Yes, but inheritance tax is a charge on estates. A company, by definition, can never enter into anything equivalent to the affairs of a deceased testator.
And individuals are not companies - unless your name is Ken Livingstone.
Reading the BBC article, do I need to get married to benefit from this or do I just need my parents to not get divorced :P ?
That depends on your parents' will, really. They might not want to leave a valuable asset to an international playboy; you might be well advised to settle down.
Poorer? But the point is it is going towards better roads and all those bores who bleat about the 'duty' not being a road fund tax can now shut up. Time to tax cyclists.
He has unblocked me on Twitter. Though his speeding exploits appeared on Top Gear.
www.youtube.com/watch?v=mmT1jXKEwQU
I know he has bloody 20mph zoned frigging everywhere, when I visited a couple of months ago. Also noticed parking restrictions everywhere and that the Downs are now one massive car park.
Dividend taxation sounds much more complex, despite being sold as a simplefication...
It's much simpler for those that earn less than 5k pa from divis.
How can it be simpler than currently: Either within personal allowance, 0% (well, 10% rate but coming with 10% tax credit) if under 40% tax rate, and within income tax rates after that...
Dividend taxation sounds much more complex, despite being sold as a simplefication...
It's much simpler for those that earn less than 5k pa from divis.
How can it be simpler than currently: Either within personal allowance, 0% (well, 10% rate but coming with 10% tax credit) if under 40% tax rate, and within income tax rates after that...
Wouldn't work with Corporation Tax rates below 20%
Dividend taxation sounds much more complex, despite being sold as a simplefication...
It's much simpler for those that earn less than 5k pa from divis.
How can it be simpler than currently: Either within personal allowance, 0% (well, 10% rate but coming with 10% tax credit) if under 40% tax rate, and within income tax rates after that...
I earn about £3k pa from divis - I have to do a tax return and pay the 40% rate difference.
Oh, I'm sure it was all in the election campaign and manifesto just a month back. It's not as if we spent the entire campaign debating Ed eating Nicola's bacon sandwiches.
Yes, but inheritance tax is a charge on estates. A company, by definition, can never enter into anything equivalent to the affairs of a deceased testator.
In the not-so-distant future companies will be artificially intelligent life-forms. They'll probably reproduce sexually by sharing articles of incorporation with other companies. I'm glad Osborne's thinking ahead.
No it doesn't, he specifically said that those who downsize don't lost out.
That relief is tapered, and, in any event, it has no application where a person has a choice of buying a larger property to avoid inheritance tax, or to invest in productive economic activity which is taxable as personalty.
Dividend taxation sounds much more complex, despite being sold as a simplefication...
It's much simpler for those that earn less than 5k pa from divis.
Sounds like the aim is to stop the tax dodge where people form companies and pay out as dividends rather than salary. Have to do my sums to see how it affects my own finances.
Dividend taxation sounds much more complex, despite being sold as a simplefication...
It's much simpler for those that earn less than 5k pa from divis.
How can it be simpler than currently: Either within personal allowance, 0% (well, 10% rate but coming with 10% tax credit) if under 40% tax rate, and within income tax rates after that...
I earn about £3k pa from divis - I have to do a tax return and pay the 40% rate difference.
I will no longer have to do either.
Ohhh, its another pensioner/small shareholder boost isn't it. Gotcha.
I came across an interesting pair of statistics recently. I'd be interested in people's guesses as to the correct answers to these two questions (no Googling!):
1. How often does the average house change hands (i.e. number of years)?
2. What proportion of housing transactions are new-build?
[edit: extraneous blockquote tag removed]
When I was looking at auction properties, I had to delve thru the property history to find out if the person auctioning the property actually owned it (surprisingly, there were legitimate doubts about whether two of them actually did!). I was taken aback by the number of houses that are kept in the family: grandparents buy in the 1920s, leave to their son, who leaves to their sister, who leaves to her son, and so on. The impression I came away with was that the majority of property in England and Wales is simply never sold in the conventional sense, it's kept in the family instead. Is my impression correct?
Dividend taxation sounds much more complex, despite being sold as a simplefication...
It's much simpler for those that earn less than 5k pa from divis.
Sounds like the aim is to stop the tax dodge where people form companies and pay out as dividends rather than salary. Have to do my sums to see how it affects my own finances.
I guess he has to do that because Britain has this ludicrously huge difference between the tax you pay on salary and the tax you pay on dividends, and he's making it even ludicrouslier huger.
Dividend taxation sounds much more complex, despite being sold as a simplefication...
It's much simpler for those that earn less than 5k pa from divis.
Sounds like the aim is to stop the tax dodge where people form companies and pay out as dividends rather than salary. Have to do my sums to see how it affects my own finances.
I guess he has to do that because Britain has this ludicrously huge difference between the tax you pay on salary and the tax you pay on dividends, and he's making it even ludicrouslier huger.
As I've argued ad nauseum, the difference between tax on salary and tax on dividends is because if you're receiving dividends you are:
a) risking capital (which will already have been taxed at some point) b) not receiving the same employment benefits as the employed
I guess he has to do that because Britain has this ludicrously huge difference between the tax you pay on salary and the tax you pay on dividends, and he's making it even ludicrouslier huger.
