Sunday, 21 October, 2018

Scotland's highest earners to pay £164m more in income tax

Richard Leonard has been helped by a Corbyn surge
Credit
Getty Richard Leonard has been helped by a Corbyn surge Credit Getty
Delia Stanley | 16 December, 2017, 07:48

Scots face a double tax raid next year amid the spiralling cost of the weekly shop.

And he said a bigger increase in the top rate of tax for those earning more than £150,000 - which some opposition parties had called for - would actually reduce revenue as high earners would find ways to avoid paying it.

Under proposals announced today (December 14) by cabinet secretary for finance and the constitution Derek Mackay, the overall culture budget for will be £166.8 million, an increase of nearly 10% on 2017/18 figures.

The Scottish government has stripped Scottish independent schools of their right to claim business rate relief - a move believed to affect 52 charities.

Mr Mackay said that more than two thirds of income taxpayers will pay less tax than they now do under his proposals, which will need to be approved by MSPs before coming into force from April 2018.

The Scottish Fiscal Commission, a body recently set up and similar to the Office for Budget Responsibility in London, said that combined with last year's freeze in Scotland's higher tax threshold, the new tax rates increased Scottish government funding by £366m.

Those earning £25,000 a year will see their tax bill fall by £10, while those on £40,000 will have to cough up an extra £140.

In his draft budget plans for 2018-19, Mr Mackay revealed that the 1% public sector cap will be lifted, and workers earning less than £30,000 per year will get a pay rise of 3%, while those earning more than £30,000 will get a 2% increase.

The country's top earners make up 1 per cent of the adult population but they are expected to contribute nearly a fifth - 19 per cent - of total Scottish income tax liabilities. That made it far harder for councillors to fund a pay rise for local government workers.

Andy Willox, from the Federation of Small Businesses in Scotland, said their members "have a real concern about the effect of these changes on household spending power".

And he told the Scottish Parliament that those earning above that figure would only pay a "proportionate amount more" than they now do. At a time of zero wage growth and rising inflation it makes no sense to increase taxation. "Not only will that be more fair, more progressive, and will substantially increase local authority budgets, but it will also have the added bonus of stabilising property and land values which is absolutely essential if we are going to tackle the inherent inequality of our housing system". "They represent lifelines. They represent lives". She defended the income tax rises, saying Tory cuts had left a £200m hole in the Scottish budget.

But Mackay's proposals, which need to win support from at least one other party to get passed at Holyrood, were soon attacked by potential allies, including the Scottish Greens and trade union leaders at the Scottish TUC, after it emerged he was not directly funding all the public sector pay rises.

Recommended

  • Stock Rating Update on the Shares of Oasis Petroleum Inc (OAS)

    Stock Rating Update on the Shares of Oasis Petroleum Inc (OAS)

    To measure price-variation, we found OAS's volatility during a week at 4.72% and during a month it has been found around 4.09%. UBS downgraded Oasis Petroleum Inc . (NYSE: OAS ) has "Buy" rating given on Wednesday, January 20 by Topeka Capital Markets.
    York becomes third United Kingdom  city to ban Uber

    York becomes third United Kingdom city to ban Uber

    The decision was said to have followed productive discussions between Uber and Sheffield City Council. The company has 21 days to lodge an appeal and can continue to operate in the city if it does so.
    Watch the Homeland season 7 trailer, February premiere announced

    Watch the Homeland season 7 trailer, February premiere announced

    The newest season of " Homeland " will debut in February on Showtime with Carrie facing a new threat from inside the government... In an interesting twist Saul, who had been detained and was in prison, somehow ends up in a prominent role in the White House.
  • Q2 Weather: Winter Weather Advisory for south central Montana

    Q2 Weather: Winter Weather Advisory for south central Montana

    The National Weather Service has issued a Winter Weather Advisory in effect from 1 PM this afternoon to 7 PM this evening. WINTER WEATHER ADVISORIES are posted for much of the area from this evening through Saturday morning.
    Firefighter dies battling California blaze

    Firefighter dies battling California blaze

    Firefighters made some progress on Wednesday on corralling the fire, which continued to spread mostly into national forest land. Cal Fire officials say while the Thomas fire grew to 238, 500 acres, firefighters now have the blaze 30 percent contained.
    Winsted DAR chapter to hold Wreaths Across America ceremony on Saturday

