What cuts are you prepared to personally suffer to repay the deficit?

Milarky

What cuts are you prepared to personally suffer to repay the deficit?

The 'deficit' as you put it is simply the additional borrowing being undertaken on top of the historically high level of National Debt.

It therefore cannot be possible to 'repay the deficit' other than by not borrowing a penny piece more. (Were you, perhaps alluding to the 'National Debt'? There has never been any plan to repay this - it's just convenient to think of extra borrowing as the issue/problem to be addressed)

JonnyBravo

I'm happy to give up child benefit for the higher rate tax payers.

Don't worry carolt, my children wont go without the basics as I will prioritise my spending. After all I'm one of the lucky ones if we've got an earner of >£44k.

howler_2

I'm happy to abolish final salary pensions for the public sector

mbga9pgf

jamespmg44 wrote: »

People pay tax on interest earned on savings though - given the earnings from savings are pretty pitiful just now if there was a higher interest rate then the potential tax revenues from that would increase surely?

Not sure a tax on home equity could be a good idea - surely that would just encourage folk to MEW like mad and get into stupid levels of debt to avoid the tax?

No, because as long as the annual tax would be less than the typical mortgage interest, it would be a no brainer. Difficult to administer though.

chewmylegoff

Pennywise wrote: »

Actually a company profit of £100k, with the sole director/shareholder taking a £6475 salary and the balance in dividends would result in a total tax of £29,696 - I can't see where you get a tax figure of £21980 from. Company profit, £100k less salary £6475 gives net profit £93525 on which corporation tax is 21% amounting to £19640 leaving £73885 as dividend on which higher rate tax amounts to £10,056. Total tax £29,696!

you have forgotten to account for employers NIC, i think it's still 12.8% so an extra £830 tax to pay, although it would slightly alter the downstream payments.

Income: 100,000
Salary: (6,475)
Eers NIC: (830)
PBT: 92,695
CT: (19,465)
PAT: 73,230

Tax on dividend = 73,230 - 37,400 x 25% = (8,958)

total tax = £29,250ish

withabix

I will happily not claim any Benefits whilst I am working.

Mind you, the last one I claimed was Housing Benefit in 1988.

I still have the cheque for 13p in a frame somewhere.....

I won't get my moobs done on the DSS either.

chewmylegoff

Conrad wrote: »

Your'e totaly off beam here. In REALITY a good accountant will get your Tax way lower.

I take home approx £7500 pm. If you gross that up as if I were an employed civil servant, the annual gross with that take home figure is c£140kpa.

My Tax bill, both corporate and personal = £10k pa.

you are either
(a) lying
(b) mistaken
(c) committing tax fraud

olly300

chewmylegoff wrote: »

you are either
(a) lying
(b) mistaken
(c) committing tax fraud

He may be a non-dom.

Don't presume everyone is in the same boat on MSE.

If he isn't and in a scheme where he is currently avoiding tax then once HMRC proves the scheme is tax evasion rather than tax avoidance and changes the law retrospectively, he will just have to pay up when HMRC come knocking for the back tax he owes.

ninky_2

i don't get any benefits so can't refuse those. as a self employed person i'm currently out of contract but not eligible for benefit anyway. i also only get a reduced state pension entitlement (which i will probably need as i don't have any savings or personal pension - all my money goes to pay off my mortgage having spent many years renting, unable to get on the ladder due to the insecure and low paid nature of my career in the early years).

so what could i offer.....

increased tax on petrol.
green taxes on any product packaged in plastic - any clothing made from oil based synthetics - pay for amount of rubbish put in normal (not recycling) bin.
higher prescription charges (although they are already quite steep)
increased leisure aviation taxes.
i'd also be personally willing to 'risk' giving up the majority of our military spending and just keep a small peace force.

there are other things i would bring in but they wouldn't hurt/impact me directly at the moment (such as a land tax) so don't really answer the OP.

silvercar

Conrad wrote: »

Your'e totaly off beam here. In REALITY a good accountant will get your Tax way lower.

I take home approx £7500 pm. If you gross that up as if I were an employed civil servant, the annual gross with that take home figure is c£140kpa.

My Tax bill, both corporate and personal = £10k pa.

Does that cause a problem when you apply for a mortgage? I'm presuming your business expenses are sky high to reduce your net income or you are contributing massively to a pension/ trust.