Britons making needless tax losses
(05 March 2007)

The majority of Britons contribute to £7.9 billion of wasted tax, it has been claimed.

According to website Unbiased.co.uk, 82 per cent of consumers are wasting tax through various means, including not taking steps to reduce the amount of tax they incur.

Personal tax has risen from £40.5 billion to £149 billion over the past 20 years, with 62 per cent of Britons voicing resentment for the charge.

Despite most people being unhappy with the level of taxation they incur, 74 per cent said they do nothing to try and reduce it.

The website suggests a number of ways in which people in different situations can cut their tax bills.

Britons are advised to use up their annual personal savings account allowance to save £382 million in tax and claim their tax credits, which would provide £2.3 billion in free money.

Those with assets over £285,000 should plan their inheritances as an extra £1.5 billion could go to heirs from avoiding inheritance tax liabilities.

"Because controlling tax is more firmly in our hands we are still throwing away £7.9 billion. This is enough in tax each year to make a millionaire a day for the next 21 years," said David Elms, the website's chief executive.

Earlier this month the website claimed that £170 million was being wasted by Britons who failed to use tax-efficient individual savings accounts.