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I'll be honest here. IHT is something I'm affected by, (currently going through probate for my mother). Yes my parents paid tax, but they bought their property for £6k, its now £600k. That's just luck. I'd rather a chunk of tax was taken from my inheritance, so that if I ever need the services of the NHS ( we all will at some point), it's there for me. It certainly was for my parents in their final years, they got their money's worth there. Also I'd like UK plc to remain solvent as that's in my interest too. |
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At some point, this country will need to fund a lot more social care. That's going to have to come from some taxes anyway. *Expanding* IHT is one of doing it. It'll be that, a new tax, a new fund people pay into like a pension or something like May suggested of housing being used more to pay back the cost after you die. Sunak thinks he is losing the next elections so he doesn't really have to worry about this kind of thing and will leave it to whoever is next. |
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They've had 13 years to do any of these things, including reforming IHT, why now? Panic stations at 'oh dear we're screwed central' . |
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But my larger point is that Sunak will spend the next year promising tax breaks that you'll never see or will be reversed after the next election. Either he wins in which case it's done it's job or Labour wins and has to implement unpopular tax rises in their first year. This country has a large amount of debt, an NHS with huge waiting lists, infrastructure projects that need funding and are on hold, and the whole mess that is social care and pensions which cost more and more each year with the triple lock. The scope for serious tax cuts is limited. IHT might get away with it because it impacts so few people and fires up their base whereas raising the 20% and 40% tax thresholds with inflation would actually be fairer and impact more people but actually would cost money. So they keep that effective stealth tax rise whilst making a big show of cutting tax for the richest estates. Sunak/Starmer are lying if they say otherwise. |
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You’ve skewed the argument away from the rights and wrongs of IHT. But you’re not totally wrong with your skew. It’s a feeble election ploy and much too late. |
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For a kick off, inheritance tax is in effect levied on those receiving the inheritance, not the one leaving it, because the one leaving it is dead. It can’t affect them in any way. It is a tax on the transfer of wealth that is by its very definition unearned. Absolutely nothing to do with how hard the recipient works themselves. And that is in fact the problem. There are people who are wealthy purely because their parents, grandparents and great grandparents have managed to leave a cascade of wealth flowing down the generations and who therefore have a large number of built-in advantages over those who did not inherit wealth. No society that believes itself to be democratic and meritocratic should leave that totally unchecked. Because yes, when after several generations the inequalities become egregious, that’s when revolutions occur. |
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I suspect they know the election is lost and are feathering their own beds; even they can't be that thick to think this will win an election. Its the no 1 issue for almost nobody. |
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Its a non issue for me, I would not come anywhere near the threashold.
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Anyway Fortunately, for us all and you, we’re all heading for a dementia epidemic and the local authority will take all your assets to pay for your care and your poisoned entitled offspring will get nothing. So inheritance won’t be an issue anyway. So I don’t see what the issue is. By shares in care homes. |
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The social care problem will be unavoidable eventually, a government is going to have to bite the bullet at some point and address it. |
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https://www.standard.co.uk/homesandp...-b1059196.html I’m always confused why people (not saying you do) who have assets/parents have assets, expect others (the taxpayer/council tax payer) to pay for their later life care - most of my wife’s mum’s money from selling her bungalow went to pay for her couple of years in a Dementia Care Home, and we expect the same for outr house assets. Obviously, if one of a couple is in a care home, and the other isn’t, it gets a bit more complex. |
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It’s amazing the amount of small state/free market capitalists become lefties on their death beds.
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You could divide the nation into two groups: 1/ People who work diligently and build up their assets, including inherited assets/wealth. 2/ People who work diligently with little or no ability to build assets. What I’m seeing here (Forum) are lefties of various flavours who regard unearned wealth as partial property the state can 40% take and give to group 2. But say the wealth left behind in a will is all earned on which tax has already been paid? Unfair to tax it again just because it becomes unearned wealth for the next generation. Lefties basically apply the politics of envy. Until they ‘get the foreman’s job at last’. |
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There are multiple examples of "tax twice" - for instance, you pay tax on your earnings, but then pay tax again when you buy things (except food and childrens' clothes).
