[Politics] Tory meltdown finally arrived [was: incoming]...

[Thunder Bolt]

This to me, is where the concept of “inheritance tax” falls down;

There is no taking into account of how the estate was earned, how far over the threshold the individual is, and no accounting for how much the tax would deplete the estate.

I’m usually in favour of strict boundaries and the idea that a line has to be drawn somewhere. But with inheritance tax, if I’m not mistaken, you go over the threshold and you’re paying the tax?

Yes, the threshold should be raised to £1M in my opinion. It will still affect the super rich.

 

[abc]

Its interesting that despite the headline that this gov is raising the highest % of tax in history, all the proposed 'solutions' involve raising more tax rather than reducing spending. I quite like the idea of raising the minimum wage to a much higher level to a true living wage and then enforcing it much, much more than it is currently. This would then mean we could do away with a raft of benefits that are paid out essentially to enable (some) employers to pay low wages. It would encourage more people into work and enable families to afford childcare, thus doing away with more (currently necessary) taxpayer support. However, the problem with this is that we will become even less competitive with imports from lower wage countries, which means the loss of jobs or the imposition of import tariffs.

I would also question those who are exempt from paying tax at all - for example, the Church of England who have assets of c.£8 billion, own a vast portfolio of land and commercial properties and are making hundreds of millions from the sale of land for housing and yet pay absolutely no tax.

 

[rogersix]

Yes, but this is my point. Blanket redistribution of wealth through cash or property “above X figure” is a wholly imperfect solution which punishes those who work hard to achieve as you both have done. It does nothing to offset gains from the embarrassing avarice of rhe über rich, because they simply are protected by the laws and those who make them.

All that would happen if, as ludicrously suggested, inheritance tax was raised to extremely high levels, is the middle will be squeezed even harder with the 1% being completely untouched anyway.

People have been coming up with wealth redistibution policies which are completely unrealistic.

help me out with a realistic redistribition policy

 

[Silverhatch]

Yes, the threshold should be raised to £1M in my opinion. It will still affect the super rich.

The (super) rich pay f*** all tax. There are plenty of billionaires who make this very point! Taxation is not the problem, it’s legal avoidance and illegal evasion (corporate/personal) and the constant redistribution of wealth and the protection of inherited wealth that needs addressing.

 

[rippleman]

Yes, the threshold should be raised to £1M in my opinion. It will still affect the super rich.

In many cases, the threshold is already £1M!!

What the Daily Mail won't tell you is that for a married couple / civil partners the IHT threshold can be a £1M. Here's how it works.

On first death the Estate is left to the surviving spouse. There is NO IHT payable at all on the Estate. The £325K threshold amount is enhanced by a main residence exemption of £175K and because no IHT is payable, those exemptions pass to the surviving spouse.

On the second death there is £650K IHT nil rate band and, potentially, a further £350K residence exemption provided that the property is left to children (includes step, fostered and adopted) or grandchildren. There is your £1M threshold.

Then hammer investment properties, investment portfolios etc at 80%. What's not to like?

 

[Stato]

The (super) rich pay f*** all tax. There are plenty of billionaires who make this very point! Taxation is not the problem, it’s legal avoidance and illegal evasion (corporate/personal) and the constant redistribution of wealth and the protection of inherited wealth that needs addressing.

Capital is international. At the risk of getting an ice pick to make my ears burn, socialism, even democratic socialism, needs to be international too. The right, with it's obsession with protecting the power of the nation state, has recognised this far more than the left has.

 

[Thunder Bolt]

In many cases, the threshold is already £1M!!

What the Daily Mail won't tell you is that for a married couple / civil partners the IHT threshold can be a £1M. Here's how it works.

On first death the Estate is left to the surviving spouse. There is NO IHT payable at all on the Estate. The £325K threshold amount is enhanced by a main residence exemption of £175K and because no IHT is payable, those exemptions pass to the surviving spouse.

On the second death there is £650K IHT nil rate band and, potentially, a further £350K residence exemption provided that the property is left to children (includes step, fostered and adopted) or grandchildren. There is your £1M threshold.

Then hammer investment properties, investment portfolios etc at 80%. What's not to like?

I was thinking of the £650K threshold. I didn’t realise the residence exemption for children applied to grown up children, although both of them are still at uni, at the moment.

 

[goldstone]

I'm curious, what are your top 3 things the Tories should be doing now?

1. Stopping illegal migrants. REALLY stopping them.
2. Greatly reducing taxes.
3. Dismantle the NHS and find an alternative.

 

[goldstone]

emigrate?

Where to? It's not just this country that's a bit of a mess. Can you name one country that would be a good place to live right now?

 

[nicko31]

1. Stopping illegal migrants. REALLY stopping them.
2. Greatly reducing taxes.
3. Dismantle the NHS and find an alternative.

You could always go for a green card? Rishi will be over there soon...

 

[keaton]

1. Stopping illegal migrants. REALLY stopping them.
2. Greatly reducing taxes.
3. Dismantle the NHS and find an alternative.

So essentially you want British people to pay millions of pounds to US Healthcare service for worse services. And that's your priority in life?

 

[keaton]

Where to? It's not just this country that's a bit of a mess. Can you name one country that would be a good place to live right now?

If your want shit healthcare and racism a lot of Eastern Europe should be good for you

 

[goldstone]

as i usually vote lib dem, i'm interested to know why you wouldn't vote labour?

I associate Labour with Arthur Scargill and his bunch of idiots and always will. Not my kind of people. And then there was Tony Blair who tried to update their image and what did he do? Take us into an illegal and disasterous war against the will of the people.

 

[goldstone]

If your want shit healthcare and racism a lot of Eastern Europe should be good for you

Did I say I wanted shit healthcare? I've already got that.

 

[Stato]

3. Dismantle the NHS and find an alternative.

If this is a policy, I reckon it might be safer to do it the other way around.

 

[Silverhatch]

Capital is international. At the risk of getting an ice pick to make my ears burn, socialism, even democratic socialism, needs to be international too. The right, with it's obsession with protecting the power of the nation state, has recognised this far more than the left has.

Capital is international. Capitalism in its current guise resembles a Soviet Apparatchik model whereby member interests are all important and elites are deified and enriched enriched beyond the imagination of the hoi polloi.

 

[beorhthelm]

1. Stopping illegal migrants. REALLY stopping them.
2. Greatly reducing taxes.
3. Dismantle the NHS and find an alternative.

that list is as daft as "spend moar money".

 

[Hugo Rune]

they almost certainly haven't "worked hard", more daily mail spin

100%. Those that have inherited huge wealth very rarely work very hard in my experience.

 

[Randy McNob]

that list is as daft as "spend moar money".

These are Tory priorities not the county's priorities, I think I got that right?

 

[Nobby]

I think the happy answer is yes. But they've got to get out and vote and they've got to exercise the discipline to vote tactically when necessary.

The UK and the US are the same, when the sensible people are riled to action, the loons find they don't have the numbers. Not quite

Really hope so.

I was thinking of the £650K threshold. I didn’t realise the residence exemption for children applied to grown up children, although both of them are still at uni, at the moment.

Yes it does. So £1m threshold