Timmy elsewhereApril 26, 2014 Tim WorstallTimmy Elsewhere6 CommentsAt the ASI. Against the hypothecation of taxes previousI really am getting oldnextAnd grammar school educated women 6 thoughts on “Timmy elsewhere” So Much For Subtlety April 26, 2014 at 7:54 am Which leaves us back with Colbert’s point. The art of taxation is to have the maximum plucking of the goose with the minimum hissing. The same statement as we should tax things with highly inelastic demand and not things with elastic such. I must be a little dimmer than usual today because I don’t see how this follows. For a start isn’t it, well, a little irrelevant? The State’s demands are enormous and ever growing. It needs to grab whatever can be grabbed so it can p!ss it away in ways that only make Britain worse. But among its ravenous appetite, what it needs and loves above all is income tax and VAT. Nothing else comes close to providing a significant share of revenue. Are these elastic? I would have thought income is highly influenced by tax rates. But it is also more or less voluntary. It is beyond the State’s ability to make us all pay it if we don’t want to. Most of us do want to. In part because it goes to pay for hospitals and schools and such like. Which of course it doesn’t. It goes to pay Tony Blair’s air tickets as he flies around the world brown nosing for Britain and for the Eurofighter and the CAP and so on. So wouldn’t hypothecation be useful here? I am not willing to pay a penny more in income tax than I have to. I know people who are open about refusing to pay whatever they can. They can hardly be alone. If the State said that 100% of income tax went to schooling and hospitals some people might be more willing to pay. Or not. As the case may be. Then the State could pay for lesbians creating bondage porn and keeping up BAe’s share price out of VAT or other taxes that cannot be so easily avoided. Ironman April 26, 2014 at 10:47 am “Should corporation tax go towards in-work benefits – which in effect subsidise inadequate wages” Or they compensate the low paid for being fleeced by the State by inadequte IT allowances and NIC thresholds, whilst at the same time keeping them depnpendant on the state. If we want to talk hypothecated taxes, let’s talk hypothecated tax cuts shall we! Rob April 26, 2014 at 12:39 pm Strangely (for reasons of space, I expect) the Guardian article missed out motoring taxes. If the revenue from all motoring taxes was spent on the roads, even allowing for a proportion set aside as a Pigouvian tax, I think we could literally have roads paved with gold, if somewhat thin in the leaf. abacab April 26, 2014 at 6:16 pm Hmmm. How is compulsory health insurance and co pays on the Swiss model different from a hypothecated tax for paying for healthcare? Matthew L April 27, 2014 at 9:14 am Then the State could pay for lesbians creating bondage porn Finally a reason to support a tax rise. So Much For Subtlety April 27, 2014 at 9:44 am Matthew L – “Finally a reason to support a tax rise.” Two things to say to that. First is that they have all the money they need to create all the lesbian bondage porn anyone could need. They don’t need more. And second, everyone knows lesbians don’t make good lesbian porn. No wait, that is not bigoted enough. Let me rephrase that more in character, just as all the best Christmas songs are written by Jews, all the best lesbian bondage porn is made by heterosexual men. Fact. Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment Name * Email * Website Save my name, email, and website in this browser for the next time I comment.