Quote Originally Posted by The AuldYin View Post
As I said the normal rate of IT which is set by Westminster and collected by HMRC is returned via the Barnett formula, the higher rate of tax the Scots tax is collected and returned by HMRC separately. Scotland doesn't have the power to collect taxes.
I am not making myself clear. The block grant is not equal to the total of taxes raised in Scotland. I accept that. I think if that is the case what happens to the difference? Maybe the difference is returned to us as individuals through pensions and the benefit system ie Working Tax Credit, Universal Credit and Child allowances?