Taxes

[nbc%inf.rl.ac.uk@mitvma.mit.edu]

>From:	rhill@pnet01.cts.com (Ronald Hill)
>Subject: Kate's money
>
>        Doesn't England have a very,very high tax rate for wealthy people.  I
>remember hearing that many rock stars didn't want to live there 'cause of
>that.  Does this mean that the tax man is taking almost all of Kate's money?

The tax man takes everyone's money!

However, under the Tories the top bands of tax have been eliminated. There
are now only two rates: 25% for mere mortals like me, and 40% for higher
earners. Unfortunately I cannot recall where the division is made. It is
probably around 30K (but maybe higher now).

In the past there were several tax bands which went up as far as 80% or possibly
even higher - as it was never likely to affect me I did not pay it that much
attention. In those days it was common for pop stars to live abroad and to blame
the tax system for driving them out of the country. Mind you the climate
probably helped their decision.

One of the reasons the Tories drastically cut the tax levels was to
encourage people to stay in this country and thus pay their (lower)
taxes here. Of course the fact that all their financial supporters
would benefit from the new rates had nothing to do with it.

Kate can probably afford decent accountants and thus make use of what
few tax limitations schemes still exist. Most of the loopholes have now
been cut off.

Be seeing you,
              Neil
--
Neil Calton                          UUCP:   ..!mcsun!ukc!rlinf!nbc
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