I have "worked diligently", and would be affected by IHT - however, I have no problems paying it, because I am part of society, and I see part of my role in life to support society. We help our kids & grandkids (because luckily we can) whilst we are alive, but if there is anything left after care home fees for me and SWMBO, I have no issues on it being taxed once it's over the threshold. |
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Conclusion seems to be that unless you've millions, a lot of wealth will end up funding care so not a massive issue for many people. |
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Footnote, claiming that the collection of tax betrays a ‘wealth belongs to the state’ mindset is the worst sort of self serving, libertarian guff. We live in a democracy and we agree, via the ballot box, that the operation of the complex modern society we live in should be paid for by all of us, with due regard to means. |
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What if you’re dragged into the IHT zone by this shitty government and you have/will have no care costs to consume that wealth? Why is it fair to tax my children on their inheritance? Care could be funded from better spending choices by the shitty government. |
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Personally, I feel it's unfair. One of the principles of the NHS is that we pool the risk for each other somewhat. Some people will need more care and others less. It was still a way to pay for it though. Quote:
An inheritance tax is one of the fairest ways to do this right now. Anything else and you're asking those in work to underwrite the social care costs of a generation who already has benefitted from rising house prices and triple-locked pensions. Personally i think you would need both: a social care tax and some of the money taken back upon your death via inheritance tax. |
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NB Appealing to non-specific ‘Better choices’ is the last refuge of the NIMBY. ‘I don’t know how, just not that way’ is intellectually lazy. This is a discussion forum - propose some alternatives, and explain why they are more fair than inheritance tax. |
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£70 billion pissed away on HS2; Most of £40 billion pissed away on the over-long Covid lockdown; £40 billion that Truss caused to be pissed away. Overseas aid to India & China.
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3/ People who do not work diligently, rather, rely on existing wealth (property, shares, dividends, etc.) and build up their assets principally via tax loopholes and generous (to the wealthy) schemes where little or no tax is paid to the state. Loving the "politics of envy" trope :D It betrays poor imagination to constantly trot this out each time taxation is discussed. It normally is presented by those who: a) have significantly more than the average amount of personal wealth b) resent having to pay any tax, over and above what they regard as a fair amount i.e. a small amount c) still expect the country to have high quality infrastructure & services, at least where they live |
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I omitted the third group because it's such a small fraction of the population and it makes the point that people dragged into the tax by government tricks are unfairly treated. They are ordinary people who are not responsible for the artificial inflation of house prices. |
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The more appropriate approach is to apply a more representative and fairer tax rate to all UK citizens, not just the ones who can't escape from HMRC. |
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(may be what he meant, but not what he said) |
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Why? Because this would only be imposed on income and not wealth. The classic ultra wealthy deflection: talk about taxing income but never about taxing wealth |
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I draw the distinction between people dragged into "wealth" by fiscal drag and the mega-wealthy. Btw, I don't think we should overtax the mega-wealthy lest we drive them away, taking their investment with them. It's a complicated matter, but at the heart of it is the lack of economic growth in the UK and thus a (shitty) government scrabbling for treasury income. I'm certain about the politics of envy - the have-nots versus the have-so-much. But the people at the bottom of the "wealth" tree are not the have-so-much people. IHT is an unfair blunt instrument. We both crave good government but, alas, the present bunch of lying toad politicians are not going to deliver economic growth. |
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The term "politics of envy" is no less fuzzy than the term "wealth". Yet we all use those terms. |
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The term "wealth" is a objective fact whereas "politics of envy" is a lazy trope used to deflect from grown up discussions on fairer levels of societal contribution |
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"Politics of envy" is very clear - you have one I don't; I want one and which political party is going to give me one? |
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Surely you know that "I want one" includes for the have-nots "if I can't have one, then at least tax the bustards". It's akin to VAT on private schools; watch that backfire. |
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There is the 7 year rule. You can dispose everything, except the house you live in.
