Graduate tax bad for business, says IoD
The Liberal Democrats are calling for a new graduate tax to replace to tuition fees, but it could result in a ‘brain drain’ from the UK, warned the Institute of Directors.
The Liberal Democrats passed a motion at their annual conference this week calling for leaders to build a cross-party consensus for a graduate tax system to replace tuition fees.
The tax would mean that graduates on lower salaries pay less for their degrees, while high earners would pay more than at present.
Continued...
The full article is available to registered AccountingWEB members only. To read the rest of this article you’ll need to login or register.
Registration is FREE and allows you to view all content, ask questions, comment and much more.
Or if you are already registered, login here
Graduated Tax / Graduate Tax
If, a University education is suppose to enhance one's earnings over a lifetime then our graduated tax system already taxes graduates when the reach the 40% threshold which presumably they reach earlier and stay in longer than non graduates.
No need for an additional tax.
Any puns are unintended
Progressive common good
I seem to remember the Lib Dems suggesting a 1% (higher) education tax.
I for one (maybe the only!) would not disagree if the higher rate were raised from 40% to 41% to fund a properly regulated "higher" (and maybe "further") education system.
Then those who could afford it (presumably including graduates) and everyone who benefits from a society containing university education (not just the graduates themselves), would pay a share - as with the NHS.