to be glad that Hollande has finally introduced his 75% income tax rate?

(132 Posts)
longfingernails Mon 30-Dec-13 22:11:51

Now even more of the best and brightest French people will be driven away, and London is a natural destination for them. Also we are able to see what a disaster Red Ed style socialism is, without having to experience it ourselves.

An arithmetical note for our French friends: 75% of 0 is 0.

kmc1111 Mon 30-Dec-13 22:55:04

A few people will leave, most won't. The sort of people who were likely to leave already did when they first started making big money, they're already residents of Monaco and the like.

I've lived in countries with extremely high tax rates and extremely low tax rates. I'd much rather live in a country where I was being taxed to high heaven than a country where it's basically survival of the fittest.

JollySantersSelectionBox Mon 30-Dec-13 22:55:23

And speak their own language, I forgot to add.....

Thanks Jolly - lovely to know he did.

longfingernails Mon 30-Dec-13 22:57:27

LaurieFairyCake I once voted for Blair. I hate myself for it. I bet it's one of the few things we have in common!

But recently I have been voting UKIP in elections which don't matter much, to try to encourage the Tory party to a more Thatcherite point of view.

CinnabarRed Mon 30-Dec-13 22:57:41

But you do actually have to reside in Switzerland or Lux to benefit from their tax rates, and not that many people want to do that when push comes to shove.

Madonna fell foul of the same issue in the USA few years back - spent too long in California one tax year and became liable for millions in Californian state taxes.

You want to encourage more Thatcherism?

Are you old enough to have voted for Thatcher and what precisely is it about her policies that you think would be helpful now?

#areyouserious

longfingernails Mon 30-Dec-13 23:01:16

kmc1111 We live in a globalised economy. It's not just a matter of who leaves the country. It's the fact that high taxes deter the people you want to come into the country. With Hollande in power, any foreign company looking for European expansion would be crazy to invest in France.

Cityofgold Mon 30-Dec-13 23:04:21

Laurie I agree with you 100%. Not only does no-one need to earn over £1M but I believe there should be a fixed differential ratio of earnings between the richest and poorest in a country. This news makes me want to move to France more than I already do and I'm probably considered 'well off' over here.

MissRabbitsOtherJob Mon 30-Dec-13 23:15:45

longfingernails you're spot on with your comments on the economics (and the support for Thatcherism IMO). Hollande's lunatic tax policy will be great for London and the country as a whole

JollySantersSelectionBox Mon 30-Dec-13 23:24:43

To reside in Switzerland you just need a property to open a bank account and spend a certain amount of time in it I'd imagine. It's not really much of a hardship.

For the super rich you can negotiate a tax amount within reasoning or so I have read.

I'm not a staunch Tory, I voted liberal but driving out the high earners does make it worse for the people in the middle surely?

Even if Phil Collins is paying 10% on his assets it's probably keeping a few schools running in Switzerland with 18 kids to a class maximum and great facilities.

I'd rather benefit from some of that money than none of it to be honest.

ReallyTired Mon 30-Dec-13 23:39:01

The super rich have accountants and are quite good at avoiding tax.

The UK affect has a stupdly high tax rate for single earning families who earn more than 50K and have three children.

Taxing high or even middle earners hurts the economy as it discourages hardwork. My husband has no financial moviation to get a better job or get a bonus at work as we would lose our child benefit.

Yes, agree ReallyTired - taxing people more around the 50k mark is a problem because of the child benefit threshold

But that's a way different income bracket to the millionaire where child benefit is not relevant.

And I agree that the super rich will just avoid tax by using good accountants.

minifingers Mon 30-Dec-13 23:48:42

I love that the main rationale for not having a supertax is that rich people are selfish, greedy, unpatriotic cunts who'll run away and take their money with them when they go if we try to tax them, so we should probably just leave them alone.

