A vehicle excise duty exemption was meant for Britain’s 10,000 classic vehicle enthusiasts, but is enjoyed by 400,000 owners of cars over 40 years years old at a total cost of £100 million Max Mumby/GettyThe government has been told to overhaul its “byzantine” tax relief system after the bill hit a record £165 billion last year, more than the UK’s entire health budget. The biggest reliefs were VAT exemptions on the likes of food and energy, which totalled £53 billion; £43.7 billion of pension reliefs; and capital gains tax exemptions on the sale of main properties worth £27 billion. In total, the reliefs amounted to £6,000 per household or 20 per cent the UK’s entire tax take, and were greater than the £146 billion spent on health. Although the majority of tax breaks are justified, experts said that too many were ineffective or little more than bungs for the rich. Some £2.4 billion was saved last year in entrepreneurs’…

Source: The Times January 31, 2019 17:03 UTC