Branch resolution on progressive tax system
At November’s GC meeting, Brentford and Isleworth CLP passed the following motion and would like other CLPs to take up these issues to raise the important issue of a progressive tax system:
‘This General Meeting of the Brentford and Isleworth CLP calls on the Labour Party leader to announce that the Labour Party will commission and consult upon a comprehensive review of the British taxation system in preparation for the election of the next Labour Government.
The fair and progressive tax review should intend to encourage working and reduce the need to claim benefits by shifting the burden of taxation away from low and medium earned income and VAT on essential purchases towards high income, unearned income and wealth. The review should consider:
a) supporting new and expanding businesses in Britain which pay above the “living wage” so that the cost of benefits can be cut and more jobs can be created
b) ensuring that multi-national companies pay their fair share of tax reflecting their sales in Britain
c) encouraging the improvement and conversion of existing buildings to provide more affordable, energy efficient homes and construction jobs
d) supporting new and expanding “green” public transport passenger and freight projects and reducing the demand for increased lorry and car journeys and aircraft flights
e) supporting the sustainability of local shops, pubs and community facilities by reducing property taxes and rates of duty payable by smaller enterprises
f) financing the development of new local social housing by taxation of second homes within the same communities
g) considering the introduction of land value taxation and the rolling out of the UK’s current financial transaction tax on shares to bonds, derivatives and foreign exchange with the potential to raise an additional £20 billion a year.
h) reviewing the scope and impact of personal allowances and tax bands, inheritance tax, VAT rates and capital gains tax rates
i) introducing additional higher value council tax bands’