USA General Election 2024: Green party tax policy
The Green Party published its 2024 General Election Manifesto, titled “Real Hope, Real Change” on Wednesday 12th June. It includes a commitment to “tax multi-millionaires and billionaires to fund our public services” and notes that we can make different choices “by taxing wealth fairly and by taxing pollution to generate enough money to rescue our public services and in protecting our climate”.
Although the Green Party are unlikely to have a significant direct influence on policy, with their target for this election being to win at least four seats, it is interesting to see where their policies align with other parties. The focus, as well as taxing pollution, is on taxing wealth and unearned income, which is consistent with other parties prioritising reducing the tax burden on earned income over unearned income.
The manifesto pledges on tax are:
Personal tax measures
- Introduce an annual wealth tax, charged on those with assets over £10 million at 1%, and assets over £1 billion at 2%
- No increases to the basic rate of income tax “during this cost-of-living crisis”
- Align the rates of tax on investment income with the rates of income tax and national insurance contributions on employment income
- Ensure that the main rates of national insurance apply to all income, by removing the threshold over which only 2% is charged
- Reform capital gains tax so that the tax rates are the same as those on income
- Reform inheritance tax, “ensuring that intergenerational transfers of wealth are taxed more fairly”
- Restrict pension tax relief to the basic rate of income tax, currently 20%
Business tax measures
- No increase to the main rates of corporation tax
- In the long-term, aim to move to a land value tax. Initially survey all landholdings as a move towards this
- Remove business rate relief on enterprise zones, freeports, petrol stations and most empty properties
- Advocate for windfall taxes “where there is evidence that market distortions are creating risk free additional profits”
- Introduce a windfall tax on banks when excessive profits are being made
- Deny operating licences to ‘gig’ employers found to be in breach of tax law
- Reduce VAT on particular industries including hospitality and the arts, while increasing VAT on financial services
- Exempt cultural events, including everything from theatre and museum tickets to gigs in local pubs, from paying VAT
- Remove charitable status from private schools and charge full VAT on private school fees. No VAT on private school fees for children with special educational needs
Environmental tax measures
- Introduce a carbon tax, initially of £120 per tonne of carbon emitted, rising to a maximum of £500 per tonne within 10 years
- Support an increase on the rate of windfall tax on oil and gas production and “close existing ‘loopholes’ and tax relief mechanisms”
- Introduce a frequent flyer levy
- Use VAT reductions to incentivise renewable energy
Other tax measures
- Tackle tax evasion and avoidance by increasing HMRC resources and strengthening global tax agreements
Approval code: NTEH70624107
By necessity, this briefing can only provide a short overview and it is essential to seek professional advice before applying the contents of this article. This briefing does not constitute advice nor a recommendation relating to the acquisition or disposal of investments. No responsibility can be taken for any loss arising from action taken or refrained from on the basis of this publication.
Tax legislation
Tax legislation is that prevailing at the time, is subject to change without notice and depends on individual circumstances. You should always seek appropriate tax advice before making decisions. HMRC Tax Year 2024/25.
