Scotland to get full income tax powers...

[orlandoblue]

... Sky news tells me.

[ICTJohnboy]

So will we all pay much less tax?

[orlandoblue]

Dunno. I presume this means the setting of rates as well as spending it etc

[ICTJohnboy]

Scary.

[GalaKev]

Having this power fully devolved alone is bad news. In order for Scotland to benefit, we need full leverage over all taxation schemes.

Is it really, if true?

As I can see 5 years ago 29% tax raised was via income tax, which is the highest single tax with NI behind next, which was 19%.

[doulikefish]

http://blogs.channel4.com/gary-gibbon-on-politics/scottish-labour-despair/29709

[SodjesSixteenIncher]

Some delicious quotes in there. They must be absolutely seething at themselves for shitting their grubby little pants just before the vote.

[jamamafegan]

Those quotes.

[Mr Bairn]

So hold on, the London parties are actually delivering on "The Vow" - that ought to shut the NCC warriors up.

[SodjesSixteenIncher]

So hold on, the London parties are actually delivering on "The Vow" - that ought to shut the NCC warriors up.

Not really though, based on this news. Who knows what else will come out of Mr Burns' mystery box tomorrow though.

[Jamaldo]

Not really though, based on this news. Who knows what else will come out of Mr Burns' mystery box tomorrow though.

Lord Smith of Kelvin reporting back with his findings tomorrow:

[invergowrie arab]

Income tax alone is pissing about around the edges. We need a full suite of economic levers to make a difference.

[itzdrk]

http://blogs.channel4.com/gary-gibbon-on-politics/scottish-labour-despair/29709

[GalaKev]

Income tax alone is pissing about around the edges. We need a full suite of economic levers to make a difference.

And if the Yes campaign had come out with how taxes were to be raised, etc, we may well be having a different discussion now.

How is just under a third of all taxes raised, pissing around the edges?

[ForzaDundee]

The British nationalists are seething at this news. Can't wait to see their greeting pusses when we get full independence. Another referendum within five years is my estimate.

[doulikefish]

Basically it will be a way of cutting barnett

[Michael W]

The vow promised new powers for Scotland without any details of what they would be - what Sky News is reporting does exactly just that. It won't be enough for the people who voted yes, but I doubt whatever the proposals were they would moan anyway.

I don't actually agree with the proposals on income tax - devolving it fully but reserving the personal allowance is a bit stupid. I'd have set the rate base rate at 10% and let Scotland decide thereafter (and made a similar devolvement across the UK). It doesn't make any sense that Scottish income tax isn't contributing the the running of the UK, but other tax from Scotland that isn't fully devolved does. Then again, I guess Scotland's share of UK spending will be what it is regardless of where the money comes from. I'd also have devolved 'unearned' income.

This is only the report recommendation here, btw, It's not final.

ETA - We have a problem where 'unearned income' is concerned if it it isn't being devolved. The UK exchequer (not Scotland) will suffer if tax rates are decreased, and Scotland won't benefit if they are raised.

[GalaKev]

It's hard to come up with a concrete taxation plan when you don't know exactly what will come out of the devolution proposals.

I agree Sir it would be hard, but not impossible.

What i wanted to see was that based on current finances that x,y & z would be raised. I wanted to see how business would be encouraged to move to Scotland, with corporation taxes. How we could encourage the Amazons, etc to move to Scotland from Luxembourg and change their headquarters, employing more staff, hence increasing the 50 of taxes paid.

But now, it was pie in the sky. The good bits but not the other side to make an informed decision.

I voted SNP last election, to encourage the vote, but personally I was left disappointed at the Yes Campaign and how they handled the the most important issue, finance.

[invergowrie arab]

And if the Yes campaign had come out with how taxes were to be raised, etc, we may well be having a different discussion now.

How is just under a third of all taxes raised, pissing around the edges?

It's the capacity to vary that income that makes a difference, the proportion of your revenue stream that that represents is irrelevant.

[Michael W]

It's the capacity to vary that income that makes a difference, the proportion of your revenue stream that that represents is irrelevant.

...and giving Scotland the power to set the rate of income tax does that.