Letter: Overtaxation of the poor
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Sir: Simon Brandenburger (Letters, 1 August) reflects the view now held by many thoughtful people that our taxation rates are too low. The result, of course, is that the Government has to allow interest rates to be high, and the pound, in turn, has a value high enough to affect our export trade adversely. Higher tax rates would enable the NHS and education to be improved, and our exports and employment to increase.
Any review of our tax system should address the question of fairness. The present system is unfair, and was deliberately made so by the Conservatives. Income tax, potentially our fairest tax, is much less progressive than it used to be, and it represents only about a quarter of the Government's receipts. Inheritance tax has one rate only, whereas capital transfer tax, which it replaced, was graduated. Value added tax, 8 per cent in 1979, stands more than doubled at 17.5 per cent.
This system overtaxes poor people and undertaxes rich people, and it is one of the reasons why the gap between rich and poor is so wide today. On moral, social, and economic grounds, something should be done to increase revenue and make the system fairer.
JOHN WYMER
Bridport, Dorset
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments