Revenue streams
Malcolm Dean’s call for a 50% higher rate of income tax to reduce the rich-poor divide has popular appeal (Opinion, June 30). But it won’t do the trick. Half of revenue is already raised from income tax that only reaches into a limited sector of the economy, mostly PAYE payers. A hike in rates will lead either to even higher salary levels for the fat cats to compensate, or else further investment in the tax avoidance industry. Income from the Duchy of Cornwall increased by 20% last year as a result of the property boom. Why do we hanker for higher taxes on earned income while watching others grow fat on unearned income from our common heritage – land?
Carol Wilcox
Labour Land Campaign