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Double Cgt On Second Homes & Btls

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Maybe the editor can stop his/her loony calls to help the rich now.

The BPIX survey for The Mail on Sunday – which comes less than a fortnight before Mr Osborne’s vital first Budget – found majority support for ten cutbacks totalling £36.9 billion. In contrast, just four increases, adding up to £10.5billion, were backed by more than half of those questioned.

76% were in favour of doubling CGT on second homes, shares and BTLs

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Maybe the editor can stop his/her loony calls to help the rich now.

The BPIX survey for The Mail on Sunday – which comes less than a fortnight before Mr Osborne’s vital first Budget – found majority support for ten cutbacks totalling £36.9 billion. In contrast, just four increases, adding up to £10.5billion, were backed by more than half of those questioned.

76% were in favour of doubling CGT on second homes, shares and BTLs

really? Have u got a link?

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Maybe the editor can stop his/her loony calls to help the rich now.

The BPIX survey for The Mail on Sunday – which comes less than a fortnight before Mr Osborne’s vital first Budget – found majority support for ten cutbacks totalling £36.9 billion. In contrast, just four increases, adding up to £10.5billion, were backed by more than half of those questioned.

76% were in favour of doubling CGT on second homes, shares and BTLs

These figures are pretty meaningless, as only about 3% of the propulation pays capital gains tax, you could equate the question to - Would you like someone else's tax bill to go up instead of your own. The real question is would it raise any money - answer we don't know for sure but probably not.

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These figures are pretty meaningless, as only about 3% of the propulation pays capital gains tax, you could equate the question to - Would you like someone else's tax bill to go up instead of your own. The real question is would it raise any money - answer we don't know for sure but probably not.

When proffering an opinion which goes against the trend, it's kind of traditional to offer some evidence e.g. a reasoned argument, or linkies.

Otherwise you risk being accused of trolling (sh*t-stirring in plain English) :)

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Maybe the editor can stop his/her loony calls to help the rich now.

The BPIX survey for The Mail on Sunday – which comes less than a fortnight before Mr Osborne’s vital first Budget – found majority support for ten cutbacks totalling £36.9 billion. In contrast, just four increases, adding up to £10.5billion, were backed by more than half of those questioned.

76% were in favour of doubling CGT on second homes, shares and BTLs

Interesting article. Thanks for posting it.

It was very surprising that a direct democracy could cut almost £50bn from the deficit.

On the other hand, it was depressing that "the poll shows if an Election was held tomorrow" Labour would still get 32 per cent. :huh::unsure::(

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When proffering an opinion which goes against the trend, it's kind of traditional to offer some evidence e.g. a reasoned argument, or linkies.

Otherwise you risk being accused of trolling (sh*t-stirring in plain English) :)

Actually, if it exacerbated deflation it could lead to a reduced tax take.

Having said that, it isn't just about tax take, but reducing the opportunity for speculation...which is a good thing.

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These figures... you could equate the question to - Would you like someone else's tax bill to go up instead of your own...

yup, good point.

...The real question is would it raise any money...

i mostly agree, although like most on here i think it might have desirable effects in terms of dampening BTL demand, improving FTB affordability

...would it raise any money... probably not.

eh? what's your basis for this little nugget? isn't that 'laffer curve' line of argument normally left in more or less the footnotes of VI bleatings against a tax increase [or for a tax cut], once you've trotted out all the arguments about fairness and incentives and so on & so on, to [almost as an afterthought] to argue that the change in quantity will outweigh the change in price... [yes BTW i did notice that a 'study' commissioned by an interest group had reached this conclusion and no it didn't look to me like any more than the most cursory effort imaginable].

Edited by the flying pig

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The real question is would it raise any money - answer we don't know for sure but probably not.

Actually, this is not the real question. It probably won't make much of a dent in the deficit. The same goes for cutting the expenses claims of a few hundred MPs....the proceeds may be chickenfeed, but the value in stemming public anger when ordinary people are about to see their wages and standards of livings cut far exceeds the actual figures involved. It's not about the arithmetic, its about public perception. Increasing taxes for those on PAYE and pensions while providing loopholes that allow the rich to get tax free gains from property will destroy the credibility of the whole deficit reduction effort. That's what the Mail on Sunday poll demonstrates and that's why CGT is an important battleground. I think if the govt. backs off on this the coalition will collapse.

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These figures are pretty meaningless, as only about 3% of the propulation pays capital gains tax, you could equate the question to - Would you like someone else's tax bill to go up instead of your own.  The real question is would it raise any money - answer we don't know for sure but probably not.

More to the point, it would tend to redirect money toward more productive enterprises.

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The newspaper formerly known as The Thunderer says:

"How much will this raise?

It depends, to an extent, on the health of the financial and housing markets. The greater the gains made by the FTSE, or the price of residential property, the greater the revenue from capital gains. According to a recent Treasury Ready Reckoner, a 1 per cent increase in the tax would yield about £110 million a year. So if the rate goes from 18 per cent to 40 per cent, that would net the Treasury an extra £2.4 billion a year. More could be raised if the capital gains allowance of £10,100 were lowered or scrapped. However, some economists believe that such a move could be counter-productive. Raising the rate of tax could reduce the amount of revenue that is received."

