Tax Reforms Needed
Reform of the tax system is needed to help ‘hard-working families’, writes Mothers At Home Matter’s chair, Anne Fennell. Families are struggling. They face an unprecedented rise in fuel and energy costs in the realm of £2k a year but do not have the means of meeting this. Many of the problems families face arise from a tax system which far from helping them does not even recognise them and whilst it elevates the individual it creates the problems which will see families pushed further into poverty.
Treasury Select Committee
MAHM’s contribution to the Treasury Select Committee’s ‘Tax after Coronavirus’ inquiry presented evidence to address the question: ‘Which areas of the tax system are most in need of reform?’
We focused specifically on income tax emphasising the pressing need for a fairer family taxation system. Our system of independent taxation is not fit for purpose for taxing families; it causes unfairness, injustice and even harm.
Taxation of Families
A report from Tax and the Family and CARE shows yet again that households with children continue to bear a heavier share of the income tax burden than they do in other countries and many face much higher marginal rates. Families with incomes below the poverty line can be paying large amounts of income tax.