Darling Hits UK Taxpayers With Stealth Tax

by Robert Lee, Tax-News.com, London

20 April 2009

Millions of middle class residents in the UK are being hit with large stealth tax bills in light of the government's failure to keep income tax bands in line with wage inflation, it has been claimed.

According to chartered accountants, UHY Hacker Young, income tax bands are no longer in sync with wage inflation.

Tax experts at the firm have illustrated that due to a decision by UK Chancellor Alistair Darling not to adjust income tax bands, the UK's middle class is being hit the hardest.

Commenting on the issue, Rob Durrant-Walker, one of UHY's tax specialists, said:

"The middle-classes have been particularly punished by the failure to increase the personal income tax rates and thresholds in line with wage inflation."

"This is a way of the Government bringing in tax increases via the back door," he added, concluding:

"We know what the Chancellor Alistair Darling's borrowing requirements are going to be but we would like any tax increases to be conspicuous and not brought in as a stealth tax."

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