could opt to supply services on a non-taxable (for supplier) and non-deductable (for customer) basis, saving both administrative costs, and increasing total tax take again.)

In closing, it is appropriate to mention the other current role of the tax system – to support social engineering goals of redistribution through 'progressive' tax rates.  I make no comment about the merits or otherwise of a redistributive policy, but would argue that given our system of personal taxation fails to raise revenues that are not recycled in public sector employment or exceeded by Corporation Tax reliefs on the same payrolls in the private sector, it is a hugely wasteful and destructive way to pursue those goals.  Other tax mechanisms – such as differential bands of VAT (the Marketing community can tell us which categories of product are consumed by different wealth strata), could achieve similar or greater redistribution at much lower cost.

avoid massive HMRC waste by moving the Budget date

When the Budget was in the autumn HMRC would only have to send out tax codes once because all the budget changes were incorporated between autumn and April.

 

Currently HMRC send out MILLIONS of  tax codes which are rendered wrong by Budget changes within weeks.

Why is this idea important?

When the Budget was in the autumn HMRC would only have to send out tax codes once because all the budget changes were incorporated between autumn and April.

 

Currently HMRC send out MILLIONS of  tax codes which are rendered wrong by Budget changes within weeks.

A total rethink of HMRC

The whole of HMRC and the tax collection system needs a complete re-write.

The institution is a complete dinosaur with processes that are pointless, repetitive, staff that don't know the tax laws, are unmotivated and stuck in a world where the real world of business problems and drivers have no meaning fro them at all.

Consolidate the IT systems, get rid of the systems suppliers that cost the country such huge amounts of money just to shuffl bits of paper about.

Steamline the tax system itself, aim for flat rates, get rid of the pointless beurocracy and hugley frustrating and unbending rules and regulations.

It will mean lots of brave decisions and a lot of pain but even the medium term results will be utterly worth it.

 

Please.

Why is this idea important?

The whole of HMRC and the tax collection system needs a complete re-write.

The institution is a complete dinosaur with processes that are pointless, repetitive, staff that don't know the tax laws, are unmotivated and stuck in a world where the real world of business problems and drivers have no meaning fro them at all.

Consolidate the IT systems, get rid of the systems suppliers that cost the country such huge amounts of money just to shuffl bits of paper about.

Steamline the tax system itself, aim for flat rates, get rid of the pointless beurocracy and hugley frustrating and unbending rules and regulations.

It will mean lots of brave decisions and a lot of pain but even the medium term results will be utterly worth it.

 

Please.

Drugs and prostitution

Legalise all drugs and tax them. Use every penny of tax paid on them to fund rehabilitation and direct advertising of the dangers (in real non scare terms). This is a win win win situation. People who do this to themselves won't be cast out of society. The dealers with guns will go away and the drugs themselves will pay for the rehabilitation programmes. Label alcohol and tobacco as drugs and treat them the same. Ban all advertising of all drugs (including alcohol)  to protect people who want to leave the drugs alone. Have a legal age of use based on science rather than politics. Impose strict penalties on publicans and off sales who sell to young people or to people who are completely wasted. Add a minimum price per unit on all drugs – including alcohol. This extra tax should go towards rehabilitation. 

Legalise prostitution but impose strict procedures to ensure the people involved are protected .Tax it  and pay the money into both welfare schemes (such as education and training and drug rehabilitation programmes. Impose proper sentences for people caught trafficking (i.e. life in prison). Make all brothels closely regulated and controlled. If people are brought to the country and repeatedly raped many times a day when found they should be treated with dignity and allowed to stop here with lots of help rather than treated as illegal immigrants. Severity punish anyone working outside of the state control.  

Why is this idea important?

Legalise all drugs and tax them. Use every penny of tax paid on them to fund rehabilitation and direct advertising of the dangers (in real non scare terms). This is a win win win situation. People who do this to themselves won't be cast out of society. The dealers with guns will go away and the drugs themselves will pay for the rehabilitation programmes. Label alcohol and tobacco as drugs and treat them the same. Ban all advertising of all drugs (including alcohol)  to protect people who want to leave the drugs alone. Have a legal age of use based on science rather than politics. Impose strict penalties on publicans and off sales who sell to young people or to people who are completely wasted. Add a minimum price per unit on all drugs – including alcohol. This extra tax should go towards rehabilitation. 

