We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
MSE News: Savers lose nearly £18 billion a year
Comments
-
There is an estimated £10 billion worth of Art Treasures in Buckingham Palace the public never see, and is passed between Royal Hangers On with no inheritance tax at all.“It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair0
-
Glen_Clark wrote: »Your argument that I will already have paid tax on that £325,000 is just a distraction.
No, it's not. That's fully taxed income, and HMRC feel entitled to further tax on any income or capital gains that the sum generates. If I choose to give that sum to someone else, they are also expected to pay tax on income and gains from it.
Round and round it goes.
HMG should be raising tax from GDP and not from the population's already fully taxed asset base. They should be also ensuring this amount of tax is small by giving public sector spending a *very* thorough pruning.
Encouragingly, there are signs that governments across the globe are at long last starting to understand this.I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
Another distraction. 'HMRC feel entitled to further tax on any income or capital gains that the sum generates' whether its earned or unearned income. So why is earned income (wages) taxed so much more heavily than unearned income (inheritance)?gadgetmind wrote: »No, it's not. That's fully taxed income, and HMRC feel entitled to further tax on any income or capital gains that the sum generates. If I choose to give that sum to someone else, they are also expected to pay tax on income and gains from it.
.“It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair0 -
Glen_Clark wrote: »So why is earned income (wages) taxed so much more heavily than unearned income (inheritance)?
I hate the phrase "unearned income". All income is earned, just in different ways.I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
gadgetmind wrote: »I hate the phrase "unearned income". All income is earned, just in different ways.
Whether its earned or not, why is wages taxed more than inheritance?“It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair0 -
Its not whether or not its earned or unearned, inheritance is never income. Its capital transfer.
Might as well ask why is inheritance taxed more than capital gains
Or (more controversially
) why is a hot pie taxed more than a freshly baked ambient temperature pasty. 0 -
Inheritance is not taxed more than capital gains.Might as well ask why is inheritance taxed more than capital gains
The overwhelming majority of wealth in this country is unearned income from inheritance. And its taxed least of all because the Governments supporters got most of their wealth from inheritance. They would rather tax jobs instead - even though its strangling the economy and still not raising enough money.“It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair0 -
We used to have a capital transfer tax when we had a Labour Government, but it was abolished in 1979, presumably because the supporters of the incoming Tory Government had more to gain by reducing the taxes on unearned income?Its not whether or not its earned or unearned, inheritance is never income. Its capital transfer.
.“It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair0 -
Glen_Clark wrote: »Whether its earned or not, why is wages taxed more than inheritance?
Because the assumption is that inheritances comprise largely wealth which has already been taxed at the point of its creation -- either as earned income, dividends, capital gains, or whatever. Tax on wages -- ie income tax -- is a method of taxing wealth at the point of its creation, as is VAT.No-one would remember the Good Samaritan if he'd only had good intentions. He had money as well.
The problem with socialism is that eventually you run out of other people's money.
Margaret Thatcher0 -
GeorgeHowell wrote: »Because the assumption is that inheritances comprise largely wealth which has already been taxed at the point of its creation -- either as earned income, dividends, capital gains, or whatever. Tax on wages -- ie income tax -- is a method of taxing wealth at the point of its creation, as is VAT.
aren't we going round in circles back to post 23?
My point is that in order to have a very light tax on inherited wealth, we have a very heavy tax on jobs, which doesn't appear to be doing the economy any good.“It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 351.4K Banking & Borrowing
- 253.3K Reduce Debt & Boost Income
- 453.8K Spending & Discounts
- 244.4K Work, Benefits & Business
- 599.7K Mortgages, Homes & Bills
- 177.2K Life & Family
- 258K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.6K Read-Only Boards