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There's nothing wrong with a wealth tax if it includes wealth held as property. Especially on assets like private rental houses. My mother-in-law has a large semi-agricultural property in Italy, she pays a fortune in tax on it. The sky stays up.

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41 minutes ago, HovelinHove said:

targeting those sitting piles of cash to get people spending it

The article talks about targeting 'assets', which i interpret to mean property taxes and the like. 

I understand there are underhand ways to devalue the money you hold, but i can't see them explicitly taking/taxing/buying in actual piles of cash in bank accounts ala Cyprus. 

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1 minute ago, Giraffe said:

Have the labour party been on Mars for the past 12 years??? Need money? just print it - why upset the electorate? 

Turns out there might be limits to the QE printer after all? 

I was surprised that £5bn over a decade to "rebuild infrastructure" was all they could muster.  I was expecting at least £50bn.  Even Bloomberg commented on the underwhelming response to the fund.

As for wealth tax, any bets on land value tax soon?  

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1 hour ago, HovelinHove said:

This has been mentioned on here in passing, but now being talked about...by Labour. Doubt we will sEe anything this year, but maybe in the 2021 budget there might be something targeting those sitting piles of cash to get people spending it.

Labour would steal every penny you have

Confirms my suspicion that Starmer is Corbyn 2.0.

Kiss Labour a goodbye. They never change.

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14 minutes ago, Arpeggio said:

According to this it's quite small too.

https://www.skatteetaten.no/en/Rates/Wealth-tax/

1,500,000 NOK is £126,897 at moment.

Not quite... That limit is double for couples do £250k and you only take 25% of the value of your primary residence into the account for the calc. 

So for couples its 0.7% of property over £1m assuming you own it outright. 

Has an impact on some but for most people it doesn't hit. 

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4 hours ago, HovelinHove said:

This has been mentioned on here in passing, but now being talked about...by Labour. Doubt we will sEe anything this year, but maybe in the 2021 budget there might be something targeting those sitting piles of cash to get people spending it.

Labour would steal every penny you have

There is nothing in that Daily Hate article which you posted containing the phrase "Labour would steal every penny you have"

Also if it has not escaped your notice that we have a circus of conservative clown government in power so why would you expect you would see "but maybe in the 2021 budget there might be something targeting those sitting piles of cash to get people spending it."

 

Seriiously, have you been drinking? Are you of sound mind?

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13 hours ago, captainb said:

Not quite... That limit is double for couples do £250k and you only take 25% of the value of your primary residence into the account for the calc. 

So for couples its 0.7% of property over £1m assuming you own it outright. 

Has an impact on some but for most people it doesn't hit. 

Got it. So it's not a huge lump then.

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18 hours ago, boynamedsue said:

There's nothing wrong with a wealth tax if it includes wealth held as property. Especially on assets like private rental houses. My mother-in-law has a large semi-agricultural property in Italy, she pays a fortune in tax on it. The sky stays up.

The problem with our whole system is you can tax hard work to the high heavens but property in the context of a main home is exempt from tax irrespective of how much it rises in value. 

You could never work, inherit a £1m house from a parent IHT tax free and if it’s your main home and you have no savings you can get welfare benefits galore - and even when you retire and it’s worth £3m you could get pension credit, pay no council tax, get free dental care and glasses and pay nothing for a carer at home as the council would cover the cost - Mrs May tried to change that and got crucified for it politically.

Work hard all you life on an average wage, rent all your life and get a modest state pension and yet inherit £50k in cash from a relative and you are entitled to none of those freebies - despite only being worth £50k rather than £3m in asset terms.

Unless you are going to tax the gains on primary homes a wealth tax is going to generate little or nothing! And even Labour will baulk at that given many of its leading members live in homes worth millions in Camden and Islington they bought for perhaps ten per cent of what they are now worth 25 years ago.

Edited by MARTINX9
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2 hours ago, dougless said:

Sounds like a sound idea.  Taxing wealth, not income is a positive in my book.

if you've already been taxed in the process of acquiring that wealth then it doesn't feel too great.

This is coming one way or another, be it direct tax on savings, or inflation driven by money printing. They have no choice.

 

 

 

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19 hours ago, sammersmith said:

The article talks about targeting 'assets', which i interpret to mean property taxes and the like. 

I understand there are underhand ways to devalue the money you hold, but i can't see them explicitly taking/taxing/buying in actual piles of cash in bank accounts ala Cyprus. 

The problem is if you tax assets, you risk people liquidating those assets in order to pay the tax bill, causing a crash in the market for that asset.

Whereas tax on cash in the bank doesn't do that. In addition, the cash in a savings account is surplus, it is sitting there and is not benefiting the economy.

 

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4 minutes ago, Gigantic Purple Slug said:

The problem is if you tax assets, you risk people liquidating those assets in order to pay the tax bill, causing a crash in the market for that asset.

Whereas tax on cash in the bank doesn't do that. In addition, the cash in a savings account is surplus, it is sitting there and is not benefiting the economy.

 

Protect yourself

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20 minutes ago, Patfig said:

Protect yourself

TBH I'm not sure I can handle another 10 years on this website of people moaning that the government has "stolen" their money.

The middle class are going to pay for covid, because they are the only people that can. The poor can't, and the rich will evade.

So anyone with excess wealth is going to be lined up to pay for it. I don't see any alternative.

It really annoys me that people saving for a house, and that may have been saving and waiting diligently for a crash for years may be about to get slapped in the face again. But history tells me that is the way it is going to go.

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17 minutes ago, Gigantic Purple Slug said:

if you've already been taxed in the process of acquiring that wealth then it doesn't feel too great.

All other forms of wealths such as stocks, bonds or deposits are also acquired with proceeds that have already been taxed, however, income (interest/dividends) and capital gains on these wealth are subject to income tax. At the same time income (rent that owner saving by owning the property) or capital gains on primary residence are tax free. People who don't own the house end up paying much more taxes the homeowners. So introducing wealth tax targetting houses would improve fairness of taxation.

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  • 417 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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