The NI changes are going to cost my organisation £1000 per employee

I've just been speaking to an IFA, its quite incredible the range of vehicles still available to avoid Inheritance Tax, in fact, its quite possible to avoid almost all tax especially at the higher rates.

Course you have.

Do share your IHT tax avoidance plans.

It's a good job you don't eat food isn't it.

I see the government are blaming Liz truss for the slump in the pound after their budget.

Surely a good tax system incentivises spending and investment that brings wider benefits. Investment into things which grow the economy, create employment and produce necessary things should be more tax efficient than things that don't.

If he put his money into developing a working farm rather than, say, a stack of buy to lets so that he can pay less tax then that's a good thing and worth far more to the Exchequer ultimately than a little IHT hit when he dies.

I once stayed in a farm house B&B where the "farmers wife" was complaining that she'd just got back from Cyprus that morning and how hard it was to make a living from "the thin soil in these parts", while my summer hols were a few days in a B&B in Yorkshire 🤣

Farmers always moan, usually about anything at all, 100s of 1000s of acres are used to grow biofuels, which add nothing to our weekly shop.

They never have any money, are always broke and always threatening to sell up and many do, making a fortune selling to Persimmon etc.

I've just been speaking to an IFA, its quite incredible the range of vehicles still available to avoid Inheritance Tax, in fact, its quite possible to avoid almost all tax especially at the higher rates.

The new rules on IHT for farms allow 10 years to pay, i'm sure we'd all love 10years to pay our tax bills.

Username checks out 😂

And has owned it, I think, for nearly 20 years creating employment for many, and spending huge amounts of money on contractors, builders, advisors, staff etc in the local area in the mean time. He has also established two other thriving enterprises - a farm shop and a pub, also employing people locally, and providing work for local businesses. Sure, he makes most of his money elsewhere but one can’t really say that he hasn’t benefited the local economy. And so the IHT relief is small beer compared to the impact locally and to the exchequer. But sure, focus on just part of the picture…

Was there ever a time that farmers didn't moan their heads off about something?

Will you moan if we have lower food security?

And yet people like Jeremy Clarkson have actually said he bought a farm in order to avoid inheritance tax on his estate.

Was there ever a time that farmers didn't moan their heads off about something?

Just out of interest, where would people suggest we raise tax from to pay for our (ever crumbling) public services. Or would they prefer a "pay as you go for everything" system rather like the States. Genuine question.

It's not been a huge "dodge" at all. The rules/laws/reliefs/exemptions were specifically provided for that exact scenario. It's not a loophole, it was the exact intention of the legislation at the time.

The higher rates certainly did! Nowhere did I (or would I) suggest a return to those levels, just an additional couple of pence.

And farmers who do own assets that would take them into IHT liabilities most likely will have accountants to assist with IHT planning. A life assurance policy is taken out equal to the calculated IHT bill. Then of course there is all the additional trusts that very wealthy seem to be able to set up to take many assets out of an estate.

Very disingenuous post on Moodys

What was actually said...

The increased spending will “mechanically boost growth in the short term, but it’s too early to tell how much this will add to potential output in the long term”

It said more spending on public services should also “create a more business-friendly environment”, saying improvements to the NHS and schools would also benefit firms
But “reaping those potential benefits will also depend on whether the spending is deployed in an effective way”

Moody's added the spending leaves the Government with only a “limited buffer” to absorb further financial shocks while still complying with its fiscal rules

No change in ratings for the UK or hint of any changes, yields falling, FTSE rising as is the £.

But don't let the facts get in the way of slagging off the new Labour Government.

Good luck on winning the next GE, not with either of the two clowns you've got in at the moment.

Not many farms will be effected by IHT. Of those that will be, about half didn't do much farming. Rich people buying farmland has been an IHT dodge.

https://www.theguardian.com/uk-news/2024/nov/01/farmers-shocked-budget-inheritance-tax-estates

Such farmers will end up selling their farms to developers or huge corporate farms, so one way or another, we'll lose the smaller/independent farmer. In just the same way we've lost smaller/independent shops, restaurants, care homes, nurseries, etc - they're just not viable on a small scale anymore so ripe pickings for hedge funds and billionaires backing chains.

Corporation has has already been increased from 19% to 25%. That's already quite a hike!!

I also think they may well have to reconsider what they have imposed on farmers and u turn on this. Pretty much like George Osbourne's pasty tax.

We need farmers producing food and livestock for this country. We don't produce enough as it is and rely heavily on importing.

If farmers can't pass down their farms through the next generation without these huge taxes that have just been applied, they will have to sell. Less farming just means less produce = more imports.

Yanbu. We are already discussing folding our companies. Or we need to get rid of staff. We can't afford the extra costs any more.
So in doing this people are going to be losing jobs.

Yes money needs to come from somewhere. But this wasn't the way. Tax profits, sure. Don't tax us for basically employing people.

A lot of unemployment coming our way again!

This in spades.

It's refreshing reading your posts as you clearly understand the dynamics of economics and business.

I also think there are too many who really do not understand, or refuse to admit, the catastrophic nature of what Brexit did to this country.

People who have private health and use private schools are proven to be happy to pay for improved services.

Yes but the Employers' Allowance is doubling.

Your math isn't mathing, unless your employees really are on 180k each.

We've had 14 years of supposedly "pro-business" governments and look at the mess we are in.

In the circumstances it is a remarkably good budget.

The NHS and public sector are exempt from the NI increases, @ByQuaintAzureWasp, but stupidly GPs, care homes and hospices won't be.