British expatriates may soon be congratulating themselves for their move abroad as taxes for the most wealthy Britons are set to rise, a move that should be abandoned says a new study.
According to the TaxPayers’ Alliance, the government’s plans to increase taxation to 50p in every pound will lead to fewer new jobs being created, reports the Telegraph.
The levy is due to begin in April 2010 and could prove to be unpopular with high earners, as it only charges higher rates on incomes in excess of £50,000. Research director at the Taxpayers Alliance Matthew Sinclair suggests the government pay more attention to creating more jobs and encouraging entrepreneurs to build businesses.
"The 50p rate of income tax was a political stunt that isn’t worth the price of higher unemployment, so it should be abandoned," Mr Sinclair told the paper.
Before leaving for abroad expatriates should look at the benefits of international health insurance and clear up their tax situation.