The Chancellor always talks about the basic rate
of tax but why should the top rate be sacrosanct?
As an example, if you were to invest pounds 50,000, your fund immediately benefits from basic rate
tax relief increasing it to pounds 62,500, if you qualify for 40% tax relief your basic rate
personal allowance will increase so that you benefit from a further 20% relief, another pounds 12,500.
The cost of Labour's stealth taxes over the past eight years is the equivalent of 16.5p on the basic rate
of income tax.
If a basic rate
taxpayer real terms it would only cost the individual pounds 6.44 a week.
This means an income of less than PS12,500 while your partner is a basic rate
taxpayer with income between PS12,501 and PS50,000 you were born after 6 April 1935.
A report by the Independent Panel on Remuneration recommended that the basic rate
of allowance for councillors be increased, from PS6,378 to PS8,184, to bring it closer to the Teesside average.
Personal pension contributions (PPC) are paid after basic rate
tax relief has been given, so someone wanting to invest, say, PS1,000 into their pension pot will only pay PS800.
And this interest element is taxable (just as normal savings interest is taxable), and indeed they often automatically take tax off at the basic rate
Currently, Maynilad's basic rate
is pegged at P35.48 per cu.
SUPERMARKET giant Sainsbury's is planning to increase its basic rate
of pay by PS1.20 an hour to PS9.20.
Finance Secretary Derek Mackay signalled the change after refusing to confirm he'd stick to his manifesto commitment to freeze the basic rate
of income tax.