February 24, 2004

Replacing One Tax with Another

As reported here a few days ago, the Government's Strategy Unit was proposing the taxing of fatty foods. Because this was disclosed in The Times, the Treasury and the Health Department got upset and the report was re-written. The paragraph about the fat tax now says that the idea came from the British Medical Association. The Government disowns it by saying, "However, there are no signs that any current Western government sees policies of this kind as desirable or feasible."

Don't think that Blair & Co are reducing their lust for money. Inland Revenue (our version of the IRS) has assumed new powers to charge a 50% tax rate on incomes for those who have income outside their regular employment, such a rental property, free lance work, or investments. Rather than being taxed on a separate return, it will be taken directly out of pay cheques.

Posted by david at February 24, 2004 10:46 PM | TrackBack