Marmotte3 Mon 30-Dec-13 23:52:46

LaurieFairyCake - I'm just wondering why you included U2 in your list above? When all the members of the band are Irish. I'm not up to date on their tax avoidance situation though.

U2 registered for tax in the Netherlands for last 7 years.

longfingernails Tue 31-Dec-13 00:21:30

LaurieFairyCake Fundamentally, Maggie knew who was 'our people', and stood up for them, time and again. One of Cameron's problems is he wants the Guardian/BBC/Mumsnet and other leftist-liberal institutions to like him. They won't, whatever he does - and his attempts to do so make Thatcher's working class Tories despise him.

FudgefaceMcZ Tue 31-Dec-13 10:13:36

What Laurie and Minifingers said. I really doubt France will be destroyed by the loss of a tiny, disloyal, selfish minority who think 1 million plus 25% of any excess is not enough for them. Shame you think they'll come here, we have more than enough poncy knobbers, perhaps the Daily Mail should start a campaign about them 'flooding' our 'crowded island'.

JollySantersSelectionBox Tue 31-Dec-13 13:03:30

Less than 0.1% of the UK tax paying population is made up of those "poncey knobbers" (approx 29,000 people) but they actually pay 14% of the UK's total tax contribution.

So if you doubled it - to 60,000 poncey knobbers, just 0.2% of the population, they'd be taking care of almost 1/3rd of the tax bill.

FraidyCat Tue 31-Dec-13 13:41:37

I'd much rather live in a country where I was being taxed to high heaven than a country where it's basically survival of the fittest.

I suppose most of the people who think that do so because they are less fit than average. Presumably the more fit have the opposite preference, because that's what maximises their well-being.

I'm theoretically one of the losers from being in a high-tax country. In practice I have been quite good at minimising my tax bills, this year for various reasons is one of the first where I will be paying a substantial proportion of my income in tax. For me that means 38% marginal rate on any salary falling into the basic rate band, and if I didn't avoid the higher-rate band by making employer pension contributions, I would be paying 47% on salary in that band. Anything over 20% feels expensive to me, and over 30% has historically always made me uncomfortable enough to want to do something about it.

LadyRabbit Tue 31-Dec-13 14:00:05

Bring it. Terrible for Paris, great for London. There is a new lycée in North London now too, as if they foresaw what was about to happen. If it means that Kentish Town becomes the new South Ken that is excellent news. Plus proper patisseries instead of all these fucking cupcake places.

babybarrister Tue 31-Dec-13 15:51:47

Super rich with kids do not like Monaco as schools crap - that is why lots of French are indeed relocating to London - south ken estate agents are rubbing their hands with glee ...

longfingernails Tue 31-Dec-13 17:21:27

FraidyCat I don't entirely agree. In general, people are very supportive of taxes paid by Other People - but when it comes to income tax, it is a bit different - even people in low and medium tax brackets can and do dislike high top rates of tax, because they rightly aspire to be in that bracket themselves. Sensible people of all incomes know that envy isn't a good basis for running an economy; and that having rich people from around the world wanting to come and live in your country is a Good Thing.

tb Tue 31-Dec-13 17:40:21

It doesn't work, anyone with that sort of income can afford to pay a tax accountant to ensure they aren't caught.

In 1979, Britain's top rate of tax was, if I remember correctly, was 89%.

When the top rate was dropped by the Thatcher government the monies received by the Inland Revenue in tax payments increased. It just wasn't worth paying so as to pay less tax. The same happened in the US under Reagan at the same time.

longfingernails Tue 31-Dec-13 18:31:51

tb Yes, lowering income tax rates has historically increased the amount of income tax collected, and for good reason. It's because throughout the West, tax rates are on the top side of the Laffer Curve.

marzipanned Tue 31-Dec-13 18:49:11

JollySanters yes, I love the way the wealthy are so berated in this country, when they are the ones funding a large proportion of its services, services which some of them will rarely or never use.

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