Taxation of Families

Anne Fennell and Marie Peacock campaigning at the House of Lords with Tax and the Family.

A new report by CARE and Tax & the Family compares the direct tax burden, income tax rates and effective marginal tax rates of various households in the UK with similar households in other countries in 2018. It 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.

The report argues that income tax liabilities should more closely relate to how well off people are. A way must be found to take account of household income in the context of independent taxation.

The report can be found here.