The hardest thing to understand in the world is the income tax. (Albert Einstein)
Income Tax was formally repealed in 1816, a year after the Battle of Waterloo, but it was reintroduced in 1842 by Sir Robert Peel to deal with a massive public deficit.
At this time, it was levied only on the very rich, and it remained so for many years.
In 1874, it contributed only £6 million of Government revenues of £77 million.
Throughout its 19th Century history, no one expected Income Tax to become a permanent feature of British life.
However, as it became accepted (particularly after the World Wars) that the state should do more to provide services for citizens, the long-lived tax evolved into the principal means of public funding.
Today, few criticise the concept of Income Tax itself, and controversy focuses on the rate and those elements of earnings that are liable.
Income Tax is one of the most high-profile of all taxes (not least because of its simplicity and transparency) and as such fluctuations in the regime are frequently headline news.
And so, even though the Napoleonic wars have long ended (not including the 26 years of tax repeal between 1816-1842), income tax to this day still remains a TEMPORARY TAX and actually expires on April 5 each year.
However, for income tax to remain in force, a provision in the annual Finance Bill renews it to commence again on the 6th April.
The ‘Provisional Collection of Taxes Act 1913’ permits the Government to continue to collect Income Tax for up to four months after the expiry of the measure until the Finance Bill becomes law.
For further information on UK income tax, please refer to the following:
A Paxlist economy will abolish ALL taxes.
Article 25 of the’ Universal Declaration of Human Rights’ states:
Article 26 of the Universal Declaration of Human Rights states:
This list is not comprehensive and is not in any particular order of government spend: