Am I the only one thinking it?
That can’t be the case.
Then it must be that I’m the only one willing to say it out loud.
This year, the government estimates it will collect around six billion euro in corporation tax, give or take a million.
Next year, even with credit crunches and recessions taken into account, it expects to raise 5.6 billion.
That’s with no change to the tax rates, currently 12.5% for trading income and 25% on non-trading income.
Don’t worry too much about that 25%. Effectively, most corporations here pay tax at 12.5%.
Now, suppose we raise the rate to 15%.
Rough back of the envelope calculation, we’d bring in about 6.7 billion in 2009.
Even if a few corporations upped sticks and left, and accountants got creative to avoid paying the increased taxes, it still a pretty sum.
Are large corporations really such sacred cows, when there’s a billion or so there for the taking?
Am I really the only one thinking about this?
I’m not saying we should do it, but I’m amazed that in the week when people on minimum wage are hit with an income levy, we aren’t even having the debate.