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LIB DEMS BID TO SHAKE-UP LOCAL TAXATION

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The Liberal Democrats reaffirmed their commitment to abolishing the council tax and replacing it with a local incom...
The Liberal Democrats reaffirmed their commitment to abolishing the council tax and replacing it with a local income levy, as they gave details of their new tax policy last week.

Along with their plans for council tax, the Lib Dems also reiterated support for the re-localisation of business rates.

The proposals form part of a new 'greener' tax system designed to lift two million people on low wages out of income tax with the costs met by penalising those that have environmentally-damaging lifestyles.

The wealthy would also pay for the lowering of the basic rate of income tax from 22p to 20p through windfall taxes.
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