The Taxpayers’ Alliance says that before tax and benefits the income ratio between the top and bottom 10% of household by income was 27.4 times. After redistribution through taxes and benefits the ratio dropped to 6.1 times. The top 10% of households paid 34% of their gross income in taxes. In comparison the bottom 10% paid 45%, mainly due to VAT and council tax, but also alcohol, tobacco and fuel duties.
Tax Barrister, Accountant