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    KeithB - the history that you correctly recite was incomplete. When the higher rate tax rates were reduced the amount of tax collected from the highest earners actually went up. That is why for 13 years Labour never raised the rates and only did so as a political gimmick and trap by Brown in the dog days of his government to give Osborne a problem.

    As I have said before. In the last year of the 40% tax the top 1% of earners contributed 27% of the total income tax collected and the top 10% contributed 55%.

    People commonly confuse tax rates with what is paid. Higher tax rates do not necessarily lead to more tax being paid.

    If you want rich people to pay more tax then we need to reduce rates. It was recently calculated that the optimum highest rate of tax that would raise the highest amount of revenue for the Treasury from the high earners is 37%. The current rate is 52% falling to 47% next year (allowing for NI of 2% which is an income tax).

    Both Ross and I have pointed out that we need to simplify taxes and to reduce them to a flat tax to make them fairer, improve collection and get rid of loopholes.

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