Time for fairer taxes

No-one likes paying tax.

I remember the taxi driver who told me he agreed with the Lib Dems on abolishing council tax. “And we’d replace it with a low local income tax,” I added enthusiastically. The cabbie disagreed. “No, no, love, just abolish it, you shouldn’t replace it at all.”

I’m not against tax. I’m one of those who believes that redistributive taxation – funding public services through taxing income and wealth – is the membership fee for a civilised society. But even so, if I’m honest, I don’t enjoy paying a penny more tax than I have to.

And unfair taxes risk losing the support of the general public for essential taxation, especially when everyone is feeling the pinch. We’ve all heard the cases of lowpaid workers paying a higher rate of tax than the company directors whose offices they clean. So the least politicians can do is make sure that the taxes we do pay are fair.

With that in mind, this week Lib Dem shadow chancellor Vince Cable proposed a motion calling for an immediate and substantial cut in income tax to benefit low and middle-income taxpayers, paid for by closing the multi-billion tax loopholes which benefit the very wealthy individuals who profited disproportionately from the economic boom.

That’s exactly the sort of policy that would benefit local people who are lower income taxpayers facing high living costs in Islington. So why did Islington’s Labour MPs vote against it?

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s