| Inheritance Tax 13:04 - Nov 18 with 4638 views | johnlangy |
There is talk about the possibility that Jeremy Hunt will abolish this in the upcoming Autumn statement.
Can someone please explain to me why this is such a popular idea with so many ordinary people ? |  | | |  |
| Inheritance Tax on 13:22 - Nov 18 with 3220 views | Wingstandwood |
Because many people see the obscene unfairness knowing that someone who has saved and been responsible and thrifty for decades, could end have up having it taken away if that someone had to go into a nursing home, because that person would have to pay for their own care at £1,200 + a week anyhow.
Inheritance tax is a green light for people to p1ss their money up against the wall, in fact I have a relative who has every intent to blow all his savings on extravagance.
And people who pay it are often property rich and financially poor like a relative of mine living in Essex. That property was the proceeds of years of sacrifice, self employment stress and hard manual labour in the building trade. So why F-ing bother hey!!!! |  |
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| Inheritance Tax on 13:40 - Nov 18 with 3182 views | Whiterockin |
| Inheritance Tax on 13:22 - Nov 18 by Wingstandwood |
Because many people see the obscene unfairness knowing that someone who has saved and been responsible and thrifty for decades, could end have up having it taken away if that someone had to go into a nursing home, because that person would have to pay for their own care at £1,200 + a week anyhow.
Inheritance tax is a green light for people to p1ss their money up against the wall, in fact I have a relative who has every intent to blow all his savings on extravagance.
And people who pay it are often property rich and financially poor like a relative of mine living in Essex. That property was the proceeds of years of sacrifice, self employment stress and hard manual labour in the building trade. So why F-ing bother hey!!!! |
The biggest bugbear for me is that there is nothing in place to stop it being paid twice. If a very elderly parent dies and you have to pay inheritance tax, invest the inheritance and pass away, your next of kin could end up paying tax on it again.
Plus 40% is just to high. There are ways to minimise the liability and increase the threshold but its still unfair on those who have worked hard, built up a business and employed people through their life. |  | | |
| Inheritance Tax on 13:57 - Nov 18 with 3145 views | Wingstandwood |
| Inheritance Tax on 13:40 - Nov 18 by Whiterockin |
The biggest bugbear for me is that there is nothing in place to stop it being paid twice. If a very elderly parent dies and you have to pay inheritance tax, invest the inheritance and pass away, your next of kin could end up paying tax on it again.
Plus 40% is just to high. There are ways to minimise the liability and increase the threshold but its still unfair on those who have worked hard, built up a business and employed people through their life. |
What makes matters even worse is the taxation hasn't even improved things! In fact the U.K is going backwards at a rate of knots. It’s staggering!!!!
People cannot get a G.P appointment, cannot get an NHS dentist, cannot get on a bus cos there isn’t one anymore, have limited access to zero access to other services that once existed etc.
Aye, don't worry if you're self employed and require immediate/emergency access/resolve from HRMC? You wont because the numbers have been cut drastically to surreal low manpower levels. Buy hey! If there is 40% inheritance to be paid they are there quicker than greased lightening.  | |
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| Inheritance Tax on 14:02 - Nov 18 with 3134 views | SullutaCreturned |
Maybe they should just raise the threshold? Set it at 5 million say, so only the uber rich will pay any.
Or maybe have a staggered/graded percentage from 2 million up?
I think 325000 is far too low considering the way property prices have risen, it drags a lot of peole in.
When my sster died I was staggered to discover that her half of the estate included an house estimate of 660k for a 3 bed in Whitchurch, so 330k staright off it it sells for the top price. Nobody would say they were rich, nor poor mind. | | | |
| Inheritance Tax on 14:08 - Nov 18 with 3129 views | Wingstandwood |
| Inheritance Tax on 14:02 - Nov 18 by SullutaCreturned |
Maybe they should just raise the threshold? Set it at 5 million say, so only the uber rich will pay any.
