Rant Cheeky Cnuts!

[Scouse]

As usual, it's ignore what they say and watch what they do.


Cuts to non-business capital gains tax...

NOT what they said before the election, of course.


Businesses will still make huge profits and the rich will continue to take dividends and bypass tax, as they always have done.

This lends even more weight to the "conspiracy theory" that future society is going to be modelled around a ruling elite and a single, "slave" class....



Edit: Of course, people can always whack a couple of houses into a Ltd, sell 'em and then take it out as divvy. But it does kind of put paid to the idea that I could invest in housing for my retirement.

 

[Raven]

Exactly right, there are ways around the sheep tax.

 

[MYstIC G]

You can, you just can't pass it on to your family. This is the thing that bothers me. If I work my balls off, why shouldn't any kids I have in the future benefit from my efforts?

Redistribution of wealth just encourages people to be lazy and the super rich stay as the super rich.

 

[Scouse]

It means your kids are going to have to work their balls off. Which, in principle, I've not got anything against.

However, the super-rich kids will still be super-rich. If we can't put everyone in the same boat we shouldn't be making a boat at all....

 

[MYstIC G]

This is true I just object to them having to go back to ground zero. I think my hard work should be capable of giving any future descendent options.

 

[rynnor]

Its pretty wrong - richer folk will just put their property into a corporate holding and pay themselves an income in dividends.

One problem with this tax is that you effectively get taxed on un-real gains - i.e. the value of property goes up partly due to inflation - this isnt a real gain since if you sold it you couldnt actually buy anything more than you started at but its viewed as 'profit' and thus taxable

I cant believe a Conservative govt is looking at bringing this in - its insane...

 

[dysfunction]

If you inherit an asset it does not fall under Capital Gains Tax unless you sell it.
But yes it's a bit crap them pushing it up to 40%.

It's typical government though really. Attack the middle incomes and the rich keep getting richer and the poor remain poor

I cant believe a Conservative govt is looking at bringing this in - its insane...

I can believe it...
They wanted to raise Inheritance tax threshold to well over £1mill and thus protecting their own rich arses from paying too much tax.

 

[MYstIC G]

Which is fine until you have no option but to sell it.

 

[DaGaffer]

Does this apply if the second property is outside the UK?

 

[Scouse]

Does this apply if the second property is outside the UK?

Dunno. I'm sure there are ways of flogging abroad without HMRC getting a whiff...

 

[rynnor]

Does this apply if the second property is outside the UK?

I dont think so but local taxes may well apply - the Spanish have nasty CGT type taxes.

If the tax system gets really silly I think I'm gonna drop out of it and go back to dividends again - punitive taxation just leads people to change their behaviour so they are no longer taxed - it wont increase revenue.

It could also produce a property crash which tbh I would probably gain from overall but hey.

 

[dysfunction]

Does this apply if the second property is outside the UK?

All depends where the property is.

There are double tax agreements with many countries around the world. ie you don't get taxed twice for the same income and you would get taxed in either one country or another depending on their rules...

 

[DaGaffer]

All depends where the property is.

There are double tax agreements with many countries around the world. ie you don't get taxed twice for the same income and you would get taxed in either one country or another depending on their rules...

That's what I'm concerned about; I know there's a deal with Ireland (because Ireland has stamp duty exemption for first time buyers, but excludes if you've bought previously anywhere in the EU). It would be a real pisser if I bought over here and then got stung with 40% tax if I sold my place back in London later.

 

[Scouse]

Fire Sale /ON :|

 

[dysfunction]

That's what I'm concerned about; I know there's a deal with Ireland (because Ireland has stamp duty exemption for first time buyers, but excludes if you've bought previously anywhere in the EU). It would be a real pisser if I bought over here and then got stung with 40% tax if I sold my place back in London later.

It is quite complicated.
It's probably best if you ask the HMRC and the Irish equivalent of your situation...

Avoiding Taxes or Income, Wealth and Capital Gains

 

[DaGaffer]

It is quite complicated.
It's probably best if you ask the HMRC and the Irish equivalent of your situation...

Avoiding Taxes or Income, Wealth and Capital Gains

Ooh, I don't think I want to do that quite yet...