They say no changes should be made to the tax structure until the current major consultation exercise on tax and spending has been completed and fully assessed.Finance explain their reasons in comments lodged today.The Deputy hoped his proposal would come into effect as part of the 2004 Budget proposals, raising £10 million to meet the spiralling costs of service provision.In rejecting the projet, Finance said: ‘Deputy Southern’s proposal will, if approved, necessitate an income tax rate of 29 per cent for household income above £100,000 after allowances in order to raise £10 million.
It is not possible to assess the full effects and implications of the proposal in the timescale allowed by the proposition.’Apart from their opposition to considering a tax change in isolation from possible future changes to the entire structure, Finance said there was not enough time to bring forward the necessary legislation for inclusion in the Budget.