Legalise prostitution but impose strict procedures to ensure the people involved are protected .Tax it  and pay the money into both welfare schemes (such as education and training and drug rehabilitation programmes. Impose proper sentences for people caught trafficking (i.e. life in prison). Make all brothels closely regulated and controlled. If people are brought to the country and repeatedly raped many times a day when found they should be treated with dignity and allowed to stop here with lots of help rather than treated as illegal immigrants. Severity punish anyone working outside of the state control.  

Legalise and Regulate the Sex Industry

The current laws on prostitution , far from stopping prostitution, actually serve to drive it further underground and endanger the lives of women (and men) who work in the industry.

Take the recent case of Hannah Morris for example. She and her colleagues reported a particularly violent assault on one of the escorts who worked at her agency, thinking the perpetrator would be caught and helping the police with their enquiries. Instead she was arrested and charged with 'brothel-keeping' . How many workers in the industry are likely to report violent attacks now? These are the real criminals, and if the law regarding brothels is not changed they will get away with it all and keep attacking vulnerable women, safe in the knowledge it will probably go unreported! This is a travesty.

It is unsafe to force women to work on their own (currently one women operating alone is legal, but 2 women working together purely for safety, neither 'controlling' the other's hours/pay/services is illegal). 

Why not make it legal for 2 or 3 women to work together in a co-operative? Legalise the buying and selling of sex, and make the sex industry taxable , legit , and like any other business. 

Of course trafficking and forced prostitution are awful things and the focus should be on tackling these without criminalising the 'normal' everyday law-abiding citizens who do this work of their own free choice? There are already laws against trafficking – why not use resources to implement them? 

If prostitution was made a legalised, above board, and proper profession, people who choose to work in this industry would be safer and free from stigma, the public purse would benefit from more (previously under-the-radar because of the law) parlours and 'working flats' paying taxes, and any vulnerable/ trafficked women and men wouldn't be driven further underground.

Think, people, Think! What is wrong with selling/buying a service between two consenting adults? These laws need changed before any more sex workers are attacked or even killed.

J Kinning, Scotland.

Why is this idea important?

The current laws on prostitution , far from stopping prostitution, actually serve to drive it further underground and endanger the lives of women (and men) who work in the industry.

Take the recent case of Hannah Morris for example. She and her colleagues reported a particularly violent assault on one of the escorts who worked at her agency, thinking the perpetrator would be caught and helping the police with their enquiries. Instead she was arrested and charged with 'brothel-keeping' . How many workers in the industry are likely to report violent attacks now? These are the real criminals, and if the law regarding brothels is not changed they will get away with it all and keep attacking vulnerable women, safe in the knowledge it will probably go unreported! This is a travesty.

It is unsafe to force women to work on their own (currently one women operating alone is legal, but 2 women working together purely for safety, neither 'controlling' the other's hours/pay/services is illegal). 

Why not make it legal for 2 or 3 women to work together in a co-operative? Legalise the buying and selling of sex, and make the sex industry taxable , legit , and like any other business. 

Of course trafficking and forced prostitution are awful things and the focus should be on tackling these without criminalising the 'normal' everyday law-abiding citizens who do this work of their own free choice? There are already laws against trafficking – why not use resources to implement them? 

If prostitution was made a legalised, above board, and proper profession, people who choose to work in this industry would be safer and free from stigma, the public purse would benefit from more (previously under-the-radar because of the law) parlours and 'working flats' paying taxes, and any vulnerable/ trafficked women and men wouldn't be driven further underground.

Think, people, Think! What is wrong with selling/buying a service between two consenting adults? These laws need changed before any more sex workers are attacked or even killed.

J Kinning, Scotland.

Reform of the self-assessment income tax forms

Simplify the self assessment forms for income tax and provide more widely available and useful support via the telephone.

Introduce mandatory training sessions on how to fill in the forms.

Why is this idea important?

Simplify the self assessment forms for income tax and provide more widely available and useful support via the telephone.

Introduce mandatory training sessions on how to fill in the forms.

cannabis money

Let the people grow all the cannabis they want. Tax any sales of the product by weight. All you would need is a medical herb traders licence, one of payment to the gov of £100 registering you with tax man. People could make money the government wound make money staring with that fee everyone would want to pay. cannabis money

Why is this idea important?

Let the people grow all the cannabis they want. Tax any sales of the product by weight. All you would need is a medical herb traders licence, one of payment to the gov of £100 registering you with tax man. People could make money the government wound make money staring with that fee everyone would want to pay. cannabis money