Taxes under Tory Scum

[OwlHoot]

First thing that needs to go is PPRR. ..

What is to prevent someone creating a trust to own a property and then becoming the principal trustee and beneficiary?

Then ownership would be in mortmain, and one might even be able to dodge inheritance tax by adding beneficiaries such as one's kids as trustees!

The only tax liability would be stamp duty, payable when a new beneficiary is added. But one pays stamp duty anyway when a property changes hands.

[jamesbrown]

What is to prevent someone creating a trust to own a property and then becoming the principal trustee and beneficiary?

Then ownership would be in mortmain, and one might even be able to dodge inheritance tax by adding beneficiaries such as one's kids as trustees!

The only tax liability would be stamp duty, payable when a new beneficiary is added. But one pays stamp duty anyway when a property changes hands.

A TAAR, say.

[_V_]

and wait until whats-his-face goes into the pensions to pay for the Corona bonanza.

Oh come on, you realise the costs involved? These things need to be paid for!

https://www.latimes.com/business/sto...-uk-government

[vetran]

What is to prevent someone creating a trust to own a property and then becoming the principal trustee and beneficiary?

Then ownership would be in mortmain, and one might even be able to dodge inheritance tax by adding beneficiaries such as one's kids as trustees!

The only tax liability would be stamp duty, payable when a new beneficiary is added. But one pays stamp duty anyway when a property changes hands.

Then it would be a vehicle to avoid tax so it can be ignored, and we would have an IR35 like legislation.

Of course that would only happen when the little people started to avoid tax.

[NotAllThere]

First thing that needs to go is PPRR. There is zero justification for one of the largest capital gains to be completely tax free. No tax is due until a gain is realised. We also need some anti-distortionary measures such as a heavy penalty for land banking, heavy taxation of second homes etc. Taxation of property in the UK is completely unbalanced and doesn’t need to penalise low-income households.

Want to start again?

For private primary residence house purchases (as opposed to commercial), how about 100% tax on profits on realisation within 2 years, tapering to 5% after 20 years. With a special bank accounts for holding realised profits intended for house purchase (like you've sold your house but not found one to buy). Stamp duty reduced to 0.5% and not payable unless the property is sold within 2 years.

But the governments of any colour don't want to slow down the housing market. They like it hot, because people feel they can get rich.

[SueEllen]

For private primary residence house purchases (as opposed to commercial), how about 100% tax on profits on realisation within 2 years, tapering to 5% after 20 years. With a special bank accounts for holding realised profits intended for house purchase (like you've sold your house but not found one to buy). Stamp duty reduced to 0.5% and not payable unless the property is sold within 2 years.

But the governments of any colour don't want to slow down the housing market. They like it hot, because people feel they can get rich.

That's only for the next 15 years or so so....

[d000hg]

How many other countries in the world are increasing taxes now?

The USA certainly is.

How many other countries had relatively low tax rates beforehand? I think they will nearly all be raising taxes on high earners.

[jamesbrown]

Sounds like they're increasing dividend tax too...

[jamesbrown]

Yup, dividend tax up too. Whether it's 1.25% or 2.5% (equivalent to both NICs) is tbc.

[SueEllen]

Yup, dividend tax up too. Whether it's 1.25% or 2.5% (equivalent to both NICs) is tbc.

Started a new thread so don't have to wade through this one.