Inheritance Tax

[winjim]

You have lost me there, I wasn't aware I was suggesting that?

I was suggesting that the Financial Staus of the beneficiary was part of the consideration for how much IHT was paid.

But under your system wouldn't a large estate left to a single beneficiary be taxed at a higher rate than a similar estate left to multiple beneficiaries? So on the broad assumption that the estate is left to ones offspring, that makes it tax efficient to have more children.


I don't intend to imply that you support the two child benefits policy btw, but it is what we have right now.

 

[icowden]

Personally I'd just do away with it. Income and pensions are taxed.
Instead I'd focus on the loopholes that allow tax to be avoided by taking money and assets offshore.

• We could introduce rules that stop payouts to shareholders if companies have debts that they need to service.
• We could be more efficient in charging windfall taxes on major corporations.
• We could introduce the concept that taxation on companies like Amazon and Apple is based on transactions carried out with UK residents and that company profit assessment and taxation will be based on money generated by sales to the UK.

We already have stamp duty and capital gains tax on second property sales.

 

[All uphill]

Personally I'd just do away with it. Income and pensions are taxed.
Instead I'd focus on the loopholes that allow tax to be avoided by taking money and assets offshore.

• We could introduce rules that stop payouts to shareholders if companies have debts that they need to service.
• We could be more efficient in charging windfall taxes on major corporations.
• We could introduce the concept that taxation on companies like Amazon and Apple is based on transactions carried out with UK residents and that company profit assessment and taxation will be based on money generated by sales to the UK.

We already have stamp duty and capital gains tax on second property sales.

Sorry, that sounds to me like the "tax someone else" argument.

A bit like the Chinese should do something about climate change, rather than us.

 

[icowden]

Sorry, that sounds to me like the "tax someone else" argument.

Well yes. Tax the people that need to be taxed. I pay a lot of tax. I'm not one of the people avoiding it.

 

[BoldonLad]

But under your system wouldn't a large estate left to a single beneficiary be taxed at a higher rate than a similar estate left to multiple beneficiaries? So on the broad assumption that the estate is left to ones offspring, that makes it tax efficient to have more children.


I don't intend to imply that you support the two child benefits policy btw, but it is what we have right now.

OK, I suppose it would, but, "my" scheme adheres to the principle those individuals receiving most, pay most tax. Which seems fair to me.

Do you have a better suggestion?

All academic anyway, no-one is going to listen to us.

 

[newfhouse]

Tax the people that need to be taxed.

The money's mine.

Are you sure you live in Walton and not Guildford @icowden ?

View: https://youtu.be/eyGND49CBYk

 

[Deleted member 28]

I pay a lot of tax.

So do I, I wish I could pay more.........( means I'm earning more) £400 per month NI alone but do you see me moaning about it?

Give up now while you're behind.

 

[PK99]

How can it be "irrelevant", if it is a tax on "wealth".

If (say) two people jointly inherit a £600K house, they get £300K each, if six people jointly inherit a £600K house, they get £100K each. So, the two people are more "wealthy", and, in the interests of "fairness" should be taxed more.

But they aren't. Are you proposing a shift in the method of inheritance tax?

 

[PK99]

Sorry to disappoint, but, as you may have observed, I live in the impoverished North, land of four bedroom detached houses for £200K. I don't think the value of our home is going to enrich the exchequer, so, no "entitlement" here.

Your entitlement is being able to pass on your house free of tax.

 

[BoldonLad]

Your entitlement is being able to pass on your house free of tax.

different implication of the word "entitlement' I think, but, never mind.

 

[BoldonLad]

But they aren't. Are you proposing a shift in the method of inheritance tax?

But they aren't what?

I was proposing that taxing the beneficiary(s) in proportion to their increase in wealth, as a result of their inheritance.

The OP, was, as I understood it, a suggestion that current IHT rules were unfair, I was therefore suggesting an amendment which I thought was more "fair".