Increase in personal tax allowances.

zygurat789

oldagetraveller wrote: »

I watched the budget speech and he did specifically say, at the time, the £1000 increases were for taxpayers under the age of 65.

When you get to 65 you will painfully realise that life is not so cheap to live as it is at a younger age.

zygurat789

noh wrote: »

I expect that no decision has been taken over age allowances yet.
Most likely they will be done away with when the allowance for under 65s matches that of over 65s
That will also have the effect of simplifying the system which can only be a good thing.

The governments philosophy appears to be "never mind what happens to the poorest so long as the richest get tax cuts. The "simpler" the tax system, the more the rich benefit. What is required is tiered rates of tax from 10% up to, at least 50%.

noh

zygurat789 wrote: »

When you get to 65 you will painfully realise that life is not so cheap to live as it is at a younger age.

So things suddenley get more expensive the day of your 65th Birthday?

Life may or may not be more expensive in older age but there is still no justification, that I can see, for higher tax allowances.

thefenman

oldagetraveller wrote: »

I watched the budget speech and he did specifically say, at the time, the £1000 increases were for taxpayers under the age of 65.

Oh! Missed that!

thefenman

noh wrote: »

Why do you think those over 65 should have higher personal allowances than those under that age?

I don't really but all donations are gratefully received. I think it's daft that over 75s should get a free TV licence, but if it is there for the taking I'm not about to refuse it.

zygurat789

noh wrote: »

So things suddenley get more expensive the day of your 65th Birthday?

Life may or may not be more expensive in older age but there is still no justification, that I can see, for higher tax allowances.

Should have gone to specsavers

CLAPTON

zygurat789 wrote: »

The governments philosophy appears to be "never mind what happens to the poorest so long as the richest get tax cuts. The "simpler" the tax system, the more the rich benefit. What is required is tiered rates of tax from 10% up to, at least 50%.

well we have tiered rates now starting at 0% rising to 50%

wakeupalarm

The over 65 allowances were increased substantially a few years back to compensate for the removal of the 10% tax band. The under 65's benefited at the time by about £120 IIRC. The failure to increase the over 65's allowance means that the compensation for the removal of the 10% tax band is itself being removed.

The under 65's will have benefited from the removal of the 10% tax band by £120 and now the increase in allowance by a further £200. Total up £320 per annum.

Over 65's will have lost from the removal of 10% tax band by £200 and gain nothing from the latest budget. Total down £200 per annum.

zygurat789

CLAPTON wrote: »

well we have tiered rates now starting at 0% rising to 50%

I don't think we do have a 0% rate of tax, The lowest rate of (income) tax is 20%.

zygurat789

wakeupalarm wrote: »

The over 65 allowances were increased substantially a few years back to compensate for the removal of the 10% tax band. The under 65's benefited at the time by about £120 IIRC. The failure to increase the over 65's allowance means that the compensation for the removal of the 10% tax band is itself being removed.

The under 65's will have benefited from the removal of the 10% tax band by £120 and now the increase in allowance by a further £200. Total up £320 per annum.

Over 65's will have lost from the removal of 10% tax band by £200 and gain nothing from the latest budget. Total down £200 per annum.

Like I said they will tax the poorest to give to the richest weren't the tories always the same?