beorhthelm
A. Virgo, Football Genius
- Jul 21, 2003
- 36,014
think Reeves just comes across like that playing politics, the CV suggests someone who knows the brief.
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[Politics] The official Budget thread - kick off 12.30pm
- Thread starter Giraffe
- Start date
Weststander
Well-known member
An important reform for anyone who's taken drawdown from a non-final salary/non-DB pension scheme, you would've be limited to paying £4k a year in pension contributions under MPAA. The £4k includes 20% tax relief.
Raised to £10k.
https://www.professionalpensions.co...23-chancellor-abolishes-lta-increases-aa-mpaa
This affects a lot of folk age 55 or over who dipped, even by £1 beyond the tax-free 25%, into their defined contribution pension fund.
Raised to £10k.
https://www.professionalpensions.co...23-chancellor-abolishes-lta-increases-aa-mpaa
This affects a lot of folk age 55 or over who dipped, even by £1 beyond the tax-free 25%, into their defined contribution pension fund.
Pavilionaire
Well-known member
- Jul 7, 2003
- 31,262
Tory Treasury Minister just said only top 10% pay the 25% higher CT rate and BBC's Simon Jack didn't pull him up.
Make no mistake, you earn more than £50K profit you're paying 26 1/2% then 25% thereafter. Ordinary, small companies paying 7.5% more CT on their profit over £50K. That's a 39.5% increase in the marginal rate of tax.
Make no mistake, you earn more than £50K profit you're paying 26 1/2% then 25% thereafter. Ordinary, small companies paying 7.5% more CT on their profit over £50K. That's a 39.5% increase in the marginal rate of tax.
erkan
Well-known member
Yes good news for me. I'll be taking cash from one pension next month but my current company pension contributions are approx. £9000 per year, so it will benefit me.
Mackenzie
Old Brightonian
Arrived 
Horses Arse
Well-known member
Weird isn't it. Country forced to it's knees by successive tory governments, fraud at the heart of government, utter disregard for this country or its people.
Opposition looks unwell, I'm all for this tory government! No wonder we're in such a mess.
f*** it, I'm alright despite the corporation tax hike, energy and fuel increases etc. If enough voters want to self harm what can you do.
Weststander
Well-known member
In overall cash flow terms:
On £75k taxable profits, the CT liability due increases from £14,250 to £16,125 = 13% increase in tax payable.
On £125k taxable profits, CT increases from £23,750 to £29,375 = 24% increase.
One CT rate, I don't care too much about the value, was the way to go. Transparent, easy to administer and more importantly it doesn't alter taxpayer behaviour. Now, vast numbers of businesses will do everything under the sun to stay under £50,001, some legitimate, some by evasion.
I believe the £100k limit still applies.
On when this applies, from BBC:
Working parents of two-year-olds will be able to access 15 hours of free care from April 2024.
From September 2024, 15 hours will be extended to all children from 9 months upwards.
And from September 2025 every single working parent of under-fives will have access to 30 hours free childcare per week.
Horses Arse
Well-known member
Right to do this though. Why should folk working through private companies as permanent staff have such tax breaks and contribute so little in NI.
Those paye folk are no longer protected like they were, so that's not the benefit it once was. Little difference in security between staff and contractors from what I see.
The only problem is that the extra contributions will be pilfered by the fruads and their mates rather than propping up the pillaged welfare state.
What a mess this country is in.
Weststander
Well-known member
I know people age 55 who dipped into drawdown just a little eg the pandemic, pay off a debt or a family crisis, who were working. Overnight the maximum they could invest in pensions every year fell from £40k to £4k. Destroying their hopes to do 'the right thing' and save for retirement.
I do realise why the MPAA was introduced, as people were cashing in their pensions, then immediately investing the lot in pensions saving 20%, 40% and 45% tax.
But it was a sledgehammer to crack a nut.
Weststander
Well-known member
You're focusing only on one man band limited companies.
More than half, that's over 1m active businesses, employ other staff.
nicko31
Well-known member
Horses Arse
Well-known member
I was, yes. Good point and I guess shows the lack of attention to impacts when delivering these budgets
Weststander
Well-known member
I've agreed with all your sentiments and posts about this issue. But Labour's spokesman outlined this as their policy 6 months ago. Has to be said.
nicko31
Well-known member
I'm not sure they committed to this across the board...
- Jul 10, 2003
- 27,751
Well obviously I don't understand all that stuff but Starmer's face was red and Hunt's wasn't, so it's 1/10 for Starmer, 9/10 for Hunt
Hunt loses a point for not being explicit enough as to exactly where he wanted to me to stand before I bend over and grasp my ankles
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mejonaNO12 aka riskit
Well-known member
I'm relieved the £1m cap on pension pots has been increased. I was beginning to feel the pinch there.
Hopefully, it will also encourage some senior GPs to stay in the surgery rather than retire to the golf course. There has been plenty of moaning from said GPs re their tax/pension arrangements.