We don't think it is exaggerated at all. It is complete nonsense to suggest that most tax systems in the world have a 50% bracket - indeed look at the comparison table on http://www.notnowdarling.com. I challenge you to name even a handful of OECD countries that have a higher rate, especially when the additional 1.5% National Insurance Contribution is taken into account.

You are correct that the US used to have much higher tax rates and do you know what the result was when they were brought down by JFK and Reagan?... Tax revenue went UP! See http://www.notnowdarling.com/economics.php for more details.
Moreover, that was at a time when it was much more difficult to move abroad to work - now most jobs that pay over GBP150,000 are easily off-shored.

We contend that this will be an economic disaster for Britain (and we are not alone). Just this week the CBI stated that it was bad for business. Even the government's own civil servants don't believe it will raise revenue.

This is the single most destructive decision taken since Labour took office. Unfortunately the expenses row has created a smokescreen of an issue which ultimately costs taxpayers just a tiny amount compared to the billions that will be lost through this crazy super-tax.

 

Hi There !!

Thanks for the link and information.

Regards,
Annete Duffel