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New Banker Bonus Boom: Payouts Leapt 64% To New Record When Osborne Cut Top-Rate Tax To 45P In April

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http://www.independent.co.uk/news/uk/politics/new-banker-bonus-boom-payouts-leapt-64-to-new-record-when-osborne-cut-toprate-tax-to-45p-in-april-8665810.html

Bankers’ bonuses leapt to record levels in April as the Government’s cut in the top rate of income tax came into effect, new figures revealed today.

The disclosure provoked anger with Labour accusing David Cameron of giving a “massive tax cut” to millionaires in the City at a time when ordinary families are seeing their incomes shrink.

According to the Office for National Statistics, the average weekly bonus in the financial sector was £143 in April – a rise of 64.4 per cent compared with April 2012.

The dramatic rise came against a background of falls in bonuses over the last year, suggesting recipients had been delaying collecting them to minimise the amount of tax paid on their windfalls.

As expected those bonuses just had to wait until the tax cut.

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But 45% of an amount which is 64% higher than the amount you took 50% of means you take more tax by having a lower tax rate.

Which was the government's argument when they reduced the top rate.

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But 45% of an amount which is 64% higher than the amount you took 50% of means you take more tax by having a lower tax rate.

Which was the government's argument when they reduced the top rate.

But that argument is a load of BS as you must surely know.

All they've done is delayed taking the bonus until the tax rate drop came in.

So instead of paying 50% on that 64% they've paid 45%. Thus we've out by 5% of 64% in terms of tax take.

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But that argument is a load of BS as you must surely know.

All they've done is delayed taking the bonus until the tax rate drop came in.

So instead of paying 50% on that 64% they've paid 45%. Thus we've out by 5% of 64% in terms of tax take.

Equally, it might be the case that both are true(deferment and an increasing tax take).

Next year, the same deferment trick will not be effective so perhaps a comparison of next year's tax paid versus 2012's, adjusted for the total bonuses paid, is the test that ought to settle the matter.

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According to the Office for National Statistics, the average weekly bonus in the financial sector was £143 in April – a rise of 64.4 per cent compared with April 2012.

Hmm, does that mean that the average bonus per year was a piddly 7436 GBP? That doesn't seem to fit with the propaganda we keep hearing about massive city bonuses.

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Hmm, does that mean that the average bonus per year was a piddly 7436 GBP? That doesn't seem to fit with the propaganda we keep hearing about massive city bonuses.

Clearly they are counting all staff including back-office and probably even the cleaners to make the average look low.

It's a known fact that bankster bonuses are distributed following an exponential curve, 1% of the banksters get a larger bonus than the remaining 99% together...

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Clearly they are counting all staff including back-office and probably even the cleaners to make the average look low.

It's a known fact that bankster bonuses are distributed following an exponential curve, 1% of the banksters get a larger bonus than the remaining 99% together...

God. I thought people understood that income tax was evil. Step back and see the cause, not the effect.

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  • 243 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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