Average households pay quarter of a million in tax

Over a lifetime, the average household can expect to pay around a quarter of a million in income tax, recent research has revealed.Compiled by the Taxpayers' Alliance, the study found that once VAT has been added, along with National Insurance and council tax, the total household tax bill stands in the region of £656,000. However, the 50 per cent tax rate means that the top 20 per cent of households by income are paying substantially more and can expect a lifetime bill of around £1.3 million. Meanwhile, the bottom 20 per cent pay an average of £235,000.It was also revealed that different taxes affect different income bands, with the top earners mostly paying out on income tax, while VAT and income tax are the main burdens to the lowest earners.Matthew Sinclair from the Taxpayers' Alliance, commented: “Households in the UK now pay an incredible amount in tax over a lifetime, handing over a hefty slice of their income.”He urged the chancellor to deliver a tax cut in the next Budget in order to help boost economic growth and ease the burden on British households during these tight times.

http://www.50percenttax.co.uk/index/2012/2/1/average-households-pay-quarter-of-a-million-in-tax.html