Insightful piece as always Kristien. Of course wealth taxes are a chronic response to our problem.
All taxation is at present a result of money moving or changing hands. Vat and duty the obvious ones.
But so is income tax and NIC. They are not ‘working’ taxes. Despite income being in the heading they are in fact triggered by the business deciding to SPEND money on their employee. It’s the employer SPENDING on their employee!
So it’s the same. All taxation is triggered by SPENDING if the money received from customers and consumers. Us!
We pay for everything. By SPENDING everything we have. Each month most of us decide or have to SPEND all our incomes.
Whereas the rich don’t. They don’t pay tax on unspent money. None! And neither does it contribute to our ability to pay the taxes we and they want to pay for our collective needs.
We are now realising after decades of deficit that our entire state is underfunded. Despite more and more money going in taxes they still can’t make it work.
And more cuts are now perilous and we can see with our own eyes that the buffers are getting closer.,
So to ‘get more tax’ the old “let’s tax the rich” banner gets a dusting off.
But all that tells me is a complete misunderstanding of tax and wealth.
They conflate money and wealth. And I say they shouldn’t.
Money is a fair exchange of work. But it’s plain to everyone there is no fairness nor is money actually exchanged.
As the rich get richer, the disparity gap grows. Because if one thing. Cash flow!
We, our system allows money to be held on to. Retained. Unspent idle and unused. This is the power of those few. Our own system allows it.
Now I’m all for earning as much as you can. Be drinking rich. Why not, we need a reason to get out of bed. We need a proper earn to show working works best!
But here is the kicker. Unless they SPEND it back freely, how can that cycle be expected to be perpetual? How can money get a path back?
We expect tax to do that. But as I show, tax is based in SPENDING.
So how do you tax when it’s not being SPENT?
Exactly! You can’t! Not easily snd not fairly. And by taxing them it’s insufficient to put our economy right again. And if we did, as we see the system allows our money to be taken away, abroad and permanently out of our system making things worse.
So what is the answer Kristien?
Not borrowing it back. Look where that’s got us. And look at the banks pension pots and funds.damming off more and more of our money in a similarly bad way.
No stop!
Bring back exchange controls. Make goods flow out and people but, not our money, we need it to fuel our economy.
We need to take back control of our money. All of it.
Swap old money cash and digital for a new currency of digital uk only. So we get it all back in one swoop.
Then let them SPEND it. Get a fair exchange for it. By putting a ‘spend by date’ on all that digital money.
Spend it or lose it to the exchequer. That’s the sort of cash flow we need to extract sufficient taxes for all our needs.
No more borrowing. No. We’ll finally get a real proper wage. Not a lowly one of the same as benefits! Oh no. One that really pays. One that shows work really pays.
Also we get a state pension so good we don’t need any other one.
And the rich get even more rich! From all that new SPENDING! The only thing is they have to SPEND it. Do try hey get more wealthy from the assets they buy with the MONEY they SPEND.
It’s simple cash flow Kristian.
We don’t have enough of it because us the majority allow the rich minority to hold onto it! That’s insanity and totally undemocratic.
Banks must just facilitate the flow not hinder it.
Who needs to borrow if you earn more than enough each month.
We can buy new cars in HP at 0%. So maybe the mortgage would be the only borrowing required. So again a state bank to ensure that is accommodated should be a right. Not a pipe dream.
Everywhere we look we see underfunding. Because despite all our spending and taxes it’s never going to be enough.
And a wealth tax won’t bring in enough either.
No it’s a tsunami of SPENDING with freely moving money not burdened with debt is the only answer.
And let’s get back the powerhouse we can be.
All we need is MONEY and SPENDING in such a weight that we can’t fail to earn.
Consider this.
There is supposed to be £19 trillion pounds out there in the aether.
If all that money were to be made to be SPENT. Just the once. In a while year. Then the Vat alone should bring in £3.8 trillion pounds to the exchequer.
We presently take £1.1 trillion pounds from all taxation whilst spending just £1.5 trillion per year. The deficit.
So when rotating money could raise £3.8 trillion why are we in trouble?
Because we allow the few to hang onto our money do we are made to borrow it back. And look at where we are from that shitstorm!
