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General Forums => The O' Club => Topic started by: Ripsnort on December 19, 2005, 06:52:12 PM

Title: Was this true about British taxes?
Post by: Ripsnort on December 19, 2005, 06:52:12 PM
A person told me that more than one British Rock artists in the 60's and 70's changed their citizenship to U.S. due to the British Gov't taxing entertainers something like 95% of their wages. Is this true? Is it still true?
Title: Was this true about British taxes?
Post by: Skilless on December 19, 2005, 07:14:27 PM
I know the Rolling Stones spent a while in France to avoid the heavy income tax in Britain.  I've heard rumors of tax rates being 90-95%.  I've read interviews with the Beatles *****ing about it and I can't blame them;  You make all that money only to have most of it taken away.
Title: Was this true about British taxes?
Post by: Ripsnort on December 19, 2005, 07:31:14 PM
If its true, the term "subject" has a whole new meaning....
Title: Was this true about British taxes?
Post by: Pei on December 19, 2005, 09:49:33 PM
It was more or less true back then. Nowadays multi-milllionaires like Valentino Rossi move to the UK from Europe for the lower taxes.
Title: Was this true about British taxes?
Post by: NUKE on December 19, 2005, 09:51:35 PM
Hense the song "Taxman", an early Beatle hit.....
Title: Re: Was this true about British taxes?
Post by: Flit on December 19, 2005, 09:58:22 PM
Quote
Originally posted by Ripsnort
A person told me that more than one British Rock artists in the 60's and 70's changed their citizenship to U.S. due to the British Gov't taxing entertainers something like 95% of their wages. Is this true? Is it still true?

Why do you think John Lennon lived in NYC ?
Title: Re: Re: Was this true about British taxes?
Post by: Pei on December 20, 2005, 12:07:51 AM
Quote
Originally posted by Flit
Why do you think John Lennon lived in NYC ?


Higher rates of gun ownership?
Title: Was this true about British taxes?
Post by: 1K3 on December 20, 2005, 12:11:38 AM
The Swedes faced the same fate too

Too bad ABBA singers did not move to USA.  ABBA was taxed and left only with .02 cents change
Title: Was this true about British taxes?
Post by: joowenn on December 20, 2005, 01:39:27 AM
oh oh here come the british tax collectors again, run!!!
Title: Was this true about British taxes?
Post by: mora on December 20, 2005, 01:51:40 AM
All the local F1 and Rally drivers live in Monaco, Switzerland etc. places with low taxes. Good for them and that's what I'd do in a hertbeat. When they come to visit they better not drive or do anything stupid, because they might be fined hundreds of thousands for small violations.
Title: Was this true about British taxes?
Post by: Rolex on December 20, 2005, 02:06:15 AM
The tax was graduated so the amount above x level was at that rate. The US had a similar system, but reduced it before the UK did.
Title: Re: Was this true about British taxes?
Post by: beet1e on December 20, 2005, 04:49:06 AM
Quote
Originally posted by Ripsnort
A person told me that more than one British Rock artists in the 60's and 70's changed their citizenship to U.S. due to the British Gov't taxing entertainers something like 95% of their wages. Is this true? Is it still true?
In fact it was slightly worse than that. The top rate of income tax, which only the very well off would be eligible to pay, was 83%. But in addition to this, there was a 15% surcharge on "unearned" income (from investments etc.) making a total of 98%! The reason for the high rates was a socialist, Labour govt. led by Harold Wilson, then by Jim Callaghan, who had gained office by promising to end the 3-day week that had been imposed to conserve fuel during the 1973/74 miners' strike. The only way they could do it was to pay off the miners with a huge pay rise of ~30%, but then there was an army of workers who wanted theirs. The govt was basically hijacked, and as well as huge pay settlements was having to pour in billions of £ to loss making, strike riven, nationalised industries. The smart money buggered off overseas, so tax receipts actually went down. But the unions wanted more and more and by January 1979, in the middle of one of the coldest winters I can remember, the country reached a state of collapse in season which became known as the Winter of Discontent. The Labour govt. got bounced out of office in May 1979 on a vote of no confidence.

Margaret Thatcher became PM. From Day1 her quest was to tackle the unions, and tackle them she did. The supply of money that was being haemorrhaged into those overmanned, loss making, 19th century industries was cut off! Whereas few politicians could only dream of income tax lower than 40%, Thatcher made it happen. Within a few years, the top rate of tax had come down through 60%, 50% and settled at 40% where it remains to this day. The 15% investment surcharge was abolished, and the wealthy entertainers you spoke of - guys like Elton John - began returning to Britain. Tax receipts actually went up because more people were prepared to pay, and the rates were more competitive with the rest of the world.

The current govt led by Blair (soon to be superseded by Gordon Brown - I give Blair 6 months max) has reversed much of the good done by Thatcher, as it believes in a high tax economy. It is my belief that this current govt will also end in a state of economic collapse, possibly within 2-3 years.

As for our entertainers becoming US citizens, I don't think many did. I think most of them applied to be resident aliens.

Sorry to besmirch this thread with the facts - I realise it was a troll. :p
Title: Re: Re: Was this true about British taxes?
Post by: Ripsnort on December 20, 2005, 07:29:24 AM
Quote
Originally posted by beet1e
Sorry to besmirch this thread with the facts - I realise it was a troll. :p
(http://www.bimmerfest.com/forums/images/smilies/icon22.gif)  Just because 99% of your posts are trolls, doesn't mean everyones are.
Title: Re: Re: Re: Was this true about British taxes?
Post by: beet1e on December 20, 2005, 11:00:55 AM
Quote
Originally posted by Ripsnort
(http://www.bimmerfest.com/forums/images/smilies/icon22.gif)  Just because 99% of your posts are trolls, doesn't mean everyones are.
I agree. In your case, it's closer to 100%. :p
Title: Was this true about British taxes?
Post by: Dowding on December 20, 2005, 01:21:11 PM
How does that lame saying go?

'Own3d'
Title: Was this true about British taxes?
Post by: beet1e on December 20, 2005, 01:54:22 PM
Quote
Originally posted by Dowding
How does that lame saying go?

'Own3d'
:rofl :rofl :rofl :rofl
Title: Re: Re: Re: Re: Was this true about British taxes?
Post by: Ripsnort on December 20, 2005, 01:58:02 PM
Quote
Originally posted by beet1e
I agree. In your case, it's closer to 100%. :p

That is about as funny as beating a woman, Beet. :confused:
Title: Re: Re: Was this true about British taxes?
Post by: Clifra Jones on December 20, 2005, 01:58:28 PM
Quote
Originally posted by beet1e

Sorry to besmirch this thread with the facts - I realise it was a troll. :p


OMFG! I'm actually in total agreement with beet1e on this one. Oh Chit! where are my nitro pills, I'm feeling the big one coming on!


If only we had perfected human cloning. We could have Ronnie and Marge back again.
Title: Was this true about British taxes?
Post by: JBA on December 20, 2005, 03:53:08 PM
""""....................Tax receipts actually went up because more people were prepared to pay, and the rates were more competitive with the rest of the world..................

It also would have put more people to work....

Imagine that,lower tax rates and revenues go up, happens every time it's down, even in Britain.
:eek: