A return to MIRAS - what do you think?

Spirit_2

No

My first mortgage was in 1983 - £26000. All of which benefited from MIRAS.

Extending right to buy and other actions also stimulated home ownership.

Don't think the housing market needs that kind of subsidy to stimulate it anymore.

Cleaver

No

carolt wrote: »

In those days not many mortgages were above 30K, don't forget...

True. What do you think it would be set at now? The trouble is that if you set it too high, the people that benefit are the people that don't really need it. Or would you just think of introducing it to FTBers?

nearlynew

No

that wikipedia entry doesn't look right.

carolt

Cleaver wrote: »

True. What do you think it would be set at now? The trouble is that if you set it too high, the people that benefit are the people that don't really need it. Or would you just think of introducing it to FTBers?

Gosh thank you Cleaver. I'm so tired I almost forgot my Cunning Plan.

You got it in one.

It wasn't my idea, actually, read it earlier today and thought what a smashing plan it would be.

Target those limited resources right where they're needed.

I mind ramping the market less if at least I get some kind of subsidy making it cost neutral for me, if that makes sense?

Then everyone happy - existing homeowners in NE, landlords and FTBs.

Brilliant.

Me for the next Chancellor, anyone? (Well, if George Osborne's qualified, then that makes me equally qualified too... :rotfl:)

The_White_Horse

Yes

it should come back to help top rate taxpayers out. so instead of paying 40% on interest payments they only pay 20%. that would get more money spent in the economy.

carolt

Ooh, controversial, White Horse.

silvercar

You used to be able to get £30k MIRAS each as a couple, but only one lot of £30k if you were married. I remember people moaning how they were losing out by getting married. I don't think the WIKI article has the dates quite right. I thought it was finally abolished before 2000, possibly as early as 1990. I remember it was restricted to basic rate and then 15%, possibly down to 10%, then abolished.

michaels

No

Make houses more affordable and prices will rise taking people back to square 1 = supply and demand init!

ukcarper

carolt wrote: »

Recent discussion on a thread I had posted with something entirely different in mind seemed to focus on the tax issue - the disparity between those buying property as an investment, who pay no tax on mortgage interest, as it is treated as a business expense, whilst those (like FTBs), competing to buy the same property, have to pay their mortgage interest out of taxed income.

Some felt this was justified, as to remove the tax privileges from property investors would single them out from other businesses, who pay no tax on necessary business expenses. But surely EVERYONE who buys a house buys it in one sense as an investment, and therefore I wondered what others thought about reintroducing MIRAS in an attempt to level the playing field?

Or any thoughts.

Thanks.

Doesn’t capital gains tax work the other way round?

carolt

Only if you sell - doesn't apply to landlords say, who hold on to a property to rent out.