In article , tim...
writes


"bert" wrote in message
...
In article , "Dave Plowman (News)"
writes
In article ,
Andrew wrote:
The top rate of tax was 60% for some time during Nigel Lawsons spell
in number 11. Cutting it to 40% occurred quite late on and Gordon
Brown kept the 40% almost until the end. The 50% tax rate was
introduced simply to give the Labour party some 'ammunition' to
portray the Conservatives as friends of 'rich' who wanted to
'cut their taxes'. And Brown kept the 40% rate because he was
told by the treasury that increasing it would not result in a
significant increase in tax collected.

Love to know how those on PAYE get out of paying the higher tax rates.
Because you are suggesting this happened. And if they can get out of
paying a higher rate of 50%, why would they not do the same with 40% or
whatever?

You have forgotten who pays most of the income tax collected.
When trying to reduce tax liability the law of diminishing returns
applies. At 40% it just isn't worth the hassle.

there is absolutely no proof that 40% is the top of the laffer curve,
none at all

tim


-- bert

I didn't say it was.
--
bert