Member Article

NE business community call for flat tax rates

Nearly 40% of the North East business community believe that the introduction of a flat rate of tax would help to vastly simplify the UK tax system.

According to research conducted by chartered accountants and business advisers Waltons Clark Whitehill, 38% of those surveyed supported the idea of flat tax, while a further 32% believe it should remain unchanged,

Only 13% and 10% supported the idea of unified tax deadlines and uniform National Insurance rates for all. Earlier tax return deadlines proved very unpopular, with only 4% believing them to be a good idea.

George Hardey, tax expert at Waltons Clark Whitehill, said: “Many people feel that our tax system is too complex, with diverse rates and deadlines to contend with.

“There has been a lot of talk recently of the potential for a flat rate of tax, so that everyone, no matter what their income, pays the same percentage of their income, and it was interesting to see that such a large percentage of respondents feel that is the best of the options which were open to them.”

Mr Hardley expressed his surprise that so few of the respondents supported the idea of uniform National Insurance rates, as he believes that difference between the rates paid by employed people, and those for the self-employed, creates an imbalance which could be removed.

This was posted in Bdaily's Members' News section by Ruth Mitchell .