Or maybe have a staggered/graded percentage from 2 million up?
I think 325000 is far too low considering the way property prices have risen, it drags a lot of peole in.
When my sster died I was staggered to discover that her half of the estate included an house estimate of 660k for a 3 bed in Whitchurch, so 330k staright off it it sells for the top price. Nobody would say they were rich, nor poor mind. |
And that is why inheritance tax is so utterly appalling! | |
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| Inheritance Tax on 14:20 - Nov 18 with 3114 views | Whiterockin |
| Inheritance Tax on 14:02 - Nov 18 by SullutaCreturned |
Maybe they should just raise the threshold? Set it at 5 million say, so only the uber rich will pay any.
Or maybe have a staggered/graded percentage from 2 million up?
I think 325000 is far too low considering the way property prices have risen, it drags a lot of peole in.
When my sster died I was staggered to discover that her half of the estate included an house estimate of 660k for a 3 bed in Whitchurch, so 330k staright off it it sells for the top price. Nobody would say they were rich, nor poor mind. |
The £325,000 is raised to £500,000 if the property passes directly to children or grandchildren. If a couple change the house ownership from both owning the property jointly to each owning 50% you can raise the threshold to £1M. This needs to be done properly through a solicitor but can be worthwhile as it can also reduce any nursing home liability. | | | |
| Inheritance Tax on 14:28 - Nov 18 with 3085 views | onehunglow |
| Inheritance Tax on 13:22 - Nov 18 by Wingstandwood |
Because many people see the obscene unfairness knowing that someone who has saved and been responsible and thrifty for decades, could end have up having it taken away if that someone had to go into a nursing home, because that person would have to pay for their own care at £1,200 + a week anyhow.
Inheritance tax is a green light for people to p1ss their money up against the wall, in fact I have a relative who has every intent to blow all his savings on extravagance.
And people who pay it are often property rich and financially poor like a relative of mine living in Essex. That property was the proceeds of years of sacrifice, self employment stress and hard manual labour in the building trade. So why F-ing bother hey!!!! |
A post everyone should read and reflect on.
People working hard for 50 years ,saving,being sensible not having kids without being able to support them and not clogging up the NHS with diseases totally avoidable,
Yeah,the bustards .
The rich
Eh. | |
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| Inheritance Tax on 14:35 - Nov 18 with 3068 views | Wingstandwood |
| Inheritance Tax on 14:28 - Nov 18 by onehunglow |
A post everyone should read and reflect on.
People working hard for 50 years ,saving,being sensible not having kids without being able to support them and not clogging up the NHS with diseases totally avoidable,
Yeah,the bustards .
The rich
Eh. |
And what people should also reflect on also is the real super rich who should be paying it? Aren't paying it anyhow i.e. Bermuda, Cayman Islands, British Virgin Islands and all that jazz!!!! | |
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| Inheritance Tax on 14:40 - Nov 18 with 3057 views | onehunglow |
| Inheritance Tax on 14:35 - Nov 18 by Wingstandwood |
And what people should also reflect on also is the real super rich who should be paying it? Aren't paying it anyhow i.e. Bermuda, Cayman Islands, British Virgin Islands and all that jazz!!!! |
I’ve always thought the super rich look after themselves whilst the super poor sees the State keep them.
Everyone else gets shafted and pays for both the above . | |
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| Inheritance Tax on 14:56 - Nov 18 with 3023 views | Wingstandwood |
| Inheritance Tax on 14:40 - Nov 18 by onehunglow |
I’ve always thought the super rich look after themselves whilst the super poor sees the State keep them.
Everyone else gets shafted and pays for both the above . |
IMO 'world governance' is a racket that looks after the super rich. That is why there has never been any unified policy to sanction coutries that provide tax haven status.
