Reply to: taxing question

[ASB]

For those that are interested, Cyprus taxes you at 5% (pensioners), has about £10K tax free allowance and provides free health care.

Oh and it's sometimes sunny too.

Does the UK-Cyprus DTA give FULL relief to UK tax on annuity/state pension though ? [It certainly didn't used to]

[DimPrawn]

It's all Greek to me

80% of the population speak English.

Note - That % is falling and the % speaking Russian is rising quickly.

[Moscow Mule]

It's all Greek to me

half

[Bagpuss]

For those that are interested, Cyprus taxes you at 5% (pensioners), has about £10K tax free allowance and provides free health care.

Oh and it's sometimes sunny too.

It's all Greek to me

[DimPrawn]

I reckon being retired in the UK with a pension up to 40K you probably get a better deal than most other countries. 20% tax is not a high rate, and you get better freebies (NHS) than you would in many countries.

I would imagine that in most non-first world companies, a pension of only 20K a year would put you in the top 1% of earners, so you would pay the highest rate of tax, probably a lot more than 20%. Of course the lower cost of living (i.e. housing) might make you still better off, on balance.

I would be interested to know what countries are taxed less.

For those that are interested, Cyprus taxes you at 5% (pensioners), has about £10K tax free allowance and provides free health care.

Oh and it's sometimes sunny too.

[Moscow Mule]

I would be interested to know what countries are taxed less.

Foogle it. http://www.worldwide-tax.com/

[IR35 Avoider]

can i move to a country that has a lower tax on pensions than the uk (just about anywhere it seems) and a double taxation agreement and get my pension without being taxed at the uk rate?

I reckon being retired in the UK with a pension up to 40K you probably get a better deal than most other countries. 20% tax is not a high rate, and you get better freebies (NHS) than you would in many countries.

I would imagine that in most non-first world companies, a pension of only 20K a year would put you in the top 1% of earners, so you would pay the highest rate of tax, probably a lot more than 20%. Of course the lower cost of living (i.e. housing) might make you still better off, on balance.

I would be interested to know what countries are taxed less.

[Bagpuss]

Actually, I have never worked for the state, except when I was at British Airways in the years prior to privatisation. I had first-hand experience of loads of staff with no work to do. No wonder that BA has gone from strength to strength since 1985.

Now we know why Concorde blew up!

[Cyberman]

says the state funded contractor

Actually, I have never worked for the state, except when I was at British Airways in the years prior to privatisation. I had first-hand experience of loads of staff with no work to do. No wonder that BA has gone from strength to strength since 1985.

[Bagpuss]

says the state funded contractor

[Cyberman]

You assume those people don't pay any tax or spend any money

That is just not a good enough reason to place such a burden on the private sector to finance 24 Billion pounds in salaries and also mega-Billion taxpayer-funded pensions. Otherwise, why not just give every unemployed person a state job paying 30K !!

I despair at the economic logic of our left-wing friends.

[Bagpuss]

You assume those people don't pay any tax or spend any money

[Cyberman]

I don't think so, not with 800,000 more civil servants since 1997, all with inflation-proofed final salary pensions.

Perhaps I should have qualified my statement with 'in the private sector'.

Imagine the annual cost of those 800,000 non-jobs. If we say an average of 30K salary, that is a staggering 24 Billion pounds a year !!! No wonder that we are in a mess.

[expat]

.... and that percentage is growing every year that Labour are in power.

I don't think so, not with 800,000 more civil servants since 1997, all with inflation-proofed final salary pensions.

[Cyberman]

This is impossible to answer without knowing how much your pensions is worth.

A large percentage of pensionsers in the UK pay 0% tax on their pension

tim

.... and that percentage is growing every year that Labour are in power.