Conference urged to take low paid out of Income Tax
Hinckley and Bosworth Councillor, Michael Mullaney (Lib Dem: Hinckley Trinity) spoke at the Liberal Democrats national conference this week urging the government to take all low paid workers out of Income Tax.
Speaking at the conference on Tuesday morning Michael Mullaney said "I welcome the Lib Dem commitment that no one will pay Income Tax on the first £10,000 they earn.
"But we should go further and commit to taking everyone who earns the minimum wage out of Income Tax altogether.
"Too many people in my area of Hinckley and Bosworth, and nationally still earn low wages. The very least we can do, to make work pay, is to take them out of paying Income Tax.
"Like many here at Lib Dem conference I'm delighted that the party is clearly setting out that our priority for the next budget is getting a better deal for hardworking people.
"In Hinckley and Bosworth the Liberal Democrat led council has shown its commitment to tackling poverty pay, by bringing in a "Living Wage" so that employees are paid above the minimum wage.
"We want to see our tax system made fairer so the richest pay their share and where help is provided for those who need it.
"Raising the Income Tax threshold will help average working people in Hinckley and Bosworth, who have been struggling with bills and higher costs of living."
From next April the Income Tax threshold will be raised so that no one will pay Income Tax on the first £9,200 they earn and it will go up to £10,000 from April 2015.
Lib Dems say that in order to make taxes fairer, tax loopholes must be closed and a new wealth tax on the super rich is needed. This will then help the Government to further increase the Income Tax threshold.
Chief Secretary to the Treasurery Danny Alexander MP has since announced that the Lib Dems will stand at the next election with a commitment to raise the point at which people start paying Income Tax to £12,500 to take everyone on Minimum Wagw out of Income Tax.
Reacting to the announcement Michael Mullaney said "This is very good news. It will mean many of the lowest paid workers will be taken out of Income Tax and many others on middle incomes will have an Income Tax cut."
For more information please contact Cllr Michael Mullaney on 07576 289910
When the Coalition came to power in 2010 the Personal Tax Allowance was £6,475. Increasing it to £10,000 will mean £700 back in the pockets of working people, or approximately £60 a month.
The national 'Fairer Tax' campaign website is www.fairertax.org