Insightful piece as always Kristien. Of course wealth taxes are a chronic response to our problem.
All taxation is at present a result of money moving or changing hands. Vat and duty the obvious ones.
But so is income tax and NIC. They are not ‘working’ taxes. Despite income being in the heading they are in fact triggered by the business deciding to SPEND money on their employee. It’s the employer SPENDING on their employee!
So it’s the same. All taxation is triggered by SPENDING if the money received from customers and consumers. Us!
We pay for everything. By SPENDING everything we have. Each month most of us decide or have to SPEND all our incomes.
Whereas the rich don’t. They don’t pay tax on unspent money. None! And neither does it contribute to our ability to pay the taxes we and they want to pay for our collective needs.
We are now realising after decades of deficit that our entire state is underfunded. Despite more and more money going in taxes they still can’t make it work.
And more cuts are now perilous and we can see with our own eyes that the buffers are getting closer.,
So to ‘get more tax’ the old “let’s tax the rich” banner gets a dusting off.
But all that tells me is a complete misunderstanding of tax and wealth.
They conflate money and wealth. And I say they shouldn’t.
Money is a fair exchange of work. But it’s plain to everyone there is no fairness nor is money actually exchanged.
As the rich get richer, the disparity gap grows. Because if one thing. Cash flow!
We, our system allows money to be held on to. Retained. Unspent idle and unused. This is the power of those few. Our own system allows it.
Now I’m all for earning as much as you can. Be drinking rich. Why not, we need a reason to get out of bed. We need a proper earn to show working works best!
But here is the kicker. Unless they SPEND it back freely, how can that cycle be expected to be perpetual? How can money get a path back?
We expect tax to do that. But as I show, tax is based in SPENDING.
So how do you tax when it’s not being SPENT?
Exactly! You can’t! Not easily snd not fairly. And by taxing them it’s insufficient to put our economy right again. And if we did, as we see the system allows our money to be taken away, abroad and permanently out of our system making things worse.
So what is the answer Kristien?
Not borrowing it back. Look where that’s got us. And look at the banks pension pots and funds.damming off more and more of our money in a similarly bad way.
No stop!
Bring back exchange controls. Make goods flow out and people but, not our money, we need it to fuel our economy.
We need to take back control of our money. All of it.
Swap old money cash and digital for a new currency of digital uk only. So we get it all back in one swoop.
Then let them SPEND it. Get a fair exchange for it. By putting a ‘spend by date’ on all that digital money.
Spend it or lose it to the exchequer. That’s the sort of cash flow we need to extract sufficient taxes for all our needs.
No more borrowing. No. We’ll finally get a real proper wage. Not a lowly one of the same as benefits! Oh no. One that really pays. One that shows work really pays.
Also we get a state pension so good we don’t need any other one.
And the rich get even more rich! From all that new SPENDING! The only thing is they have to SPEND it. Do try hey get more wealthy from the assets they buy with the MONEY they SPEND.
It’s simple cash flow Kristian.
We don’t have enough of it because us the majority allow the rich minority to hold onto it! That’s insanity and totally undemocratic.
Banks must just facilitate the flow not hinder it.
Who needs to borrow if you earn more than enough each month.
We can buy new cars in HP at 0%. So maybe the mortgage would be the only borrowing required. So again a state bank to ensure that is accommodated should be a right. Not a pipe dream.
Everywhere we look we see underfunding. Because despite all our spending and taxes it’s never going to be enough.
And a wealth tax won’t bring in enough either.
No it’s a tsunami of SPENDING with freely moving money not burdened with debt is the only answer.
And let’s get back the powerhouse we can be.
All we need is MONEY and SPENDING in such a weight that we can’t fail to earn.
Consider this.
There is supposed to be £19 trillion pounds out there in the aether.
If all that money were to be made to be SPENT. Just the once. In a while year. Then the Vat alone should bring in £3.8 trillion pounds to the exchequer.
We presently take £1.1 trillion pounds from all taxation whilst spending just £1.5 trillion per year. The deficit.
So when rotating money could raise £3.8 trillion why are we in trouble?
Because we allow the few to hang onto our money do we are made to borrow it back. And look at where we are from that shitstorm!