Reply to: Middle-class families 'resentful' as Government takes record £4.6bn inheritance tax

[flamel]

Better then to treat property handed down as a sale and purchase, giving rise to CGT and stamp duty. Better for the government that is.

Better still to ban all kinds of trusts and corporate structures that only the rich and wealthy tend to use, to pass down assets through generations. And of course tax them retrospectively going back several hundred years, because surely HMRC and the government can use their time machine to change laws whenever they want to.

What a good idea - CGT on primary residences - backdated to (say) 1980. That would solve a lot of the country's problems.

People would emigrate in droves thereby reducing the population.
It would end the housing bubble because only the insane would buy a house in the UK.
Children would emigrate with their parents solving the education crisis.
Etc.
It's a scheme made for HMRC.

[sasguru]

Better then to treat property handed down as a sale and purchase, giving rise to CGT and stamp duty. Better for the government that is.

That would be more consistent, yes.

Better still to ban all kinds of trusts and corporate structures that only the rich and wealthy tend to use, to pass down assets through generations. And of course tax them retrospectively going back several hundred years, because surely HMRC and the government can use their time machine to change laws whenever they want to.

Currently looking at trusts to hold something for the sprog - they're not just for the very wealthy.

[ChimpMaster]

In my opinion it's quite correct that gains from property should be subject to inheritance tax, since capital appreciation from main residence property has not been taxed before.
I'm not sure savings passed on to children should be subject to the same penalty, since they are composed of money that has presumably already been taxed - and I don't believe it's the state's prerogative to decide what people should do with (already taxed) money they have saved.

Better then to treat property handed down as a sale and purchase, giving rise to CGT and stamp duty. Better for the government that is.

Better still to ban all kinds of trusts and corporate structures that only the rich and wealthy tend to use, to pass down assets through generations. And of course tax them retrospectively going back several hundred years, because surely HMRC and the government can use their time machine to change laws whenever they want to.

[sasguru]

+1000

I do hope DA or assguru will respond to your post and confirm my prejudices about them.....

In my opinion it's quite correct that gains from property should be subject to inheritance tax, since capital appreciation from main residence property has not been taxed before.
I'm not sure savings passed on to children should be subject to the same penalty, since they are composed of money that has presumably already been taxed - and I don't believe it's the state's prerogative to decide what people should do with (already taxed) money they have saved.

[Unwitting Catalyst]

Beware the klept

That would be a fair suggestion if it wasn't for the fact that todays government is based on a military precision system targeted to ensure as much money is pissed up the wall by giving it to Cap Gemini, Atos, and just about as many other large contractor that can be found.

For the political class, this is money well spent, as these companies will provide well-paid sinecures for retired politicians in their dotage, just as the banks do. Struggling steel companies and one-man band contractors won't provide jobs for them, so why waste money on them?

[vetran]

So as far as I am concerned the government need starving of funds to a point of almost bankruptcy because at the moment they have a nasty habit of thinking that money doesn't matter because they can always grab more tomorrow using the force of law.

FTFY

[bobspud]

With 100% inheritance tax, people would earn as they would not inherit.

That would be a fair suggestion if it wasn't for the fact that todays government is based on a military precision system targeted to ensure as much money is pissed up the wall by giving it to Cap Gemini, Atos, and just about as many other large contractor that can be found.

So as far as I am concerned the government need starving of funds to a point of almost bankruptcy because at the moment they have a nasty habit of thinking that money doesn't matter because they can always ask for more tomorrow.

[AtW]

Apart from being morally dodgy, inheritance tax incentivises people not to save and not to earn.

Yup, also gives BIG incentive to leave the country, especially to those who have a lot of money.

[MrMarkyMark]

With 100% inheritance tax, people would earn as they would not inherit.

Agreed, it should all be handed to the state and passed on to retired MPs.

I hear Blair is short of a bob or two

[BrilloPad]

Apart from being morally dodgy, inheritance tax incentivises people not to save and not to earn.

With 100% inheritance tax, people would earn as they would not inherit.

[BrilloPad]

I don't see any quotes in the story from actual middle-class families that would justify their depiction in the headline as a bunch of selfish, greedy, whining gits

Just some self-serving guff from people who make their money off of other people's money rather than doing anything productive.

+1000

I do hope DA or assguru will respond to your post and confirm my prejudices about them.....

[unixman]

Apart from being morally dodgy, inheritance tax incentivises people not to save and not to earn.

[Acme Thunderer]

So let me get this straight, 4 times as many people are paying inheritance tax since 2010 however the IHT receipt for 2010/11 was 2.7 billion compared to 4.6 billion.

Looks like the average IHT Bill is actually coming down.

[original PM]

4.6 billion seems a lot of money but in the grand scheme of things it is not.

And why are only middle class people paying it/getting angry?

As NF says load o rubbish

[NickFitz]

I don't see any quotes in the story from actual middle-class families that would justify their depiction in the headline as a bunch of selfish, greedy, whining gits

Just some self-serving guff from people who make their money off of other people's money rather than doing anything productive.