Quote:
Originally Posted by Hugh
Just to clarify the 60% figure - are you stating that if you earned, say, £150k, you would have tax (including NI (employer & employee)) deductions of £90k?
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That's not exactly what I am getting at.
I'm not going to quote figures because that's my business, but as an example:
I am paid weekly on the contract that is inside IR35, so it's quite easy for me to break down the costs on a weekly basis.
If I work 4 days instead of 5, the PAYE deductions mean that the difference in my pocket is that I lose is within a few pounds equivalent to a third of a days pay. Working that fifth day gives the taxman 66% of it.
If I work 3 days instead of 5, for those 2 days I haven't worked I lose the equivalent of two thirds of a days pay.
Hence why I have discussed with the client that if they want me to renew the contract I will only renew the contract with less days. Losing two thirds of a days pay and having two days off is a no brainer.
---------- Post added at 10:24 ---------- Previous post was at 10:20 ----------
Quote:
Originally Posted by ianch99
Again, you preach the line again: "taxing the rich does not work". That is what they want you to say and you duly oblige 
However the most ironic part is that you do not mind how many helicopters they own, how many mansions they have, etc. yet you whinge about paying too much tax. Spoiler alert: if they paid more tax (much smaller, as a percentage, than you do), you would not have to pay so much. |
Tax from the rich that can't be collected is not going to reduce tax for anyone else. Labour tried it in the 1970s and it was a disaster, it's nothing but a soundbite to rile up the jealous in our society.