Taxation and Inflation
Taxation and Inflation
In wake of the Autumn Statement, we come to find that the tax rate will rise over the next few years. This is due to inflation. As mentioned in our Quote on the 1st of January, inflation is a form of taxation that can be imposed without legislation. This is due to our wages rising over time, and if the tax brackets remain the same there will effectively be a tax increase.
This will be felt over the next few years as inflation has continued to remain high, eventually wages will catch up and more people will be pushed into the higher tax brackets.
The hidden tax rise in the Autumn Statement – BBC News