This a href="http://www.touchstoneblog.org.uk/2009/07/our-regressive-tax-system/" article /a on the TUC's Touchstone blog makes dismal reading. Indirect taxes seem to be quite regressive. The poorest quintile pay 27.9% of their income on such taxes compared to just 10% for the richest quintile. It does seem to me that there needs to be a shift in the tax system from indirect to direct taxation. The rise in VAT from 8% to 15% in 1979 set a very bad precedent, as it marked the start of an era when progressive direct taxes were cut and public spending instead became more funded by regressive indirect taxes.div class="blogger-post-footer"img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/38622711-8627553442006439530?l=vinospoliticalblog.blogspot.com'//div
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