If you pass that on, then you need to pay rent to your off springs/beneficiaries. |
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Built-in tax dodges for those with the least reason to be dodging tax in the first place have got to stop. |
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Why are the detractors of my view not making the distinction between rich and ordinary? |
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Those ordinary folk in line to inherit the best part of a million pounds. Wait there while I get the world’s smallest violin.
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If you're worried about IHT, just give the money away, as long as you survive 7 years , job done. It isn't a hard tax to get round so I don't know why the toffs are moaning.
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In the "free market" paradise many of these people adhere to, there is no subsidy if you choose to not use the default, free option. In fact, the funny thing about this is that these are the very same people have meekly accepted the large increases of private school fees in the past: https://www.independent.co.uk/news/u...-a7023056.html Quote:
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https://www.cableforum.uk/board/atta...6&d=1695891451 https://www.ons.gov.uk/peoplepopulat...g2022#glossary * Disposable income is the amount of money that households have available for spending and saving after direct taxes, such as Income Tax, National Insurance and Council Tax, have been accounted for. It includes earnings from employment, private pensions and investments as well as cash benefits provided by the state. |
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I've got a bridge to sell you. |
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b) the context of "richest" is the fifth quintile, which stretchs from £66k disposable income to whatever Gopi Hinduja has... For instance, I’m one of the tallest in our family, but I’m not tall (imho); I’m 5’11", and my son is 6’4" - he’s tall. Context is all… |
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The bottom line is that our tax regime has been designed specifically for the benefit of those who have the means to contribute at the levels needed yet are of the strong opinion that they should not do. It is a conversation that needs to be had yet so many are scared to have it. |
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Ian really does espouse the politics of envy, which are falsely grounded. What free ride have people enjoyed from sending their kids to private school? They’ve shelled out for that education and relieved the state of the burden for educating them. A fair qui pro quo to any reasonable person. The state gets the free ride. |
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The logic of your position is that all of us only pay for what we use, or perhaps if we at least accept the necessity of taxes we should go looking for discounts where we can show there are services we don’t use. My neighbours where I grew up never had children at all and thus gave the state a free ride. Should they have had VAT back on something else by way of compensation? VAT exemption (which is what Labour is now proposing to remove, it seemingly being legally more straightforward than removal of charitable status) is typically granted on products and services that are essentials and most definitely not luxuries. As a universal eduction is available in this country a private education is a luxury service and there is no justification not to tax it. |
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If I had that time again, I am unsure if I would do the same again but that is more about how that sector is now more about selling the golden path through our society to those who will pay the most. Their investment and obligation to society as a whole is much diminished today. |
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what's the different between joint tenants and common tenants in a property. The financial implications of it.
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https://www.gov.uk/joint-property-ownership Explains it very well, imo. |
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Certainly an interesting time for Sunak. Underpinning it all is that taxes are at all an all-time record of 37% of income and are likely to stay high. Hunt has been making job cut pledges hemust know are unrealistic in order to get an easy ride at Conference. The UK civil service had to expand significantly as a result of Brexit, one reason why many civil servants told me they were voting for it!
It will be interesting to see how Starmer reacts to policy u-turns like HS2. Will he create some space between the two parties by reversing the decision or will he follow Sunak's lead. It will be trickier for him with key lord mayors like Andy Burnham, tipped as a future Labour leader, looking over his shoulder. |
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h/t @M_H_Taylor
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Akshata Murthy for deputy PM? She makes more than Rishi --daddy's money.
I said it before Carrie Numnuts was a good deputy PM and Dylan should have replaced Larry the cat long time ago. This is the level of the British government at the moment. |
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Tbh I'm not against the smoking plan but it does seem very difficult to enforce, unless we're all going to have id cards. Retailers will love it...
