Local taxpayers will be better off, says SNP

Most council taxpayers would be better off under
SNP‘s proposal for a 3p in the
pound local income tax, finance secretary John Swinney claimed today as he
launched a four-month consultation on the proposal.

The Scottish government’s plans would involve a tax-free personal allowance,
which matches the UK personal allowance; exemptions for savings and investments;
and a separate tax on second homes, The Scotsman reports.

Swinney said the council tax was unfair, regressive and penalised people on
low incomes. ‘The proposal to scrap the council tax and replace it with a local
income tax represents the most progressive overhaul of Scottish taxation in
years and real help for hard-pressed taxpayers,’ he said.

He said he could see no reason why
HM Revenue & Customs
should not collect the tax, but other options were available if necessary,
including a Scottish collection agency.

Further reading:

SNP courts Lib Dems in bid to secure local tax

UK thwarts Scotland’s plan to scrap council tax

story in The Scotsman

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