[Politics] Labour Party meltdown incoming.......

[nevergoagain]

https://www.bbc.co.uk/news/articles/cwy77dl399mo

Here you go Unions, not only have we indicated willingness to pay more but we'll increase your rights to strike!.

It's almost a good day to bury bad news some might say.

 

[Baldseagull]

Who pays the IHT?

Asking for a friend.

The executor of the estate.

 

[Jim in the West]

https://www.bbc.co.uk/news/articles/cwy77dl399mo

Here you go Unions, not only have we indicated willingness to pay more but we'll increase your rights to strike!.

It's almost a good day to bury bad news some might say.

Ah ha - workers being given more rights. Isn't that good news for most of us? Obviously none of us want mindless strike action, but I'm often surprised how many people actually want to REDUCE their own rights (eg: wanting to leave the ECHR, opting to remove their right to live and work in other countries, etc).

 

[nevergoagain]

Ah ha - workers being given more rights. Isn't that good news for most of us? Obviously none of us want mindless strike action, but I'm often surprised how many people actually want to REDUCE their own rights (eg: wanting to leave the ECHR, opting to remove their right to live and work in other countries, etc).

To be fair, I respect your opinion and it's a valid one. I disagree though but there's no point in debating as never the twain shall meet.

 

[Is it PotG?]

The executor of the estate.

Who will possibly be working?

 

[Commander]

opting to remove their right to live and work in other countries

I think the majority of people who voted for this were not generally the kind of people who would have taken advantage of that right!

 

[Baldseagull]

You carry on being obtuse. Working people can be subject to CGT as you well know and those who are bequeathed from estates subject to IHT will have their awards reduced irrespective of whether they are working or not. You know all this already though.

If you didn't understand what was meant by not increasing taxes on working people, I apologise, but I thought everyone realised this meant that people who work for a living, would not have to pay more taxes on their income.
I mean, working people might be paying import duties, or stamp duty, dividend tax etc. do you think any increases here would be a U-Turn too?

 

[Baldseagull]

Who will possibly be working?

Yeah, but it's not their money, they just have the job of paying HMRC and distributing to the beneficiaries. It isn't a tax on them

 

[nevergoagain]

If you didn't understand what was meant by not increasing taxes on working people, I apologise, but I thought everyone realised this meant that people who work for a living, would not have to pay more taxes on their income.
I mean, working people might be paying import duties, or stamp duty, dividend tax etc. do you think any increases here would be a U-Turn too?

So I was a working person through my own Ltd company taking dividends and paying the associated tax so 100% it would be a tax on working people. Is that so hard to understand. You can't say explicitly no tax rises on working people and then say oh but we only meant this/that. One might be tempted to suggest it's Stealth Taxes but that would be very much old labour.

 

[The Clamp]

So I was a working person through my own Ltd company taking dividends and paying the associated tax so 100% it would be a tax on working people. Is that so hard to understand. You can't say explicitly no tax rises on working people and then say oh but we only meant this/that. One might be tempted to suggest it's Stealth Taxes but that would be very much old labour.

Inheritance Tax is tax on an estate. It doesn't come out of the executors pay cheque.

Apologies if I’ve misunderstood your argument?

 

[Baldseagull]

https://www.bbc.co.uk/news/articles/cwy77dl399mo

Here you go Unions, not only have we indicated willingness to pay more but we'll increase your rights to strike!.

It's almost a good day to bury bad news some might say.

It was bad legislation and needed to go.
Minimum Service levels can't be met if you are striking over being so understaffed, that minimum service levels are not being met, before anyone goes on strike.

 

[Baldseagull]

So I was a working person through my own Ltd company taking dividends and paying the associated tax so 100% it would be a tax on working people. Is that so hard to understand. You can't say explicitly no tax rises on working people and then say oh but we only meant this/that. One might be tempted to suggest it's Stealth Taxes but that would be very much old labour.

Well, I guess corporation tax would have eaten into your personal pocket too, if that was the way you paid yourself, did you think corporation tax was included in Labour's promise too?

 

[Bodian]

So I was a working person through my own Ltd company taking dividends and paying the associated tax so 100% it would be a tax on working people. Is that so hard to understand. You can't say explicitly no tax rises on working people and then say oh but we only meant this/that. One might be tempted to suggest it's Stealth Taxes but that would be very much old labour.

Out of interest, what is the 'associated tax' on dividends from a limited company? I had a feeling it was about 10% or something? Do you pay NI as well - or is that only if you are salaried?

 

[Baldseagull]

Out of interest, what is the 'associated tax' on dividends from a limited company? I had a feeling it was about 10% or something? Do you pay NI as well - or is that only if you are salaried?

Currently, first £500 tax free, then 8.75% for basic rate tax payers, 33.75 % higher rate, 39.35% additional rate.
But, dividends are paid from profits that have been subject to corporation tax first, currently 25%. NI is not paid on dividends.
So, effectively a 33.75% tax rate with £500 tax free, but you can pay salary too, £12500 tax free, and after that 20%, with employers and employees NI, which I can never work out.

 

[Is it PotG?]

Yeah, but it's not their money, they just have the job of paying HMRC and distributing to the beneficiaries. It isn't a tax on them

Not on them, but for them.

 

[nevergoagain]

Well, I guess corporation tax would have eaten into your personal pocket too, if that was the way you paid yourself, did you think corporation tax was included in Labour's promise too?

No as corporation tax is as it says is for companies. I fully expect it to go up though.

 

[Bodian]

Currently, first £500 tax free, then 8.75% for basic rate tax payers, 33.75 % higher rate, 39.35% additional rate.
But, dividends are paid from profits that have been subject to corporation tax first, currently 25%. NI is not paid on dividends.
So, effectively a 33.75% tax rate with £500 tax free, but you can pay salary too, £12500 tax free, and after that 20%, with employers and employees NI, which I can never work out.

All quite complex! Makes PAYE a godsend really.

I've often wondered how some small businesses (shops) round here provide a living for their owners, as the turnover isn't huge.

 

[Baldseagull]

Not on them, but for them.

Not quite sure what you are saying.
A person has some assets, and dies, anything over a certain limit is liable to be taxed at that point, it is the dead person's estate that gets taxed, not any beneficiary, the executor is just the person nominated to distribute the estate, they may or may not also be a beneficiary. They pay the tax on behalf of the deceased.

 

[Baldseagull]

No as corporation tax is as it says is for companies. I fully expect it to go up though.

And dividends are for shareholders, not workers.

 

[Is it PotG?]

Not quite sure what you are saying.
A person has some assets, and dies, anything over a certain limit is liable to be taxed at that point, it is the dead person's estate that gets taxed, not any beneficiary, the executor is just the person nominated to distribute the estate, they may or may not also be a beneficiary. They pay the tax on behalf of the deceased.

It's absolutely nonsense that it's not a tax on the living.
The dead cannot pay from the afterlife, so the living must do so.