Whats your usual first stop when you go? I do very well at Zara. I love me some Zara. Whats the hardest thing to shop for, in your opinion? If you can find a great pair of jeans that happens to be on sale, thats always a win. Jeans are hard! And Im not patient when it comes to trying them on. So finding good ones always feels like an accomplishment. Do you remember your first big fashion splurge?
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That may not happen if changes are made in this week’s Budget and it is only a forecast, so unexpected events could prevent it happening. The Institute for Fiscal Studies said in its Green Budget that tax is rising as a share of national income and by 2019-20 is due to reach its highest level since 1986-87. It is important to stress that it is not saying taxes on all individuals or households are going up. The measure it is using is the government’s total tax receipts (and the OBR’s forecasts of those receipts) as a proportion of gross domestic product (GDP), which is the total amount of goods and services produced by the economy. We will examine which taxes have been rising later, but it is true that the total take is expected to rise in the next few years to levels unseen since the mid-1980s. Click to see content: current_receipts It is in the next financial year, 2017-18, that the OBR expects the big jump in receipts to 36.9% of GDP, which take it above the peaks of 2011-12. Indeed it appears to be that year and not 2019-20 that first takes receipts to 1986-87 levels. But it does not mean that everybody is paying more tax. There have been gradual falls in revenue from income tax, for example, as the amount people have to be earning to pay it has been increasing. The government said in the Autumn Statement that the increases in the basic rate threshold in the last parliament had meant four million of the lowest-paid people were not paying it at all.
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