Merging income tax and NI gets public support

by Richard Crump

More from this author

30 Jun 2014

  • Comments
taxes-folder

MERGING income tax and national insurance would get the support of the British public, according to work carried out by PwC.

PwC convened a jury of 22 representative members of the British public to discuss taxation, which supported the idea of integrating income tax and national insurance and set out recommendations for reforming the UK tax system that will be presented to government today following discussions arranged by the Big Four firm.

The jury, which spent two days debating the purpose of tax, who should pay it and how it should be levied, also suggested that VAT should be simplified - with all essentials VAT free but 20% rate for everything else - and that inheritance tax should be scrapped in favour of new and higher bands for council tax and stamp duty land tax.

"We'll be looking at the practicalities of the jury's recommendations, but what's loud and clear is the focus on simplicity and transparency," said Kevin Nicholson, head of tax at PwC.

The jury also recommended widening the scope of so-called "sin taxes" to include unhealthy foods and setting up a new independent advisory body to reduce influence of political short-termism.

"Any move to encourage a longer term approach to the tax system is worth exploring further. The most successful tax reforms have been mapped out a long time in advance," Nicholson said.

Visitor comments

blog comments powered by Disqus
display:none

Add your comment

We won't publish your address


By submitting a comment you agree to abide by our Terms & Conditions

Your comment will be moderated before publication

Submit
  • Send

Financial Planning and Performance AnalystCabinet Office-Greater London-Competitive

 
 
 
 
 
 
 
 

 

Newsletters

Get the latest financial news sent directly to your inbox

  • Best Practice
  • Business
  • Daily Newsletter
  • Essentials

Careers

Search for jobs
Click to search our database of all the latest accountancy roles

Create a profile
Click to set up your profile and let the best recruiters find you

Jobs by email
Sign up to receive regular updates with the latest roles suitable for you

Briefings

budget-management

Why budgeting fails: One management system is not enough

If budgeting is to have any value at all, it needs a radical overhaul. In today's dynamic marketplace, budgeting can no longer serve as a company's only management system; it must integrate with and support dedicated strategy management systems, process improvement systems, and the like. In this paper, Professor Peter Horvath and Dr Ralf Sauter present what's wrong with the current approach to budgeting and how to fix it.

cchcover

iXBRL: Taking stock. Looking forward

In this white paper CCH provide checklists to help accountants and finance professionals both in practice and in business examine these issues and make plans. Also includes a case study of a large commercial organisation working through the first year of mandatory iXBRL filing.