Couple have £1.2million in Iceland (IofM branch/not protected)

Bromley86

And to be honest, if I had 1.2 mill, I would be doing my upmost to avoid paying the tax (legally) because the government would want to rape you to the tune of £480,000 (40% of it).

The government only taxes the income, not the full amount.

YorkshireBoy

bartsimpson wrote: »

And to be honest, if I had 1.2 mill, I would be doing my upmost to avoid paying the tax (legally) because the government would want to rape you to the tune of £480,000 (40% of it).

Did you mean to say "£1.2m of annual taxable income"? Because I'd be pretty peeved if I simply "had" £1.2m and the Government suddenly wanted 40% of it.

dkmax_2

nilrem wrote: »

For Gods sake have a heart! :mad:

One day you may make a mistake and hopefully people won't adopt your attitude to your misfortune!

Few people are crowing over the misfortune aspect. It is the unreasonable expection that the misfortunate investors have that other people will pick up the pieces that is the problem.

I think that those that are feeling sympathetic should reach into their pockets and give generously. They'll have their million quid in no time.

Hungerdunger

bartsimpson wrote: »

And to be honest, if I had 1.2 mill, I would be doing my upmost to avoid paying the tax (legally) because the government would want to rape you to the tune of £480,000 (40% of it).

If you had £1.2 million, and were getting 7% on it, you would be paying a maximum of £33,600 on the interest of £84k each year. And that's assuming you already had income that brought you up to the 40% threshold. If you didn't it would considerably lower.

markelock

the government have said more than once that all money held in Iceland is safe.

also, they wouldn't take 40% of the total, it's not a capital gain, or their income for the year, they would tax the interest on the capital only.

apt

The government has never said 'all money held in Iceland is safe.' It has said it will refund all the money for all retail depositors in the British operation of Icesave. It has absolutely no jurisdiction and responsibility for offshore accounts of foreign banks. If the couple with £1.2 million in the IOM account are to get more than £50,000 provided by the IOM compensation scheme it must come through recovered assets of the bank, a possible mis-selling case against their financial adviser or private charity. It cannot come from the FSCS compensation scheme or the general British taxpayer.

amcluesent

>Mr Johnston said he had joined a website linking depositors in the Icelandic bank.<

Hmm, now that sounds familiar!

whiteflag_3

IT_nerd wrote: »

Serves them right. £1.2M in a single bank account. OFFSHORE?!
What in gods name were they thinking?

Probably thinking their money was safe with a bank that had a Moodys A rating and 100% cover by their parent bank!!

The Johnstons and their adviser obviously didnt have access to your crystal ball.

Nerd, at least you will be happy in knowing that the Johnstons and their advsier will more than likely be one of the few real losers in this situation.

z1000000

Well, actually plenty of Councils have millions tied up in the Icelandic Banks. As they aren't Personal savers, they won't be compensated.

So Nerd and others can have a bloody good gloat when their and their families and friends Council Tax goes up to pay for the lost money!

rizla01

islandannie wrote: »

Regardless of the reasons or wisdom for their decision to go offshore,anyone who feels it serves them right or has no sympathy for the devastating position they find themselves in,is really quite an unpleasant individual.

Iseland Annie, Huh?

Don't work for the bank, by any chance, do you?