Petition to get the gov to reconsider the dividend tax changes

[vetran]

Sell your company and take entrepreneurs relief before blowing it all on Kebabs & loose Squirrels!

FTFY

[d000hg]

Unserstatement of the decade.

I would guess "rich" would be defined as "above twice the average UK earnings" (so about £50K) and personal and business tax rates in the 60 to 70% range.

If you want to take home about 20 to 30% of your hard earned, and then pay another 20% on VAT when you spend it on a potato, be my guest.

I can't see CT going up to anything like that extent but I could certainly imagine the £100k+ personal tax bracket raising to 60-70%, and the current upper tax bracket to 50% (maybe above 50k as you say)

[Zero Liability]

The response email this morning infuriated me, I could have accepted a reasonable email, but they are deliberately saying that they are targeting self employed and small businesses, they want them to pay same tax as employees, but they are forgetting that we do not have same benefits as employees?

They do think most of us are working through a ltd for one reason only which is pay less tax, which is not true, firstly most if not all companies/agencies will only accept incorporated contractors, secondly some of us like the life style of a contractor, I like the consulting model, I go there for a contract when its done, I am free to take a few months off if I feel like it, or I can run services for two clients at the same time etc...

This would affect anyone drawing dividends above the relevant thresholds. They're being a little misleading when stating the primary motivation is to limit alleged TIC; it's basically a new revenue source.

Whilst I am not at all in agreement with yet another tax, at least if they had stopped here insofar as contractors are concerned and limited any other changes exclusively to the low paid and Fri-mon scenarios, I could live with it. Yet it still isn't enough for them.

[DimPrawn]

Breaking news!

Osborne has just read the petition.

[AtW]

I can't see CT going up to anything like that extent but I could certainly imagine the £100k+ personal tax bracket raising to 60-70%, and the current upper tax bracket to 50% (maybe above 50k as you say)

£100-120k is already 60% level

Next step will certainly be increase in dividend tax to align it with income tax, because why should people getting dividends pay less than hard working folks? Of course the fact that dividends come from company that pays taxes (business rates, corp tax, employer NICs, insurances etc) will escape most people