Letter: Tax assets, not activity

Share
Related Topics
IT IS hardly surprising that a great deal of growth in the economy is now in the 'black' or unofficial sector ('The arithmetic of recovery is in the black', 25 September). VAT and income tax amount to nothing more than a system of fines for engaging in any legal form of economic activity, while, under the present benefits system, anyone working irregularly is harried mercilessly by the bureaucracy if they declare their earnings.

One of our major problems is that none of our politicians is yet prepared to acknowledge the implications of this development: if public revenue is to be protected and we are not to have an increasing proportion of the population making its livelihood on the wrong side of the law, then the law must be changed. There is, in principle, nothing immoral about the 'black economy'; the fault lies with a system of laws that has failed to keep up with society.

The changes required are a shift in the tax burden from the production and exchange of goods and services, to fixed assets such as land, which cannot be hidden and whose value can be readily ascertained, with the benefits system evolving towards a scheme such as 'citizen's income'.

These changes would whiten the black economy, and provide the Government with a stable and robust tax base suited to the new circumstances.

Henry Law

Brighton,

East Sussex

React Now

Latest stories from i100
Have you tried new the Independent Digital Edition apps?
iJobs Job Widget
iJobs General

Graduate Pricing Analyst - 6 months / 1 year analytical experience

£20000 - £25000 Per Annum: Clearwater People Solutions Ltd: Our client is curr...

Project Manager (retail, upgrades, rollouts)

£40000 - £45000 Per Annum + benefits: Clearwater People Solutions Ltd: Project...

IT Specialist for a one month cover role

£110 - £130 per day + Competitive rates of pay: Randstad Education Reading: IC...

History Teacher

£7200 - £36000 per annum: Randstad Education Nottingham: Randstad Education is...

Day In a Page

Read Next
A homeless person sleeps in the streets  

This is why I am sleeping rough outside the party conferences

Max J Freeman
Strikes were carried out by manned air force and navy aircraft (File photo)  

Syria air strikes: President Assad now has the enemy he always wanted – Islamist terrorism

Kim Sengupta
Secret politics of the weekly shop

The politics of the weekly shop

New app reveals political leanings of food companies
Beam me up, Scottie!

Beam me up, Scottie!

Celebrity Trekkies from Alex Salmond to Barack Obama
Beware Wet Paint: The ICA's latest ambitious exhibition

Beware Wet Paint

The ICA's latest ambitious exhibition
Pink Floyd have produced some of rock's greatest ever album covers

Pink Floyd have produced some of rock's greatest ever album covers

Can 'The Endless River' carry on the tradition?
Sanctuary for the suicidal

Sanctuary for the suicidal

One mother's story of how London charity Maytree helped her son with his depression
A roller-coaster tale from the 'voice of a generation'

Not That Kind of Girl:

A roller-coaster tale from 'voice of a generation' Lena Dunham
London is not bedlam or a cradle of vice. In fact it, as much as anywhere, deserves independence

London is not bedlam or a cradle of vice

In fact it, as much as anywhere, deserves independence
Vivienne Westwood 'didn’t want' relationship with Malcolm McLaren

Vivienne Westwood 'didn’t want' relationship with McLaren

Designer 'felt pressured' into going out with Sex Pistols manager
Jourdan Dunn: Model mother

Model mother

Jordan Dunn became one of the best-paid models in the world
Apple still coolest brand – despite U2 PR disaster

Apple still the coolest brand

Despite PR disaster of free U2 album
Scottish referendum: The Yes vote was the love that dared speak its name, but it was not to be

Despite the result, this is the end of the status quo

Boyd Tonkin on the fall-out from the Scottish referendum
Manolo Blahnik: The high priest of heels talks flats, Englishness, and why he loves Mary Beard

Manolo Blahnik: Flats, Englishness, and Mary Beard

The shoe designer who has been dubbed 'the patron saint of the stiletto'
The Beatles biographer reveals exclusive original manuscripts of some of the best pop songs ever written

Scrambled eggs and LSD

Behind The Beatles' lyrics - thanks to Hunter Davis's original manuscript copies
'Normcore' fashion: Blending in is the new standing out in latest catwalk non-trend

'Normcore': Blending in is the new standing out

Just when fashion was in grave danger of running out of trends, it only went and invented the non-trend. Rebecca Gonsalves investigates
Dance’s new leading ladies fight back: How female vocalists are now writing their own hits

New leading ladies of dance fight back

How female vocalists are now writing their own hits