Reply to: 9% CGT up to £750k?

[AtW]

I'm sorry Dodgy, people have to pay tax.

Why should some type of income be tax free and some not?

Look, tax levels would always be too high to those that pay them, however if you have a correct lower taxation for those who invest long-term, rather than speculate short-term, then even if you want to take it all away you can't do this retrospectively!.

What happened is that people who made decision to keep business asset for years are now screwed because from 1st of Jan they turn out to be total fools, their long term investment strategy suddenly has different returns. Is this fair to make such changes that affect things retrospectively? No!

The matter of fact is that big VCs won't even be affected too much with these changes - they are rich and international enough to create offshore schemes that will keep them away from taxation anyway, it is those who choose to actually have businesses in the UK that will be screwed by tax raise, although speculators are very happy to pay less tax on their short term games.

Let me repeat once more - making negative tax changes should never affect people who played by the book - this new tax regime should only apply to new business assets bought after 1st Jan, but of course it does not because desperate Brown needs tax revenues now, so he is just fine with robbing the people who trusted his policy of encouraging long term business investment.

I am suprised anyone pays anything extra into their pensions - they were robbed before and will surely be robbed again, you can't even take your money out when you hear of changes to pension rules, ffs, I may have been on the sidelines about Labour but now I am extremely angry with them

[tim123]

What a stupid commie! It's 18% tax on top of the 35%-50% of tax the business already pays .

No it's not. It's quite normal for there to be large amounts of value in a company that you are selling on, that has not been put through the books and already taxed.

As I said before. This "load the company up with money and close it down to pay CGT on my 'income' instead of the larger Income Tax" lark is not the normal method of cashing out a business.

tim

[hugebrain]

Why should some type of income be tax free and some not?

I stand by what I said. 18% tax is not a particulary big slice of money to have to pay, by no stretch of the imagination can it be called crippling

What a stupid commie! It's 18% tax on top of the 35%-50% of tax the business already pays (depending on the line of work) once you get to around 60% tax it's a big slice, doesn't leave much to pay all your other taxes with.

[Andy2]

He is right
peeps should be taxed till they squeak

[DodgyAgent]

I'm sorry Dodgy, people have to pay tax.

Why should some type of income be tax free and some not?

I just used 2 million as an example of the people that were complaining that this tax was crippling. I never made the slightest claim that everybody cashes in that much and making that assumption is arrogant on your part.

I stand by what I said. 18% tax is not a particulary big slice of money to have to pay, by no stretch of the imagination can it be called crippling, and that is the ONLY point that I was making.

If we don't have this tax here we have to have a different one. And ISTM that it is much better to have a tax on gains that people *have* actually made, than to have flat rate taxes like council tax and business rates that you have to pay, even if you have zero income (or profit).

And quite how you can decide that I am a socialist from one example (that I simply plucked from the air to do nothing more than explain the maths) I do not know. I am not (I believe) a socialist.

Good night

tim

Sorry Tim, I went off on one, perfectly fair point of view

[tim123]

Your ignorance and assumptions are awesome. How many small business owners sell up for £2million? very few. Most will be lucky to get £200,000. They are not all technology businesses that go for millions. Most of them are small shops and other unfashionable businesses. Remember these people do not have pensions either.

In true commie style you blithly dismiss 18% as "nothing to them", just as every other socialist loser pretends to arrogantly know what is best for "other people's" money.

The sooner people question what is done with our tax instead of looking at taxation as some sort of punishment for being "better off (apparently) than me" the better everyone's life will be.

I'm sorry Dodgy, people have to pay tax.

Why should some type of income be tax free and some not?

I just used 2 million as an example of the people that were complaining that this tax was crippling. I never made the slightest claim that everybody cashes in that much and making that assumption is arrogant on your part.

I stand by what I said. 18% tax is not a particulary big slice of money to have to pay, by no stretch of the imagination can it be called crippling, and that is the ONLY point that I was making.

If we don't have this tax here we have to have a different one. And ISTM that it is much better to have a tax on gains that people *have* actually made, than to have flat rate taxes like council tax and business rates that you have to pay, even if you have zero income (or profit).

And quite how you can decide that I am a socialist from one example (that I simply plucked from the air to do nothing more than explain the maths) I do not know. I am not (I believe) a socialist.

Good night

tim

[DodgyAgent]

Don't do it 3 times, or it might offend some people.

Oiiiiiiiiiiiiiii..........

[AtW]

Oink! Oink!

Don't do it 3 times, or it might offend some people.

[DodgyAgent]

Capitalist schweine is right on this one

Oink! Oink!

[AtW]

Oink!

Capitalist schweine is right on this one

[DodgyAgent]

Hear Hear you Capitalist pig.

Oink!

[DimPrawn]

Your ignorance and assumptions are awesome. How many small business owners sell up for £2million? very few. Most will be lucky to get £200,000. They are not all technology businesses that go for millions. Most of them are small shops and other unfashionable businesses. Remember these people do not have pensions either.

In true commie style you blithly dismiss 18% as "nothing to them", just as every other socialist loser pretends to arrogantly know what is best for "other people's" money.

The sooner people question what is done with our tax instead of looking at taxation as some sort of punishment for being "better off (apparently) than me" the better everyone's life will be.

Hear Hear you Capitalist pig.

[DodgyAgent]

No?

Perhaps if you do the "close down the company and extract the money that's in it" trick, but the complainers aren't in that camp.

They're people who have run (what HMG considers) 'real' businesses that now have a 'goodwill' value, and when the owner retires he sells it off for let's say 2 million, all of which is Capital Gain. So they are complaining about only being able to keep 1.6 million instead if 1.8 million.

OK, 200 grand is a lot of money, but when you just gained a mil an half, can you really tell the difference?

And don't forget, there are an awful lot of winners here. There are lots of BTLers (and small shareholdres) who will now have to pay 18% CGT when previously they would have paid, 40 or 38 or 36%. Are these people shouting about how unfair the change is?

ISTM stupid for AD to give the losers back what they have lost, and allow the winners to keep their winnings. He should have just done nothing.

tim

Your ignorance and assumptions are awesome. How many small business owners sell up for £2million? very few. Most will be lucky to get £200,000. They are not all technology businesses that go for millions. Most of them are small shops and other unfashionable businesses. Remember these people do not have pensions either.

In true commie style you blithly dismiss 18% as "nothing to them", just as every other socialist loser pretends to arrogantly know what is best for "other people's" money.

The sooner people question what is done with our tax instead of looking at taxation as some sort of punishment for being "better off (apparently) than me" the better everyone's life will be.

[Moscow Mule]

Rubbish lifetime limit - souinds like they don't want small folk to get rich, what the heck can you buy on £750k these days? A decent house, and not even in London area - I will be damned if I ever vote Labour

You're lucky you get a vote at all...

[AtW]

Shout 99 suggest the 750k is a lifetime limit.

Rubbish lifetime limit - souinds like they don't want small folk to get rich, what the heck can you buy on £750k these days? A decent house, and not even in London area - I will be damned if I ever vote Labour