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Original poster

To be scared of Labours Land tax

926 replies

Dragongirl10 · 01/06/2017 15:11

Just read about this, Labour are proposing a Land Value Tax on any land owned, could cost thousands a year for anyone even with a small house, not just the rich....they have not publicised this at all.

People with modest homes could be forced to sell or go into debt, or be repossessed...

OP posts:
squishysquirmy · 02/06/2017 09:22

PigletJohn
Hold up.
Viscount Rothermere and other billionaire newspaper owners would lose out badly under such a tax?

Surely this has nothing to do with the way the suggestion of considering LVT has been portrayed in the media? Surely not.
I mean, it did seem odd that they were focusing on this particular line in the manifesto so much, when it is a bit of a non-story really.......

squishysquirmy · 02/06/2017 09:23

"It is one thing to aim taxes at people who are hugely wealthy and quite another to say 'we say your tiny house is worth over half a million therefore it is logical that you can afford to give us thousands and thousands extra every year in tax"

...Its quite a good thing then, that no-one is actually proposing this isn't it?

Sionella · 02/06/2017 09:27

For every tax you bring in, the super rich will have super accountants and super tax lawyers to get around it. It's the people who can't afford an £800 an hour tax barrister who will suffer.

squishysquirmy · 02/06/2017 09:29

I can only afford a £700 an hour one, so I'm stuffed.

DJBaggySmalls · 02/06/2017 09:31

Good govts dont make their people suffer. (Or die of poverty).

LadyinCement · 02/06/2017 09:32

I wonder how many pop stars/actors will suddenly find a huge desire to live in Switzerland if Labour win.

"Only the little people pay taxes."

BoysofMelody · 02/06/2017 09:32

That you Theresa?

No, probably an exhausted Intern at Tory HQ and told to start AstroTurfing all over mumsnet

Sionella · 02/06/2017 09:34

It won't just be pop stars and actors. Bankers, lawyers etc will go too.

AvoidingCallenetics · 02/06/2017 09:37

I never understand this idea that property value increases are unearned income. The house owner doesn't actually make any money unless they sell the house. And if they buy a new one, they are paying the increase in value for that new house. How have they benefitted?

Also people pay tax on earnings that allow them to buy a house in the first place, plus stamp duty plus increased council tax if their house is big (even if their income isn't. CT takes no account of people who bought a big house years ago but don't have a large income). I think it is morally wrong to penalise people because they own something valuable that they have already paid for.

Personally, I think my family pays enough tax. We don't get child benefit, our ds at uni is eligible only for minimal loans, so is costing us a lot to support, which frankly I think is unfair - he is either an adult at 18 or not. Why should his eligibility for support hinge on parental income? I am willing to pay what I think is fair but am fed up of feeling rinsed by succesive govts. Having some extra money or value tied up in your home doesn't mean the govt should have the right to steal it from you. People who earn more already pay more tax! This seems to be another ill thought out policy that Labour will have to U turn on, when it turns out to be unworkable but in the mean time will piss off a lot of people and cause hardship.

Orlantina · 02/06/2017 09:38

It won't just be pop stars and actors. Bankers, lawyers etc will go too

Pretty certain some bankers and lawyers stay in countries like Norway and Sweden.

Oliversmumsarmy · 02/06/2017 09:39

Given how much Labour are going to spend where is the money going to come from.

If they are planning on getting it from those top .5% we can assume that a lot if not virtually all will jump ship and then it is left to those who are not in a position to go anywhere.

Or are Labour going to get the billions they need to pay for all their policies from another souce

Orlantina · 02/06/2017 09:39

This seems to be another ill thought out policy that Labour will have to U turn on

EXCEPT IT'S NOT A POLICY.

I wonder how much more tax you'll have to pay under the Conservatives?

Hillingdon · 02/06/2017 09:42

I 100% agree with Tiggy. My DM is in her 80's. Has a house round the corner from a station in London and doesn't drive. She has lived in the same 2 bed house for 30 years. She has a small private pension having working as a teacher and of course the state pension.

Are some on this thread seriously suggesting that its fair to tax her hugely just because her house is worth circa £650k. Really?

