So does income tax modify behaviour ? I know it has changed mine.
I no longer bother with employees - it's just too much hassle for the extra money I can make.
I don't really do that many hours any more, as the extra income vanishes in tax, and just comes back to bite as ACC and provisional tax liability the next year.
Does this only effect the self employed - does PAYE mean employees don't really "click" as to how much tax they pay. Do the self employed notice it more because they pay the IRD from their cheque book.?
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