Last year Richard Murphy, well-known through his involvement with the Tax Justice Network, expanded his ideas into a paperback book The Joy of Tax. His association with Jeremy Corbyn may cause Liberal Democrats to reject his ideas, but I argue here that even if we reject his solutions, which include both Basic Income and local Land Value Tax, we should take seriously his criticism of the existing tax system and his analysis of the purpose of taxation.
After a short historical introduction in which he develops the idea of tax as being the band that holds together the Social Contract between a people and their government, he examines how the Government raises its revenue. We are all familiar with the three big taxes: income tax, National Insurance and VAT, which together raise just under 65% of all taxation, national and local, but Murphy also looks at the large number of taxes that raise the remainder and the justification for them.
He covers six reasons why Governments should tax:
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