As Sionella says - the super rich will not be paying this. It will middle England to prop up often the feckless, the young girls having children with no visible way of supporting them, the people only wanting to work 16 hours maximum. If Labour introduce a £10 p h mimimum wage then we are all going to hell in a hand cart. Employers will just stop the casual labour, they will expect existing staff to pick up the work otherwise the threat will be that will lose their job. There will be very little difference between someone stacking shelves and a nurse.

Welcome to the People's Republic of United Kingdom

AvoidingCallenetics · 02/06/2017 09:44

If it's in the manifesto then it is reasonable to assume it is a serious consideration. People have to make their voting choices based on the limited info they have available.
Am no Tory fan either - I think we are all fucked in this election because actually there is no one who represents me. Everyone I know is just going to vote for the party they think is least damaging, rather than actively believing in any of them!

Sionella · 02/06/2017 09:46

Yes orlantina. But how does that affect us here? We aren't Norway. We aren't Sweden. You'd have to pump trillions into our infrastructure, shrink our population by millions of people, and change an entire society before we would be anywhere near. And even then a lot of swedes and Norwegians aren't thrilled with their governments.

Why would someone who could earn £100,000 here after tax want to stay and do the exact same job for £70,000? Especially if they could do it abroad for £110,000? Because you think they should be grateful to get a warm glow at helping others? Well, no. That's what the existing 40% (or 62%) already does.

tiggytape · 02/06/2017 09:49

This reply has been deleted

Message withdrawn at poster's request.

Moussemoose · 02/06/2017 09:59

Sionella
Why would someone who could earn £100,000 here after tax want to stay and do the exact same job for £70,000? Especially if they could do it abroad for £110,000? Because you think they should be grateful to get a warm glow at helping others? Well, no. That's what the existing 40% (or 62%) already does

Where abroad? Nowhere in Europe. As explained yesterday most NY city has a similar tax burden to the UK. If you want to maintain a 'western' lifestyle where are you going?
All the cost and trouble of moving to save money that you may well get taxed on in your new country?

Off you go then, bye, bye. We will stay in the UK with our warm glow.

Hillingdon · 02/06/2017 10:04

As a higher rate tax payer who rarely uses the NHS, who has opted out of state education, who is PAYE (so no option to hide my earnings). Who is married so cannot pretend that I am a single parent despite living with my boyfriend..

If Labour get in we would probably move abroad. We have no real ties, our children are nearly grown up. Why on earth would we stay to support effectively a state run country. I have a private pension which was final salary. My DH pays in half of what I do and is going to get less than I will after 40 years. The state has final salary schemes. The state will become bloated, there will be strikes galore.

tiggytape · 02/06/2017 10:05

This reply has been deleted

Message withdrawn at poster's request.

Moussemoose · 02/06/2017 10:08

Hillingdon genuine curiosity - which low tax state are you planning on moving to.
All of Europe is obviously out as most (all?) European countries have more state intervention. Could you get residency in the US? Australia?

Sionella · 02/06/2017 10:08

Tax where I would go would be slightly less than I pay now, mousse. I have no objection to the £5k or so that I pay at the moment. I object to it being increased yearly, which is what I firmly believe would happen. Mcdonnell has only recently backed down from his support for a 100% tax rate, for example!

Good luck heating that warm glow after a year or two.

Hillingdon · 02/06/2017 10:09

I was offered a role for 2 years in Dubai a number of years ago but the kids were too young. My DH was offered a position in Australia but wanted to stay close to his elderly parents who are sadly no longer with us.

There are opportunities out there to move. There will be a brain drain but it will be worse than last time as the world is a much smaller place than 30 years ago.

Sionella · 02/06/2017 10:10

can anyone genuinely believe that "all of Europe is out". For people with desirable and transferable skills? Whose employers have offices in various countries?

Bizarre.

ChardonnaysPrettySister · 02/06/2017 10:13

Someone in a small terraced house won't necessarily pay less, it very much depends where the small terraced house is.
Some will attract less tax, of course, but most small terraced housed in high density cities, where most people tend to live will be hit.

Orlantina · 02/06/2017 10:14

hillingdon

When you move to your idyllic country, will you worry about the people at the other end of the scale in that country who struggle to get by?

Or will you 'let them eat cake?'

Your world can't function without the rest of the community who provide services.