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What is labour coming for next?

528 replies

MikeRafone · 30/07/2024 17:33

I reckon after 12 years of dozen fuel duty that drivers will be next

what tax will the collect next to fill the black hole

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Anonym00se · 30/08/2024 21:38

lazzapazza · 30/08/2024 15:32

It was "earned" by the previous owner so has already been taxed.

Maybe they could not tax the original capital investment of £66k or however much they bought the house for in 1968, and tax the other £900,000 that it’s appreciated over 50 years. That hasn’t been taxed already.

Badbadbunny · 31/08/2024 11:38

Anonym00se · 30/08/2024 21:38

Maybe they could not tax the original capital investment of £66k or however much they bought the house for in 1968, and tax the other £900,000 that it’s appreciated over 50 years. That hasn’t been taxed already.

I certainly think there's merit in charging capital gains tax on everything, including your home, but bring back either time apportionment, tapering, or indexation allowance, so that the longer your own your home and it's going up in value, there's some kind of mitigation of the capital gain.

Make it so that someone making a windfall killing of £100k be sheer luck when they buy and sell a house within a year or two due to area improvement, a new railway station, or whatever pays CGT. Whereas someone who's had a home for 40 years and it's basically just gone up in value in line with the market pays a minimal amount, relief having been given either "per year of ownership" or based on general inflation, or based on house price inflation, etc.

Likewise with a business. The longer you own and grow a business, the more relief you get when you come to sell it at a profit. Whereas if you just "luck out" and make a killing in a year or two, the relief will be minimal and you'll pay CGT on most of the profit.

Like I say, we used to have this kind of relief, being taper relief, or indexation allowance, etc., but in the last 20-30 years, we've morphed away from that to just generally lower rates of tax with no reliefs for time owned nor inflation.

UndergroundSquirrel · 31/08/2024 23:18

Anonym00se · 30/08/2024 21:38

Maybe they could not tax the original capital investment of £66k or however much they bought the house for in 1968, and tax the other £900,000 that it’s appreciated over 50 years. That hasn’t been taxed already.

Google tells me the average house price in 1968 was £3,500.

Charging CGT on the difference between that and the selling price now of £300,000 would be obscene.

It isn’t the homeowner’s fault that house prices have increased due to population increase outstripping available properties.

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