From TaxProf Blog:
In the 2009-10 tax year, more than 16,000 people declared an annual income of more than £1 million to HM Revenue and Customs. This number fell to just 6,000 after Gordon Brown introduced the new 50p top rate of income tax shortly before the last general election.
The figures have been seized upon by the Conservatives to claim that increasing the highest rate of tax actually led to a loss in revenues for the Government.
It is believed that rich Britons moved abroad or took steps to avoid paying the new levy by reducing their taxable incomes.
George Osborne, the Chancellor, announced in the Budget earlier this year that the 50% top rate will be reduced to 45% from next April
I had this conversation writ small last night with an officer in the NH GOP concerning this post (if you “tax” people to vote, you will get less people voting, especially at $25 / vote). People innately wish to keep what they have earned – when will those that purport to know how to govern realize this?). Horrible idea if you actually want MORE participation.
We already are starting to see what has happened in Britain happening here in the US – just look at California. As the Democrat supermajority in Sacramento ratchets up the already high state income taxes, people of means are leaving. Those chuckleheads are convinced that they have first claim on what people earn – and are perplexed when those that have earned their money via hard work decide not to play along and be financial victims. Obama is ACHING (along with the real Democrat Socialists in Congress) to do the same – believing that people will not adjust their behaviors. Why is it that Dems are so unwilling to learn from this lesson when it whacks them in the Treasury?
And when the diaspora of private financial capital begins to leave, expect to see that word most associated with the financial results of the Obama Administration’s policies:
And the Democrats keep thinking that Atlas Shrugged is just a teenage level piece of fiction….