Taxes Flashcards
1
Q
Inheritance Tax
A
40% on anything over £325,000 or 36% if you donate 10% or more to charity
2
Q
Direct Taxes
A
Straight from earnings- 40% on anything over £31,785 a year
3
Q
Indirect Taxes
A
VAT which is added to purchases and necessities, 20% from previous 17.5%
4
Q
Cash benefits
A
Payments of money to lower earners and the unemployed
5
Q
Benefits
A
Free education, health services and access to certain facilities
6
Q
Before and after taxes
A
Before: richest 20% had 15:1 of wealth
After: richest 20% had 4:1 of wealth
Reduced wealth inequality by 2/3
7
Q
Tax Avoidance
A
Legal way of avoiding taxes e.g. masking (buying with salary) and hiring an accountant to minimise the income
8
Q
Tax Evasion
A
Illegal way to avoid taxes e.g. cash in hand and hiding undeclared income offshore
