Quote Originally Posted by BCram View Post
I am not sure that putting up taxes will be a straightforward exercise. My understanding is that the taxes raised in Scotland are less than the amount of the block grant that is used just now. I don't want to disappear down the Barnett Formula rabbit hole but I have not found a credible explanation as to why this is not a problem for an independent Scotland.
Taxes estimated for Scotland excluding companies headquartered in England but making profits in Scotland are at 65bn last GERS with the block grant at 35bn. Further spending in Scotland takes that up to around 65bn, so the deficit is UK spending allocated to Scotland. Post-independence, companies may be expected to headquarter in Scotland or at least pay tax on profits from sales in Scotland. Too bad jdfc has discounted the whole oil industry or we'd be rolling in it