They all smoke something different these days anyway. |
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The funny part about the Smoking plan is that it will not win them any votes and may lose them some. The young, the people he is impacting, will not be voting Tory. A recent YouGov poll put 1% of 18-24 year olds intending to vote Tory at next GE. The older generations who are more likely to smoke anyway would be neutral at best.
The funny part is that the Tories have always claimed to be the party of the "small state" and against the "Nanny State", etc. and here we are :D |
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How will you tell a 21 year old from 22, or 34 from 35. What stops the 22 year old buying for his 21 year old mate ? It may sound a good plan, but doesnt seem very practical to implement. Have they not learned from banning other drugs, it just leads to a thriving black market. |
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There’s an existing ‘Challenge 25’ campaign for alcohol sales so for the time being anyone who looks like they’re under 25 should be used to being asked for proof of ID when buying products restricted to 18+ only (booze, fags, fireworks).
Once we get beyond that - which will be in the middle of the next decade if they implement this next year with the expectation that it comes into force in 2027 - then the logical progression would be to legally require a photo ID check for every purchase. |
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No challange system can stop the older friend, or the black market that will inevitably spring up.
Not everyone has photo ids, they are not compulsory (yet) and these days less young people can afford to learn to drive, or have need of a passport. Challange 25 is a load of nonsense anyway, why is someone who turned 18 over 6 years previously still having to prove they are over 18, if they look 18+ that should be good enough, not 30%+ of their lifetime later. It particularly pissed me off in the summer 3 years ago (while out for a meal & drink) when my oldest daughter got asked - she was actually 28 by then ... seriously, twenty frigging eight, she quite clearly did not look under 18. She did not have any ID on her. After we finished I made it [very] clear to the manager that it was not acceptable, and we would never go back (and we never have). |
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In the future you’ll have someone who’s 60, being ID checked, when they’re secretly buying cigarettes for someone who’s 59.
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They don't need to do it secretly. 59 year olds will still be allowed to smoke. They just need a responsible adult to do the buying.
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Yeah, you're going to have to simply have mandatory ID checks every time you buy them. It seems a bit messy to me but I am guessing the expectation is that the business dies out entirely long before you get to the situation when a 66-year-old is asking their 67-year-old brother to buy them a pack.
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They're mandated to do this by law with serious consequences if they get caught not doing it as it's usually a condition of their licence to apply it. They're not trying to be difficult but would rather lose your business than their license. If it's overzealous then that's on the Government rather than the business. |
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Are we living in the same country?
Golden Virginia green 50g: Tesco/Waitrose/Sainsbury's etc £33.65 Free delivery, ID checked. Bournemouth/Poole/Brighton/Southampton £16.00 (Luxemburg tax paid, with Lux sticky tape) no ID check, several places in each town Surrey/Hampshire £11.00 (Italian/Greek tax paid, with tax tape on it) online Online delivery £1-£2 for 10 packets of the above. No ID checked, royal mail or Evri delivery. Don't ask for links. |
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Those being charged £16 or £11 are being ripped off. Neither are genuine products. |
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Respect. But these are the prices in the south.
Why not genuine? See tax tape |
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BTW your pic shows it's non genuine as all EU packs are black. |
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This government is shit. The next government will be shittier. |
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Britain is shit. |
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Nige? Who has never delivered anything, except division, lies, and a resultant poorer nation. Do tell. |
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You can do better than that, John. Britain will carry on in spite of the shit. |
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Lets get back to the subject instead of this nonsense.
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Business needs political leadership (either colour) to deliver on investment, on infrastructure, on developing skills within the workforce that the private sector simply won't do. Business can only lead a race to the bottom left to its own devices. The outsourcing of public services demonstrates that. The next Government needs to ignore the balancing the books language of austerity and drive medium and longer term growth with spending decisions now. |
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Taking the boat to Sweden. Greta would approve.
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Could result in another by-election. Let's see.
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The woodworm crawls out 10 years later, but what's this got to do with Rishi? |
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