    Winsted DAR chapter to hold Wreaths Across America ceremony on Saturday

    Mandeville Cemetery's live greenery wreaths were provided by a collection of volunteers and family members from across the area. More than 14,000 attendees attended the ceremony in 2016, organizers said.
  • Pipe bomb strapped to man explodes in NYC subway

    Pipe bomb strapped to man explodes in NYC subway

    That brother lives in the same apartment building as Ullah, according to law enforcement. We are not going to allow them to disrupt us". "That's exactly what they want".
    Equity indices extend gains, exit polls outcome uplift sentiments

    Equity indices extend gains, exit polls outcome uplift sentiments

    On Friday, Yes Bank shares closed 3.98% up at Rs316.05 on BSE , while the Sensex ended 0.65% higher at 33,462.97 points. Shares of YES BANK LTD. was last trading in BSE at Rs.303.95 as compared to the previous close of Rs. 301.85.
    Deregulatory Goals Exceeded for 2017: Trump Administration

    Deregulatory Goals Exceeded for 2017: Trump Administration

    The deregulatory actions included eliminating regulations, guidance documents, and paperwork requirements, she said. Trump boasted that he had far exceeded the promises that he made on the campaign trail to deregulate the country.
  • Salvation Army looks for last-minute push to meet Hamilton kettle campaign goal

    Salvation Army looks for last-minute push to meet Hamilton kettle campaign goal

    Kleen thanked the community for its continued support and wanted to remind residents that there are only a few days left for the Kettle Campaign.
    Gateway tunnel funding approved

    Gateway tunnel funding approved

    Christie, citing potential cost overruns, previously canceled a $8.7 billion tunnel project in 2010. Amtrak says the existing tunnel could fail in 10 to 15 years due to damage from Superstorm Sandy.
    Patriots at Dolphins: Highlights, score and recap

    Patriots at Dolphins: Highlights, score and recap

    His team snapped the Patriots' 14-game road winning streak, second-best ever behind San Francisco's 18 in a row from 1988-90. The temperature was 55 degrees at kickoff — frosty by Miami standards — and the Patriots were sluggish from the outset.

Jay Z's Streaming Service TIDAL Is Reportedly Running Out Of Money Jay Z's Streaming Service TIDAL Is Reportedly Running Out Of Money The hip-hop veteran has taken his savagery to social media and publicly ripped music mogul JAY-Z's TIDAL streaming service. In July, Spotify announced that it has more than 60 million subscribers, while Apple Music has half of that figure.

'Set up state capture inquiry' 'Set up state capture inquiry' Leader Mmusi Maimane says the African National Congress has become the president's keeper and must be stopped. For South Africa in 2018, without Zuma's toxic hand on the tiller, the only way is up.

Woman Arrested In Connection With Triple Shooting Woman Arrested In Connection With Triple Shooting The court heard it would be alleged the Donovan family is involved in an ongoing feud with another family. Baby John suffered a broken leg in the attack and is recovering after having surgery to remove pellets.

Did Washington DC's Football Team Change Its Name To 'Redhawks'? Did Washington DC's Football Team Change Its Name To 'Redhawks'? This website was created by Native advocates to help us all imagine how easy and powerful changing the mascot could be. The fabrications used headlines such " Washington Redskins to Change Name to Washington Redhawks ".

Mixer relaunches streaming app on iOS and Android Mixer relaunches streaming app on iOS and Android If you have the Xbox beta app on Android, let us know what you think of this feature and if you would use it frequently. The Party Chat feature has been available on the Xbox One for quite some time but is now rolling out to handsets.

There's Going To Be A Fantastic Meteor Shower Tonight There's Going To Be A Fantastic Meteor Shower Tonight The Geminid meteor shower would peak today, December 14 with at least one meteorite every minute passing across the night sky. According to scientists, Geminids have a much slower speed than other meteors and typically come in at an angle in the sky.

Baby girl born with heart outside her body survives in UK Baby girl born with heart outside her body survives in UK Glenfield Hospital says Vanellope still faces "a lengthy, hard experience ahead" - the significant hazard being contamination. Vanellope still is recovering in the hospital, but her doctors said her chances of survival are growing every day.