Is it now time to abolish direct taxation ??

[R1Geezer]

Given that income tax is only a temporary law to assist in fighting Napoleon and Direct taxation amounts to about 10% of total taxation anyway. It no doubt costs 50p to collect a pound, why don't we sweep away the entire direct personal taxation circus, saving zillions in the process and wack it all on Indirect taxation? Making this country hugely attractive to investors/employers? Over time would we not become a larger version of tax havens like Monaco?

[Gromit]

It would not attract investors into the country, it would deter them. Companies and individuals can find ways of lessening their tax. Ask Mr Murdoch who is famous for his tax avoidance.

http://news.bbc.co.uk/1/hi/special_report/1999 /02/99/e-cyclopedia/302366.stm

Now, if you were to raise taxes from indirect sources, it would be difficult for companies and rich individuals to avoid them. They would not like that. They would take their business elsewhere.

[Tom Braider]

In 2006-07 HMRC collected about �423 billion. Direct taxation (Income tax, Corporation tax, National Insurance) accounted for 64% of the total. Where did you get the idea it was only 10%?