Natural Law Party will immediately start phasing out VAT

We will reduce taxes in stages as problems throughout society are reduced. However, we plan to start immediately phasing out VAT altogether. This tax has created a situation, especially in the lower income brackets of society, whereby every time one purchases something the heart shrinks at the word "tax" added on to the price. If someone has to buy ten items in a day, then ten times the heart shrinks, a curse goes to the government, and the joy of buying is overshadowed. Also the complex administration of VAT places a costly bureaucratic burden on all types of business. Eliminating VAT will by itself create an immediate stimulus to the economy, leading to greater employment (and therefore lower expenditure for unemployment payments) and higher revenue from greater national wealth creation. Obviously there are restrictions within the European Union to the amount we can currently reduce VAT. However, when the British Natural Law Party government demonstrates the great savings to government from the implementation of its programmes, we are confident that other countries in the EU will want to do the same and will join us in eliminating VAT altogether.

Simplifying the tax system - eliminating the waste of collecting the people's money and disbursing it back to them

The Natural Law Party will simplify the complicated tax system. It is a waste of the nation's resources for the administration to collect money from the citizens and redistribute it back to them.

Currently there are so many different kinds of taxes - VAT, personal income tax, corporation tax, council tax, national insurance contributions, fuel tax, inheritance tax,capital gains tax, etc. Each requires a separate system of collection, which makes administration complicated. The government then has to tax people even more to pay the expenses of collecting and disbursing the money. High taxes create resentment, leading to a disproportionate degree of our national energy being wasted on tax avoidance, which in turn creates unnecessary pressure on the justice system.

Natural Law Party's one-tax system

In contrast, the programmes of the Natural Law Party will be in accord with the principle of least action through which Nature's Government quietly administers the universe. The Natural Law Party government will introduce a one-tax system. All taxes will be paid to a single government agency, eliminating the current system of dealing with so many levels of government for so many different kinds of taxes.

We will make the tax laws so simple that any citizen can understand them without assistance from a lawyer or accountant.

Our goal: a basic rate of 15% income tax

Our goal is to maintain current levels of personal allowance and to have a basic rate of income tax of 15% with no further deductions for anyone.

This is our target. Because of the current overload of debt and widespread problems, it may not be feasible to reduce all taxes immediately. However, we envisage a time when a 15% basic rate income tax level will be enough to finance an efficient government.

We will achieve that goal through the following plan:

• Expenditure on ill-health, crime, and unemployment will be reduced through solving these problems at their basis by eliminating stress in individual and national consciousness
• Government will become simpler and more efficient. Not only will the government itself be less expensive to administer, but businesses will no longer have to waste a disproportionate fraction of their resources dealing with complex regulations and paperwork, which causes frustration and reduces their profits
• As creativity increases in national consciousness through our programmes to enliven the evolutionary power of Natural Law, personal and corporate incomes will increase, creating higher revenues even with a lower tax rate
• Low taxes and a flourishing economy will attract and keep more investment and businesses in Britain
• A low tax rate and simple tax system will reduce tax avoidance, which some sources estimate reduces government tax revenues by more than 2 billion
• Paying off the national debt (please refer to Public Sector Borrowing section) will save 22 billion annually just in interest payments.

A new policy of taxpayer participation

The Natural Law Party government will promote a low-taxation policy along with inspiration for charitable contribution, donation, and investment for the community, its social well-being and progress. This will restore vitality to the natural impulse to "Love thy neighbour" and "Help thy neighbour". Currently one earns money and has no personal participation in government spending - the tax money goes to a stranger who spends it.

Our system will give to those who have earned the money the joy of participating in the spending for the good of others in their own community and constituency or for great national projects at home and abroad. Healthy and naturally refined emotions will once again thrive in national life through this beautiful tax policy of the Natural Law Party.

Decentralising administration for more efficient spending of tax revenues

The efficiency of administration will be further improved by delegating more power and money to local authorities, who know what is needed in their community and can best decide how the money should be spent (see section on All-Party Government).

Stimulating the economy by lowering taxes

The most powerful fiscal action a government can take to stimulate the economy and provide the basis for long-term economic growth is to lower taxes. High taxes indicate inefficiency of administration. The Natural Law Party is the only political party that offers programmes to reduce expenditure significantly and thereby responsibly cut taxes.

Lowering taxes will provide the financial basis for sustained economic growth and prosperity. This economic growth will create new jobs and eliminate unemployment.