Categories
National politics

Taxing jobs

The letter below (from me) was published in the Telegraph today, follow link.

Tax on employment

SIR – I was pleased to see Britain’s business leaders come out in favour of the Conservatives’ plan to mitigate Labour’s disastrous National Insurance increases (Letters, April 1).

Business leaders might do their staff, and the country, a further service if they spelt out the difference between what they pay for labour and what each individual actually receives in pay and benefits.

Some years ago the P60 form made clear both the employee’s and the employer’s NI contributions; it even had a box showing the total NI outlay for each employee. Over time this box was hatched out and then vanished altogether. Reference to the employer’s NI was removed as the state sought to obfuscate the onerous levy it extracts from even the lowliest worker’s pay.

Might employers provide their staff with a simple statement showing total staff cost and the proportion passed to the state and the proportion passed to the employee? Most people would be shocked at how big the state’s slice of the pie is.

Phil Taylor
London W13

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