[1] A bill proposing a progressive system of taxation based on a household's income was presented in 2005, but was defeated with 12 MSPs in favour, 94 against, and 6 abstaining.
The SNP version involves the centralised distribution of funds raised from the new tax throughout the Scottish local authorities whereas the Liberal Democrats' proposal devolves the distribution to individual authorities.
The SSP said under its proposals, unlike other local income tax schemes, the set-up costs and problems of fiscal flight would be insignificant, as the tax rates are not set locally.
[6] After the 2007 election, the SNP-run Scottish Government planned to bring forward legislation to replace Council Tax with a local income tax as part of the funding for Scottish local authorities.
[8][9] Controversially, the UK government said it would, however, release the funds for a tax scheme designed by Scottish Labour.