Category Taxation in UK

Car Sales Down, Emissions Tax Up

July 6, 2017 Taxation in UK

car emissions taxLONDON – New UK taxes on car emissions are having the intended effect of convincing consumers to buy low-emissions vehicles.

Society of Motor Manufacturers and Traders of the UK has reported that new car registrations in the country have slowed down since the introduction of new emissions taxes.

In June this year a total of 243 454 new cars were registered, a level which is estimated to be 4.8 percent lower than in the previous month.

Similar decreases have been seen since March this year, thought the Society claims that the extent of the monthly reductions has been diminishing.

The drops in purchasing may have been caused due a relative increase in sales prior to April, when consumers opted to buy cars prior to the tax hike.

The new emissions tax is levied at a fixed amount which var...

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Wales Asks Taxpayers What to Tax Next

July 5, 2017 Taxation in UK

Taxes in WalesCARDIFF – Wales is looking to stretch its taxation muscle and is seeking ideas from the public about what tax it should try to implement.

The Finance Secretary of Wales Mark Drakeford is calling on national taxpayers to come forward with ideas for new taxes which could be established in the country.

The Minister is said to be seeking an opportunity to test out the country’s newly devolved tax powers by potentially introducing new taxes.

It is expected that in the near future the Minister will put forward some potential taxes as ideas, with a majority of the ideas being those previously raised by the local think-tank the Bevan Foundation.

Potential candidates for new taxes so far include a tax on packaging for takeaways, sugar tax, water tax, a levy on tourism, or an innovation tax cred...

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Electric Cars May Cause Tax Headache for the UK

June 27, 2017 Taxation in UK

electric cars in the UKLONDON – Electric cars may be better for the environment, but they may also be taking the UK down the road to a multi-billion pound budgetary shortfall.

The government of the UK is facing a GBP 23 billion gap in its budget if it continues to encourage motorists to switch to electric vehicles, according to new research released on June 26th by the think-tank Policy Exchange.

The UK government is banking on the presumption that the collection of fuel duty in the country will keep rising over the coming decade, hitting as much as GBP 40 billion per year in 2030, up from the current level of GBP 28 billion per year.

However, the think-tank has now suggested that the income goal does not factor in the government’s own effort to meet green targets.

It is expected that the push to reduce carbo...

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Cutting Air Departure Tax Would Only Help the Rich

June 19, 2017 Taxation in UK

air departure taxEDINBURGH – Scotland’s new air departure tax is not yet, but the government already has plans to abolish it, although the change will only help corporations and the wealthy.

New research recently released by the campaign group Fellow Traveller has shown that the plans to scrap the air departure tax in Scotland will likely provide a disproportionate benefit to the country’s richest taxpayers.

The air departure tax in Scotland is expected to be implemented in April 2018, as one of the first devolved taxes in the country.

However, the leading SNP administration already plans to slash the tax rate in half by the end of its current parliamentary term, with a further long-term plan of removing the tax entirely as soon as practical.

The party claims that removing the tax would improve Scotla...

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60% Marginal Rate Still Plaguing British Workers

June 2, 2017 Taxation in UK

marginal tax rates in the UKLONDON – Hundreds of thousands of Uk taxpayers will see a tax rate of 60 percent this year, unless the government does somethign to close up an unplanned loophole.

As many as 800 000 individual taxpayers in the UK will face a marginal tax rate of 60 percent, according to the conclusion of new research conducted by the UK think tank the Institute of Fiscal Studies.

Under the current tax regulations in the UK, individuals who earn between GBP 100 000 and GBP 123 000 will face a marginal tax rate of 60 percent, due to a loss of their tax-free personal tax allowance.

The high marginal tax rate is an anomaly, and was not initially intended to be part of the tax system, however, the government has consistently failed to fix the situation.

If the government does not remedy the oversight in th...

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