All those powerful atendees in Washington, Westminster, EU Brussels, UN headquarters New York, G7, WEF etc? Don't do much when it comes to mentioning all those hundreds of billions being stashed away tax free every year. Meanwhile prudent self employed guy MUST expect a major hit!!!! | |
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| Inheritance Tax on 15:02 - Nov 18 with 3007 views | jackal |
Because you scrimp and save to leave stuff for your kids and when you die the thieving ****s take a large amount in tax on money on which you've already paid tax. |  | | |
| Inheritance Tax on 16:27 - Nov 18 with 2965 views | Gwyn737 |
| Inheritance Tax on 14:02 - Nov 18 by SullutaCreturned |
Maybe they should just raise the threshold? Set it at 5 million say, so only the uber rich will pay any.
Or maybe have a staggered/graded percentage from 2 million up?
I think 325000 is far too low considering the way property prices have risen, it drags a lot of peole in.
When my sster died I was staggered to discover that her half of the estate included an house estimate of 660k for a 3 bed in Whitchurch, so 330k staright off it it sells for the top price. Nobody would say they were rich, nor poor mind. |
Just being devil’s advocate, but it’s the rise in house prices that has entrenched inequality more than anything else.
Many will have worked incredibly hard and scrimped and saved but will have also benefited from being fortunate in the timing of buying their house.
I’m not advocating for the tax btw, I just think if there’s room for tax cuts, maybe the top 4% of inheritances or whatever it is isn’t the place to start. | | | |
| Inheritance Tax on 17:15 - Nov 18 with 2920 views | onehunglow |
| Inheritance Tax on 16:27 - Nov 18 by Gwyn737 |
Just being devil’s advocate, but it’s the rise in house prices that has entrenched inequality more than anything else.
Many will have worked incredibly hard and scrimped and saved but will have also benefited from being fortunate in the timing of buying their house.
I’m not advocating for the tax btw, I just think if there’s room for tax cuts, maybe the top 4% of inheritances or whatever it is isn’t the place to start. |
I won’t be delis advocate either
Why not encourage people to live as per their means,be thrifty,look forward to future challenges ,provide for their old age and not penalise them,as we do.
The way we treat old people is beyond bad. It defines us all.
People should never have to sell their home because they can’t look after themselves or have no family . At least the rich have to provide their own care ,and they do. | |
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| Inheritance Tax on 17:20 - Nov 18 with 2905 views | Gwyn737 |
| Inheritance Tax on 17:15 - Nov 18 by onehunglow |
I won’t be delis advocate either
Why not encourage people to live as per their means,be thrifty,look forward to future challenges ,provide for their old age and not penalise them,as we do.
The way we treat old people is beyond bad. It defines us all.
People should never have to sell their home because they can’t look after themselves or have no family . At least the rich have to provide their own care ,and they do. |
You could argue that the rich are those who have to pay inheritance tax 🤷🏻.
Not the very wealthy mind, they’ll find away around it. | | | |
| Inheritance Tax on 17:31 - Nov 18 with 2888 views | onehunglow |
| Inheritance Tax on 17:20 - Nov 18 by Gwyn737 |
You could argue that the rich are those who have to pay inheritance tax 🤷🏻.
Not the very wealthy mind, they’ll find away around it. |
I am eligible and do not in any way consider myself rich .
Rich is a term that is now plainly misused,like many others . | |
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| Inheritance Tax on 18:13 - Nov 18 with 2856 views | majorraglan |
Some really good points made in this thread.
The threshold for inheritance tax was £215,000 in 1997 and it increased steadily in the late 1990’s and naughtiest up to £325,000 in April 2009. The Cameron /Osborne government then froze the limit and it’s not gone up since. Had it kept pace with inflation, the allowance would now be around £515k.
My personal view is that inheritance tax should remain, but the threshold should be dramatically increased. I read something a few months ago that the super rich didn’t pay IHT because their assets were all in trusts etc. the people who invariably got caught in IHT were the people who’d worked hard, built a decent nest egg but not a nest egg that enabled them to tie up assets off shore in trusts etc.
