New UK tax plan – paychecks go to government first
We used to joke about this years ago. Why not just have your employer send your paycheck to the government where they could take what they need and send you what they think you should have? Can you imagine the possibilities? No more tax returns, no more tax cheats, everyone would get pretty much the same pay – it would be so fair. According to this story (from CNBC), that may just become a reality in (not so) Great Britain.
The UK’s tax collection agency is putting forth a proposal that all employers send employee paychecks to the government, after which the government would deduct what it deems as the appropriate tax and pay the employees by bank transfer.
The proposal by Her Majesty’s Revenue and Customs (HMRC) stresses the need for employers to provide real-time information to the government so that it can monitor all payments and make a better assessment of whether the correct tax is being paid.Currently employers withhold tax and pay the government, providing information at the end of the year, a system know as Pay as You Earn (PAYE). There is no option for those employees to refuse withholding and individually file a tax return at the end of the year.
Huh? WTF? WE WERE ONLY KIDDING!!! We didn’t really mean that the government should do this!!
Think about this for a moment. Could a government, that FUBARs everything it touches, actually do something like this? Would you want your bank account information in the hands of government drones who couldn’t run a lemonade stand? Are these people serious?
HMRC described the plan as “radical” as it would be a huge change from the current system that has been largely unchanged for 66 years.Even though the centralized deductions proposal would provide much-needed oversight, there are some major concerns, George Bull, head of Tax at Baker Tilly, told CNBC.com.
“If HMRC has direct access to employees’ bank accounts and makes a mistake, people are going to feel very exposed and vulnerable,” Bull said.
And the chance of widespread mistakes could be high, according to Bull. HMRC does not have a good track record of handling large computer systems and has suffered high-profile errors with data, he said.
If the sheeple in Britain go for this, I would be flabbergasted. Unfortunately they do not have a TEA Party to fight this “oppressive benevolence” government lunacy. They have allowed their government to smother them and now they’re paying the piper.
You can bet your next paycheck that the regime and majority in congress are watching this very closely – and salivating…