The money that constitutes dividends has already been charged to corporation tax.
We need to remember that at the start of the budget Osborne pointed out that over the parliament there would be '£37bn of fiscal consolidation'. Thats a big figure and anyone trying to pretend there is any weakness in the govts approach needs a pretty convincing argument.
I don't think I will be able to listen to BBC or read the Guardian for the next 3 months after this budget...the screaming is going to be like nothing heard since the days of Thatcher.
This dividend tax thing is going to hurt a lot of self-employed folk, I imagine.
I think that's the point. "Self-employed" anyway.
The trouble is that people like me whose type of work means I have to move from one client to another continuously on short term contracts have no choice but to be self employed.
I have no idea what these changes mean but I guess from what people are saying here that it is going to make life much harder for people like me.
This dividend tax thing is going to hurt a lot of self-employed folk, I imagine.
I think that's the point. "Self-employed" anyway.
The trouble is that people like me whose type of work means I have to move from one client to another continuously on short term contracts have no choice but to be self employed.
I have no idea what these changes mean but I guess from what people are saying here that it is going to make life much harder for people like me.
Depends - do you pay yourself via dividends or wages ?
Dividend taxation sounds much more complex, despite being sold as a simplefication...
It's much simpler for those that earn less than 5k pa from divis.
Sounds like the aim is to stop the tax dodge where people form companies and pay out as dividends rather than salary. Have to do my sums to see how it affects my own finances.
I guess he has to do that because Britain has this ludicrously huge difference between the tax you pay on salary and the tax you pay on dividends, and he's making it even ludicrouslier huger.
As I've argued ad nauseum, the difference between tax on salary and tax on dividends is because if you're receiving dividends you are:
a) risking capital (which will already have been taxed at some point) b) not receiving the same employment benefits as the employed
c) are paying Corporation Tax.
That is being reduced, you need to look at it as a whole package of reforms.
This dividend tax thing is going to hurt a lot of self-employed folk, I imagine.
I think that's the point. "Self-employed" anyway.
The trouble is that people like me whose type of work means I have to move from one client to another continuously on short term contracts have no choice but to be self employed.
I have no idea what these changes mean but I guess from what people are saying here that it is going to make life much harder for people like me.
As long as you pay yourself via wages rather than using the dividends wheeze this isn't going to change anything.
This dividend tax thing is going to hurt a lot of self-employed folk, I imagine.
I think that's the point. "Self-employed" anyway.
The trouble is that people like me whose type of work means I have to move from one client to another continuously on short term contracts have no choice but to be self employed.
I have no idea what these changes mean but I guess from what people are saying here that it is going to make life much harder for people like me.
Depends - do you pay yourself via dividends or wages ?
Dividend taxation sounds much more complex, despite being sold as a simplefication...
It's much simpler for those that earn less than 5k pa from divis.
Sounds like the aim is to stop the tax dodge where people form companies and pay out as dividends rather than salary. Have to do my sums to see how it affects my own finances.
I guess he has to do that because Britain has this ludicrously huge difference between the tax you pay on salary and the tax you pay on dividends, and he's making it even ludicrouslier huger.
As I've argued ad nauseum, the difference between tax on salary and tax on dividends is because if you're receiving dividends you are:
a) risking capital (which will already have been taxed at some point) b) not receiving the same employment benefits as the employed
c) are paying Corporation Tax.
That is being reduced, you need to look at it as a whole package of reforms.
And changes to thresholds too. My accountant is going to earn his fee the next couple of years/
Comments
Decisions, Decisions.
Covers, South Yorkshire, parts of Derbyshire and Nottinghamshire
https://en.wikipedia.org/wiki/Sheffield_City_Region
www.youtube.com/watch?v=mmT1jXKEwQU
YIPPEE !
But the point is it is going towards better roads and all those bores who bleat about the 'duty' not being a road fund tax can now shut up. Time to tax cyclists.
Shouldn't they just sell their BTL properties and buy Vodafone shares instead now though ?
Keep the life support machine on till April 17th 2016 :P
I will no longer have to do either.
Ohhh, its another pensioner/small shareholder boost isn't it. Gotcha.
Less handy for owners of small ltd companies.
Guardianistas will be going into meltdown.
When I was looking at auction properties, I had to delve thru the property history to find out if the person auctioning the property actually owned it (surprisingly, there were legitimate doubts about whether two of them actually did!). I was taken aback by the number of houses that are kept in the family: grandparents buy in the 1920s, leave to their son, who leaves to their sister, who leaves to her son, and so on. The impression I came away with was that the majority of property in England and Wales is simply never sold in the conventional sense, it's kept in the family instead. Is my impression correct?
a) risking capital (which will already have been taxed at some point)
b) not receiving the same employment benefits as the employed
@MaxPB will be pleased.
Social rents reduced by 1% for next 4yrs.
I have no idea what these changes mean but I guess from what people are saying here that it is going to make life much harder for people like me.
29m paying less tax
That is being reduced, you need to look at it as a whole package of reforms.
2% for Defence each year.
My accountant is going to earn his fee the next couple of years/