The whole tax loop.
Yet more in the series on what I learned during the financial crisis...
Conclusion 5: Slavery is not dead. Far from it. It has been legalized!
Lets see how the process works. But first let us pray...
Our taskmasters who art hiding,
Hidden be their names,
Every kingdom run,
Their will be done,
On earth there is no safe haven,
Give us each day our daily bread,
In the form of legal tender,
That we may spend in the supermarket of our choosing,
And lead us into countless pointless wars,
To deliver us from evil,
For thine is the kingdom, the power and the glory, for ever and ever. Amen
Of whom do I speak. He who shall not be named is actually surprisingly not Lord Voldemort, but actually your national central bank. Let me explain the lovely loop of the tax system in a nutshell.
1. Your government who guarantee the cash in your central bank (but may have decided that they should divorce themselves from their central bank so that they have someone else to blame when things go wrong) determine the level of the national debt.
2. They then distribute the cash raised from this debt through their 'boutique outlets' (otherwise known as high street banks).
3. The boutiques lend you the money (which they themselves have borrowed) to you to buy a house for instance.
4. In order to borrow this newly created money they expect you to give up your hard earned cash to support your loan.
5. If your property goes down in value, naturally you lose your real cash first, in the nature of any decent master/slave relationship.
6. If your property goes up in value and you sell it, you get a reprieve, and they allow you to keep the upside for yourself (in the UK at least).
7. Not to worry though at some point your taskmaster will ask you for your hard earned cash back in the form of some form of taxation, be it VAT, or death duty, capital gains tax etc...
8. Inevitably a proportion of your tax goes back home to (ashes to ashes and dust to dust) to the government, who have successfully divorced themselves from the central bank, created cash, made you work for it even though it was artificial and then taken it back from you in taxes.
9. Hey ho, now there is money in the chancellors kitty for really important national spending, like buying arms to defend ourselves... oh and also for the health service and other really good stuff.
10. But we must keep tight fiscal control. (Wouldn't want those slaves getting out of hand now would we)
... continue to Conclusion 6
Conclusion 5: Slavery is not dead. Far from it. It has been legalized!
Lets see how the process works. But first let us pray...
Our taskmasters who art hiding,
Hidden be their names,
Every kingdom run,
Their will be done,
On earth there is no safe haven,
Give us each day our daily bread,
In the form of legal tender,
That we may spend in the supermarket of our choosing,
And lead us into countless pointless wars,
To deliver us from evil,
For thine is the kingdom, the power and the glory, for ever and ever. Amen
Of whom do I speak. He who shall not be named is actually surprisingly not Lord Voldemort, but actually your national central bank. Let me explain the lovely loop of the tax system in a nutshell.
1. Your government who guarantee the cash in your central bank (but may have decided that they should divorce themselves from their central bank so that they have someone else to blame when things go wrong) determine the level of the national debt.
2. They then distribute the cash raised from this debt through their 'boutique outlets' (otherwise known as high street banks).
3. The boutiques lend you the money (which they themselves have borrowed) to you to buy a house for instance.
4. In order to borrow this newly created money they expect you to give up your hard earned cash to support your loan.
5. If your property goes down in value, naturally you lose your real cash first, in the nature of any decent master/slave relationship.
6. If your property goes up in value and you sell it, you get a reprieve, and they allow you to keep the upside for yourself (in the UK at least).
7. Not to worry though at some point your taskmaster will ask you for your hard earned cash back in the form of some form of taxation, be it VAT, or death duty, capital gains tax etc...
8. Inevitably a proportion of your tax goes back home to (ashes to ashes and dust to dust) to the government, who have successfully divorced themselves from the central bank, created cash, made you work for it even though it was artificial and then taken it back from you in taxes.
9. Hey ho, now there is money in the chancellors kitty for really important national spending, like buying arms to defend ourselves... oh and also for the health service and other really good stuff.
10. But we must keep tight fiscal control. (Wouldn't want those slaves getting out of hand now would we)
... continue to Conclusion 6
