Tax on wealth suggested

Apodemus

I suspect more people leave the UK for climate reasons rather than tax reasons, but changing the tax structure could make these folk cut all ties and avoid additional tax, rather than keeping a foothold (and finances) here as many do at present.

Black_Cat2

Being taxed on how much your pension is worth seems unfair to me (if I read this correctly?).  We are encouraged to pay what we can into one to support our retirement so how is it then fair to bring in a tax on it now?  DC and DB pensions meant you sacrifice your salary to be entitled to them and take the gamble that your hard earned money may go up as well as down 🤔

I'm the first to admit I've probably missed the point lol, be kind 😘

arnoldy

Put 20% VAT on any food or drink that contains any plastic packaging or film.
For example 30 years ago sausages were wrapped in grease proof paper. Now they are in a little plastic tray, covered in film. I mean what's the point in a plastic shopping bag tax if all the food is covered in plastic and then put in a organic jute bag?

Another benefit would be ready meals would be more of a treat rather than daily go to - helping in a small way the obesity crisis.

AnotherJoe

itwasntme001 said:

Something needs to be done and someone's gonna have to pay.  It will be done via some combination of taxes and inflation.  Unless there is a miracle and a new source of wealth magically appears.

The problem with inflation is that you can't implement it without some form of default on government index linked liabilities (state pensions and DB pensions).

The problem with taxes is that what is palatable (higher CGT, lower pension and ISA allowances) is not going to be nearly enough.

I think it is reasonable to expect a wealth tax as, since the pandemic benefited asset owners, the asset owners need to pay the stimulus back.  And for the wealth tax to work well enough without harming the economy, it needs to be a globally coordinated wealth tax so that it applies to all citizens in the developed world.  Since most developed countries are in a lot of debt, it should be pretty easy to implement.

How did the pandemic benefit people who owned "assets"?  For example people whose assets were shares in oil companies, airlines,  retailers, the FTSE100 or 250  "because they are investing in Britain"?

Or if they own a house, that they are now struggling to afford since they were furloughed or fired, how is additionally taxing them on that house going to help the recovery when it puts them further in debt?

 

thegentleway

Black_Cat2 said:

Being taxed on how much your pension is worth seems unfair to me (if I read this correctly?).  We are encouraged to pay what we can into one to support our retirement so how is it then fair to bring in a tax on it now?  DC and DB pensions meant you sacrifice your salary to be entitled to them and take the gamble that your hard earned money may go up as well as down 🤔

I'm the first to admit I've probably missed the point lol, be kind 😘

You can use that argument to make out all taxation is unfair. E.g. I work hard at my job so it’s unfair that the government takes a cut of my income.
This kind of selfish greedy thinking doesn’t consider how to pay for defence, healthcare, infrastructure, etc... that we all benefit from. Without government expenditure you wouldn’t have a job or a pension in the first place. 

thegentleway

Malkytheheed said:

If you tax the wealthy to a unpalatable level they will leave. Then what are you left with? A country full of socialists with no money to go around. 

It’s not just the socialists that want to improve tax system. I’m conservative and generally want more capitalism but the hoarding of wealth and inequality needs addressing before it turns to tyranny.

A._Badger

thegentleway said:

Malkytheheed said:

If you tax the wealthy to a unpalatable level they will leave. Then what are you left with? A country full of socialists with no money to go around. 

It’s not just the socialists that want to improve tax system. I’m conservative and generally want more capitalism but the hoarding of wealth and inequality needs addressing before it turns to tyranny.

And replace it with the tyranny of the state? Bureaucrats and (inevitably corrupt) politicians apportioning other people's possessions and assets based on what they consider to be fair and equal? No, thank you. Most of the trouble this country is in now is the result of the actions of incompetent politicians. We need less of it, not more. 

zagfles

thegentleway said:

Black_Cat2 said:

Being taxed on how much your pension is worth seems unfair to me (if I read this correctly?).  We are encouraged to pay what we can into one to support our retirement so how is it then fair to bring in a tax on it now?  DC and DB pensions meant you sacrifice your salary to be entitled to them and take the gamble that your hard earned money may go up as well as down 🤔

I'm the first to admit I've probably missed the point lol, be kind 😘

You can use that argument to make out all taxation is unfair. E.g. I work hard at my job so it’s unfair that the government takes a cut of my income.
This kind of selfish greedy thinking doesn’t consider how to pay for defence, healthcare, infrastructure, etc... that we all benefit from. Without government expenditure you wouldn’t have a job or a pension in the first place. 

No it isn't. The PPs point seems to be that we are encouraged to support ourselves in retirement by paying into a pension, if the government keep changing the goalposts about how they're taxed etc then that's similar to retrospective taxation, and it will cause people to lose faith in pension savings. Nothing at all like whinging about taxes on employment income. If the govt put taxes on employment income up then people can decide eg not to work overtime etc in the future because it's not worth it. Rather than retrospectively getting a bill for extra tax on the overtime they worked in the past.

thegentleway

A._Badger said:

thegentleway said:

Malkytheheed said:

If you tax the wealthy to a unpalatable level they will leave. Then what are you left with? A country full of socialists with no money to go around. 

It’s not just the socialists that want to improve tax system. I’m conservative and generally want more capitalism but the hoarding of wealth and inequality needs addressing before it turns to tyranny.

And replace it with the tyranny of the state? Bureaucrats and (inevitably corrupt) politicians apportioning other people's possessions and assets based on what they consider to be fair and equal? No, thank you. Most of the trouble this country is in now is the result of the actions of incompetent politicians. We need less of it, not more. 

I agree with fewer politicians and smaller state but that doesn’t solve inequality. If you let things get too bad then you end up with Trump, etc...

thegentleway

zagfles said:

thegentleway said:

Black_Cat2 said:

Being taxed on how much your pension is worth seems unfair to me (if I read this correctly?).  We are encouraged to pay what we can into one to support our retirement so how is it then fair to bring in a tax on it now?  DC and DB pensions meant you sacrifice your salary to be entitled to them and take the gamble that your hard earned money may go up as well as down 🤔

I'm the first to admit I've probably missed the point lol, be kind 😘

You can use that argument to make out all taxation is unfair. E.g. I work hard at my job so it’s unfair that the government takes a cut of my income.
This kind of selfish greedy thinking doesn’t consider how to pay for defence, healthcare, infrastructure, etc... that we all benefit from. Without government expenditure you wouldn’t have a job or a pension in the first place. 

No it isn't. The PPs point seems to be that we are encouraged to support ourselves in retirement by paying into a pension, if the government keep changing the goalposts about how they're taxed etc then that's similar to retrospective taxation, and it will cause people to lose faith in pension savings. Nothing at all like whinging about taxes on employment income. If the govt put taxes on employment income up then people can decide eg not to work overtime etc in the future because it's not worth it. Rather than retrospectively getting a bill for extra tax on the overtime they worked in the past.

You’re welcome to your opinion but I think it’s the same logic:
you can’t tax pension coz you discourage people saving for retirement is the same as you can’t tax higher earners more coz you discourage hard work and career progression. It’s the same very weak argument against taxation which you can apply to anything you don’t want taxed.