Who’d have guessed I lived in a tax haven?

I’m no expert on Scottish politics, but it seems some commentators are suggesting the SNP coalition with the Greens may lead to higher taxes.

This is maybe a good point to remind us all that the combined effect of income tax and NIC on Scottish residents is already significant. And because Scotland controls income tax bands but not the NIC rate, there are some huge disparities disproportionately affecting people earning as little as £44,662 pa.

The table below is a bit like that old joke, the one about what people say versus what they really mean….. For example, for someone earning (say) £45k pa in Scotland, they say that the tax rate is 41%, but in reality, the employee takes home just 47p on each extra pound earned for every 66.8p that HMRC take.

The same person living just across the border will take home 21p more for each extra pound earned.

So, does this make the rest of the UK a tax haven?