"some economists" presumably believe that the amount would be reduced because fewer people would sell their assets. However...

To raise the same amount annually in CGT (equal to the £7.85 billion raised in 2008/9) at 40% instead of 18%, you could still afford to have a lot of people not selling their assets. *

To raise less in CGT, you'd have to have an awful lot of people not selling their assets. *

* Could someone please quantify these? I am far too thick to do it.

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Actually, this is not the real question. It probably won't make much of a dent in the deficit. The same goes for cutting the expenses claims of a few hundred MPs....the proceeds may be chickenfeed, but the value in stemming public anger when ordinary people are about to see their wages and standards of livings cut far exceeds the actual figures involved. It's not about the arithmetic, its about public perception. Increasing taxes for those on PAYE and pensions while providing loopholes that allow the rich to get tax free gains from property will destroy the credibility of the whole deficit reduction effort. That's what the Mail on Sunday poll demonstrates and that's why CGT is an important battleground. I think if the govt. backs off on this the coalition will collapse.

Good post.

It is an interesting one because it would probably not raise much extra tax revenue at all. So why do it?

Well, it would send a message that this government is shifting away from rewarding speculation and making the distinction between speculation and real entrepreneurship and wealth creation.

It is important that we change the spiv culture that has emerged in this country over the past 10 years. If we are to recover from this debt crisis then that will only be achieved through real productivity and hard work. NOT through more speculation - that's what got us into this situation in the first place.

If the government back down on this, it will show them up to be weak. It will mark Osbourne as a man who can't deliver, and it will send the message that it is business as usual.

It would be very bad for this country.

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These figures are pretty meaningless, as only about 3% of the propulation pays capital gains tax, you could equate the question to - Would you like someone else's tax bill to go up instead of your own. The real question is would it raise any money - answer we don't know for sure but probably not.

No part of the population pays Corp tax.

maybe they should double that instead.

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.

76% were in favour of doubling CGT on second homes, shares and BTLs[/b]

:o

80% rather than 40%?

Let those piggies squeal.

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When proffering an opinion which goes against the trend, it's kind of traditional to offer some evidence e.g. a reasoned argument, or linkies.

Otherwise you risk being accused of trolling (sh*t-stirring in plain English) :)

If cgt were 40% instead of 18% it might cause many more people to lie on their self assessment tax forms. Almost certainly would infact.

CGT is kind of voluntary afterall.

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CGT seemed to work ok between 1988-2008 when it was tied to earnings and taper relief was given.

I can only imagine it was changed as mandelsohn twisted Browns arm or something to end taper relief and enable his buddies to speculate short term for maximum gain.

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to be fair the replies do seem to be pretty much bog-standard mail stuff, driven by jealousy & petty-mindedness... 'anyone richer than me should be taxed to the hilt, and the value of the benefits/other kickbacks that i get should be at least as great as those of all of the people who are poorer than me'

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to be fair the replies do seem to be pretty much bog-standard mail stuff

It looks like the moderating team have taken the rest of the day off.

I posted a comment as soon as I saw the OP here and no new comments have appeared in the hours since.

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No part of the population pays Corp tax.

maybe they should double that instead.

There should be one tax regime (and the same set of rates) for all income and capital gains. Whether those gains are realised directly by an individual or through an interposed company, they should be treated the same. Tax discrimination needs to end. So yes, corp tax needs to go up so that income tax can come down.

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To raise the same amount annually in CGT (equal to the £7.85 billion raised in 2008/9) at 40% instead of 18%, you could still afford to have a lot of people not selling their assets. *

To raise less in CGT, you'd have to have an awful lot of people not selling their assets. *

* Could someone please quantify these? I am far too thick to do it.

LOL... you'd need a drop of MORE than 50% in asset sales by value.

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If cgt were 40% instead of 18% it might cause many more people to lie on their self assessment tax forms. Almost certainly would infact.

CGT is kind of voluntary afterall.

That problem is in fact amazingly simply to solve.

If you are caught lieing on the self assessment tax form, CGT rises from 40% to 100%.

Giving that bank records are all electronic, how lucky do you feel, punk?

See, problem solved.

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The tax system is so muddled that it's almost impossible to make worse, without resorting to full on communism.

Why, for example, do capital gains get a £10k allowance when income is only allowed ~£6k, is share speculation more vital to the economy than earning a wage?

The whole thing is a mess; I'd prefer a simple land tax over taxes on production because they're v.damaging. But at the very least they could try and equalise the tax take from various sources, as well as lower absolute levels of taxation, it would be a start.

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That problem is in fact amazingly simply to solve.

If you are caught lieing on the self assessment tax form, CGT rises from 40% to 100%.

Giving that bank records are all electronic, how lucky do you feel, punk?

See, problem solved.

This would be tax evasion - a criminal offence - and already carries penalties appropriate to a criminal offence.

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  • 259 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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