Temporary income tax hike for the wealthy could see exodus

More higher rate taxpayers could up and leave from the UK if Nick Clegg’s proposed wealth tax were to be instated, an expert has suggested.
Last week deputy Prime Minister Nick Clegg said the rich should share more of the burden of the current economic problems. He has called for a temporary additional tax on the wealthiest taxpayers in the UK. The tax would go beyond the current mansion tax policy.
However, writing for CityWire, one lawyer said, “There is likely to be another exodus of wealthy individuals if Nick Clegg manages to introduce a wealth tax, however temporary he claims it would be. Income tax was originally introduced as a temporary measure in the 18th century to pay for the Napoleonic Wars; so experience suggests that taxes have a habit of sticking around.”
Should such a tax be introduced, the lawyer noted that there are steps wealthy individuals could take to shelter themselves from it, although he notes that expert advice would need to be sought on an case-by-case basis. Suggested potential measures include splitting the ownership of assets, making gifts, and moving assets offshore or transferring them to an alternative structure.

http://www.50percenttax.co.uk/index/2012/9/5/temporary-income-tax-hike-for-the-wealthy-could-see-exodus.html