To think an annual property tax is incredibly unfair?

It’s not high taxation though is it? It’s poor people paying less and those with assets and high earnings paying more. Why’s that unfair?

This has potential to be this government's poll tax moment.

@Bellic you are just here to agitate aren't you?

Inheritance taxes wouldn’t be scrapped though, they’d be rolled into income tax. Inherit a house worth £1m, pay income tax on that (I’d imagine it would be spread over 10 years or so). Why isn’t that fair? Wealthier people pay more IHT. Poorer pay less. We can scrap the IHT bands entirely and reduce loopholes used to avoid it. We need to start thinking about taxes differently, nor just immediately whining that it’s not fair.

The headline was provocative and ridiculous: ‘Burnham told to launch …’ makes it sound like AB is a low level employee or pawn of this group of economists. Then the wording in the article is much softer.

I don’t think AB is anyone’s pawn. The headline was intended to stir up trouble, which it obviously has with some of you. We won’t get anything like a 1% property tax this Parliament.

Under this policy my council tax would triple. I still maintain it’s a vast improvement on what we have now. It’s unfortunate that you’ve stretched yourself beyond your means but taxes have to come from somewhere.

Thanks for confirming, I’m glad I read the link as that post sounded like a done deal.

It’s a report telling Burnham what to do written by Burnhams policy advisors. But he could just ignore everything they’re saying but it’s not likely.

Yes. Nothing. To indicate Burnham will follow this, let alone announce it imminently.

It also is in direct contravention of the fairer share proposals which we know favours. It's also not going to appeal to many working class voters to increase income tax and ditch inheritance tax, which is irrelevant to most people anyway. Only about 5% of estates attract inheritance tax, and statistically most of those won't be labour voters.

It sounds like scaremongering to me.

Great news if eg a family of four living in a modest London terrace can’t pay the tax?

Great news! The price of large homes will fall making them more affordable to younger buyers. And with no stamp duty you can live there for the 15 or so years that you need a larger home then sell up and move somewhere of a more suitable size.

Downsize! There’s no stamp duty anymore! And on average pensioners have a higher disposable income after housing costs than any other demographic. If anyone can afford a £5k council tax bill it’s statistically proven to be them!

Apart from it being just a group of economists writing to the gov this stands out

“end the absurdity of a modest terrace paying proportionally more than a high-value mansion”
.
It would mean that families stump up £5,000 each year to HMRC if their house is worth £500,000.

There are countless family homes in London that are a modest terrace, not a mansion, and £5k to £7k would be a lot with other high costs.

How does 5k per year work out if you are retired?

It’s a letter and report isn’t? Not policy announcement.

This all sounds great. Tax reform is massively needed in this country. I say that with a tax policy hat on while weeping at the extra tax that’ll have to pay on housing. Might be balanced out by getting a personal allowance back tho!

1% land value tax to be announced on Thursday as part of a wider range of tax changes apparently:

www.cityam.com/burnham-told-to-launch-100bn-tax-reform-package/

The black holes will keep coming, along with the sanctification of dependency, whether working or on benefits. Any calls for scrutiny of whether the system is fair, efficient, affordable or actually achieving good outcomes will keep being treated as heresy.

My understanding is that highly priced homes are especially difficult to sell lately, ergo those (purported) £1.5 m houses may actually be worth far less in today's market

This ia hardly surprising they always move the goalposts. From having a £40billion blackhole when they started to then another £15b blackhole.

People are naive if they think 0.48% will last long it will increase anytime there is a blackhole to fill in the budget which is every year at the current rate.

I read yesterday that it has been realised there are not enough £2m houses to make the mansion tax worthwhile, so it may be brought down to £1.5m. I flippin’ knew it! Give it a year and anyone owning any solid construction will be told they’re a mansionaire…

I was also thinking about the householders whose village has had 2,000 asylum seekers moved to an MOD place there. Apparently no one can sell their house - zero viewings or interest. Now, how are they going to rate those homes? 2025 £900k, or 2026 15p?

Yes there’s been a few posts on the US system but if it was the same then then the wealthy areas would ring fence taxes for better schools and services.

There’s no way Burnham’s Labour will do that. So when someone said on one of these threads it meant they had a high standard of living in US it was due to higher property taxes being fed into the local area only.

The taxes sound like they can be quite high so it would be a wealthy area of London paying more but getting much more.