There needs to be a massive overhaul of tax, companies who register in places like Ireland and the Caribbean tax havens etc but trade here should be taxed on their turnover in this country if they don’t want to pay tax here. | | | |
| Inheritance Tax on 18:51 - Nov 18 with 2831 views | jack247 |
| Inheritance Tax on 17:20 - Nov 18 by Gwyn737 |
You could argue that the rich are those who have to pay inheritance tax 🤷🏻.
Not the very wealthy mind, they’ll find away around it. |
I wouldn’t say so. Even at £500k, the vast majority of homeowners in London must be over the threshold before you even look at their bank accounts or any other assets.
Even in Swansea, I’d guess average house price is around £200k. Plenty of people in their 70s and 80s who bought 50 years ago, worked normal jobs and put a bit aside throughout their lives, who now find themselves with a problem.
I think the principle is probably ok, but the thresholds are decades out of date.
Having said that, I still think there’s something morally wrong about being taxed for dying. Not all, but most ‘rich’ people have worked hard for it. | | | |
| Inheritance Tax on 18:56 - Nov 18 with 2798 views | trampie |
| Inheritance Tax on 18:51 - Nov 18 by jack247 |
I wouldn’t say so. Even at £500k, the vast majority of homeowners in London must be over the threshold before you even look at their bank accounts or any other assets.
Even in Swansea, I’d guess average house price is around £200k. Plenty of people in their 70s and 80s who bought 50 years ago, worked normal jobs and put a bit aside throughout their lives, who now find themselves with a problem.
I think the principle is probably ok, but the thresholds are decades out of date.
Having said that, I still think there’s something morally wrong about being taxed for dying. Not all, but most ‘rich’ people have worked hard for it. |
"I think the principle is probably ok, but the thresholds are decades out of date."
*This* |  |
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| Inheritance Tax on 19:42 - Nov 18 with 2795 views | Gwyn737 |
| Inheritance Tax on 15:02 - Nov 18 by jackal |
Because you scrimp and save to leave stuff for your kids and when you die the thieving ****s take a large amount in tax on money on which you've already paid tax. |
Not exactly. You’ve not been taxed on the increase of your house price.
Let’s be generous and say the average age you pass on today is 80 and you bought your first house aged 30. Average uk house price then - £8,794. Average house price now - £291,395.
So we’re looking at tax free earnings of £280,000 odd pounds for doing precisely nowt.
I appreciate there are additional factors and understandable concerns, but in many cases the scrimping and saving is far outweighed by house equity.
Bearing in mind it’s unlikely youngsters will benefit in this way, it entrenches inequality. | | | |
| Inheritance Tax on 20:10 - Nov 18 with 2761 views | onehunglow |
| Inheritance Tax on 19:42 - Nov 18 by Gwyn737 |
Not exactly. You’ve not been taxed on the increase of your house price.
Let’s be generous and say the average age you pass on today is 80 and you bought your first house aged 30. Average uk house price then - £8,794. Average house price now - £291,395.
So we’re looking at tax free earnings of £280,000 odd pounds for doing precisely nowt.
I appreciate there are additional factors and understandable concerns, but in many cases the scrimping and saving is far outweighed by house equity.
Bearing in mind it’s unlikely youngsters will benefit in this way, it entrenches inequality. |
What entrenches inequality is education and the Jack of it.
We have a country that has kids wanting bling ,the cars,the girls,the pad with as little effort as possible
We have kept down generations by not making education,indeed going to school,as cool.
We are all to blame | |
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| Inheritance Tax on 20:18 - Nov 18 with 2753 views | Whiterockin |
| Inheritance Tax on 18:13 - Nov 18 by majorraglan |
Some really good points made in this thread.
The threshold for inheritance tax was £215,000 in 1997 and it increased steadily in the late 1990’s and naughtiest up to £325,000 in April 2009. The Cameron /Osborne government then froze the limit and it’s not gone up since. Had it kept pace with inflation, the allowance would now be around £515k.
