With income tax top rate of 45% love to be paying £1m income tax mean earning more than £2.2 m. With CGT top rate 28% happy to be paying £1m CGT meaning profit circa £3.6m
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[Finance] Buy to Let Mortgages
- Thread starter Renegade1
- Start date
With income tax top rate of 45% love to be paying £1m income tax mean earning more than £2.2 m. With CGT top rate 28% happy to be paying £1m CGT meaning profit circa £3.6m
Like I said, you don't love it, you're just easily confused. You wouldn't like it if you had a £1m council tax bill. You wouldn't like it if HMRC looked over your past records and determined that you had to £1m in tax.
What you'd love is to earn enough to pay £1m tax, but that doesn't mean you love paying tax. If your earnings stayed the same but tax rates went up to the highest 1970s/80s levels, you'd pay a lot more tax. I bet you wouldn't love that.
There are two types of people.
People who like having more money and would be open about that.
And people who like having more money, but wouldn’t be open about it as they think it reflects badly on them.
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Weststander
Well-known member
A third category who have more money, but are tax evaders and are necessarily not open about it. Paranoid about HMRC finding out.
boik
Well-known member
Don't judge everyone by your own standards. I avoided a few schemes proposed by my IFA that were apparently legal but that I didn't like the feel of. And no, I am by no means rich (that's probably why I guess!). The whole "everyone would" argument is just an abdication of moral responsibility.
They still fit into category 1 or 2.
Weststander
Well-known member
This.
You might be interested to know:
1. I know individuals and businessmen who signed up for schemes with IFA's etc, but now they're unravelling, with the likely tax bills far greater than the original tax avoided. This has been covered to an extent by the media, as some celebs are facing financial ruin. HMRC are using new retrospective and retroactive powers, and the top courts in the land have sided with HMRC after failed challenges.
2. I work with businessmen who like you made the decision to avoid these schemes, despite pushing by IFA's and some accountants, as they wanted to sleep well at night. They still got wealthy. We live in a low-ish tax country (contrast to Scandinaia, France, etc), so they still got to retain the vast majority of their gains and income post-tax, legitimately.
But Dale didn't say that people like immoral schemes. Maybe he meant it, I don't know, but didn't say it, he just said people like having more money.
You have an IFA. I doubt it's because you don't like having money.If that's an accurate reflection of HMRC in general, that's great news. I hate people using schemes that are clearly dodgy (like your off-shore company getting paid for your services, and then your company loaning you money, which you will never pay back, and never pay tax on).
My wife's uncle is the classic 2nd category person. He supports communism, reads the Morning Star and is a massive fan of Corbyn which he goes on about all the time.
Meanwhile in the real world he moans about how much council tax he and his wife have to pay on their MASSIVE house, recently had a knee operation in a private hospital and has put said house and other assets into trust to avoid possible care costs and inheritance tax.
He's a nice guy but the biggest hypocrite ever (which I take great delight in pointing out).
Meanwhile in the real world he moans about how much council tax he and his wife have to pay on their MASSIVE house, recently had a knee operation in a private hospital and has put said house and other assets into trust to avoid possible care costs and inheritance tax.
He's a nice guy but the biggest hypocrite ever (which I take great delight in pointing out).
But Dale didn't say that people like immoral schemes. Maybe he meant it, I don't know, but didn't say it, he just said people like having more money.
im Defo not condoning the type of schemes those celebs have been caught out on.
But if HMRC is ok with a particular scheme, I would say that gives it moral value. to an extent.
And yes, nobody has employed an IFA to save the rainforests. It’s to make money. Surely that can’t be dressed up any other way
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Weststander
Well-known member
Very common in fairly left wing Brighton & Hove. Supporters of Corbyn or the Greens, who want business and 'the rich' taxed until the pips squeak, but personally do anything to avoid tax. Often sitting in very nice homes, with a load of investments. Class warriors in their own minds, but unwilling to cough up.
It’s always been the way, I have a friend who is trying to become a Lib Dem mp. Campaigns about how the tories have ballsed up housing. But in real life , he owns half a dozen properties, and thinks nothing of screwing over his tenants .
Hypocrisy is a real bug bear of mine.