if I’m not mistaken, your personal income tax is 45% and your sales tax is 20%
My income tax is roughly 25% and our sales tax here in a free state is 6.75%
Tax rates are of course complicated and one needs to take into account Social Security tax, VAT, and others, but it seems like free health care comes at a price no?
You are mistaken. Most pay less income tax. We pay fixed rates that include everything including social security:
Band | Taxable income | Tax rate |
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Personal Allowance | Up to £12,500 | 0% |
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Basic rate | £12,501 to £50,000 | 20% |
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Higher rate | £50,001 to £150,000 | 40% |
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Additional rate | over £150,000 | 45% |
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So, the 1st £12,500 is free and untaxed.
The next £50,000 is taxed at 20% (you still get the free £12,500 in addition to that)
Between £50,001 and £150,000 is taxed at 40% (you still get the 1st £12,500 free and the 1st £50,000 after that at 20%)
Over £150,000 is taxed at 45% (however, as before you get the 1st £12,500 free, the 1st £50,000 after that at 20% and the £100,000 between the £50k and £150k at 45%)
Examples:
Someone on £12,500 pa will pay no tax at all
Someone on £30,000 pa will pay tax at 20% on £17,500 only (£30k-12,500)
Someone on £62,500 pa will pay 20% tax on £50K only.
For that you get totally free Health Care - free A&E, free ambulances, free operations (ALL except cosmetic unless as a result of disfigurement or accident in which case free), free cancer care and drugs, free MRI / CT Scans / Xrays, free GP's, free consultants, free hospital stays, free mid wives, all with unlimited access, free physio, free health care visitors, free innoculations, subsidised Dental Care, prescriptions at a fixed cost irespective of the cost of the drug eg £10,000 per month you still pay a fixed £9.15 charge, subsidised or free eye care / tests / glasses for those on low income or with certain diseases in the family that make them prone to eye disease eg glaucoma, a comprehensive benefits system for unemployed or disabled people, free care homes for the elderly although it is means tested and those with savings will have to pay until the savings are exhausted down to I think £6K.
In the US you also pay additional income tax to your local municipality at between 1-10% of your income. In the UK we pay on house value and it's a fixed amount on average around £100 per month for a house of average value but that gives you free refuse collection, access to refuse dumps, free fire, police, libraries, education, comprehensive social care, maintenance of street furniture, trees, verges, roads, pavements, council housing for the poor (subsidised with cheap rents and free maintenance / decoration), free grafitti removal, free school meals for low income children, housing benefit, council tax benfit for those on low incomes, etc.
To give you an idea of Council services, a council website is here listing theirs:
Welcome to Wiltshire Council - Wiltshire Council
Still think the US is system is better? Apart from your sales tax, our income tax is 5% cheaper for most low ot moderate income levels, with £12,500 free and all those benefits.