My personal view is that inheritance tax should remain, but the threshold should be dramatically increased. I read something a few months ago that the super rich didn’t pay IHT because their assets were all in trusts etc. the people who invariably got caught in IHT were the people who’d worked hard, built a decent nest egg but not a nest egg that enabled them to tie up assets off shore in trusts etc.
There needs to be a massive overhaul of tax, companies who register in places like Ireland and the Caribbean tax havens etc but trade here should be taxed on their turnover in this country if they don’t want to pay tax here. |
There needs to be a massive overall as you say. How would people feel if they passed away not long after retirement. No pension passed on to family and their retirement pot was taxed at 40% instead of being passed onto family in full. Working your life and the benefits are taxed after paying tax all your working life. Those younger may not think of it now now it could will happen and it has. [Post edited 18 Nov 2023 20:19]
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| Inheritance Tax on 20:24 - Nov 18 with 2730 views | onehunglow |
We seem to be targeting those who have
Grafted
Been thrifty
Creative
Forward planning
We are supposed to be encouraging people to start up businesses and make money
Weird or what.
What about those who simply,ya see the State as provider | |
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| Inheritance Tax on 21:14 - Nov 18 with 2685 views | SullutaCreturned |
| Inheritance Tax on 18:13 - Nov 18 by majorraglan |
Some really good points made in this thread.
The threshold for inheritance tax was £215,000 in 1997 and it increased steadily in the late 1990’s and naughtiest up to £325,000 in April 2009. The Cameron /Osborne government then froze the limit and it’s not gone up since. Had it kept pace with inflation, the allowance would now be around £515k.
My personal view is that inheritance tax should remain, but the threshold should be dramatically increased. I read something a few months ago that the super rich didn’t pay IHT because their assets were all in trusts etc. the people who invariably got caught in IHT were the people who’d worked hard, built a decent nest egg but not a nest egg that enabled them to tie up assets off shore in trusts etc.
There needs to be a massive overhaul of tax, companies who register in places like Ireland and the Caribbean tax havens etc but trade here should be taxed on their turnover in this country if they don’t want to pay tax here. |
You don't have to risk IHT on your house, you can sign it into trust for your kids or just sign it over completely once the mortgage is paid and as long as you live 7 years after you do that they don't pay tax, at least that used to be the rule.
There are things you can do to keep taxes down, legal things, just go see a good lawyer. | | | |
| Inheritance Tax on 21:26 - Nov 18 with 2672 views | Whiterockin |
| Inheritance Tax on 21:14 - Nov 18 by SullutaCreturned |
You don't have to risk IHT on your house, you can sign it into trust for your kids or just sign it over completely once the mortgage is paid and as long as you live 7 years after you do that they don't pay tax, at least that used to be the rule.
There are things you can do to keep taxes down, legal things, just go see a good lawyer. |
This is true but you have to include major safeguards, otherwise funds may not necessarily go where you want. | | | |
| Inheritance Tax on 00:51 - Nov 19 with 2607 views | BryanSwan |
| Inheritance Tax on 14:02 - Nov 18 by SullutaCreturned |
Maybe they should just raise the threshold? Set it at 5 million say, so only the uber rich will pay any.
Or maybe have a staggered/graded percentage from 2 million up?
I think 325000 is far too low considering the way property prices have risen, it drags a lot of peole in.
When my sster died I was staggered to discover that her half of the estate included an house estimate of 660k for a 3 bed in Whitchurch, so 330k staright off it it sells for the top price. Nobody would say they were rich, nor poor mind. |
They are getting it popular with the general population so that they can give their mates the real benefit. The top end will make millions from this.
As you've said surely a % based on the value of the estate should be used, doesnt even need to start from millions and would provide some relief to lower bracket.
325k at 5%
500k at 10%
1m at 15%
Etc. | |
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