This is why you never voter Labour unless you have nothing to lose or you have one of those gold plated index linked public sector pensions.
@harrypalmer6228
Күн бұрын
I can see the Chancellor taxing that shirt 100% ;-)
@simongray2484
Күн бұрын
@@harrypalmer6228 ha ha.. there should be tax breaks for shirts like this!
@AlfredLewis-p6t
Күн бұрын
@@simongray2484 " ... there should be tax breaks for shirts .." Check with Lord Ali, he may have one or two exotic shirts that fell off the back of a Lorry.
@OneAndOnlyMe
Күн бұрын
I'm not sure capping ISAs will generate much tax in the form of CGT as very few people use their full ISA allowance, and ISA millionaires are also very few overall. To generate much tax revenue from ISAs they would need to cap it at very low threshold, say £100k perhaps, as there are many people with £250k+ ISAs. Not sure how that will go down with ISA investors, especially those who have used the ISA to build retirement over a pension. If it happened, I think most people would withdraw the money and pay down their mortgages instead, or split their ISAs into a spouse's account. Of course, if you're using your ISA for retirement, then simple solution is to pick dividend paying ETFs or stocks, and then never sell the equities. Dividends in ISAs are likely to stay tax free, if they touch those then they've effectively killed of the ISA.
@johnporcella2375
Күн бұрын
I suspect that plenty fill their annual ISA allowance in any given year.
@johnporcella2375
2 күн бұрын
Bringing back a Lifetime Allowance would be extremely problematic and generate very little, so I do not expect any changes there. If Reeves did want to re-introduce a LTA it would create at least two problems. Firstly, what about those who have taken advantage of the current, limitless, regime and have amounts above whatever new limit is set? Presumably some sort of freezing so as not to punish them. So no tax would be generated from these people. Secondly, at what level is any new level set? If very high, then it will generate very little, if any tax. If too low, it could impact on the likes of hospital consultants with their NHS DB pension schemes, so that they retire early or refuse to do overtime as it impacts on their pension tax. An exemption for these medics would cause an uproar from those in other well-paid professions. My strong hunch is no LTA, despite the premature protestations by Labour after its abolition.
@OneAndOnlyMe
Күн бұрын
It's not £400k on the £1mn though is it? Because you have the £325k allowance. So it's 40% on the £675k, so it's actually only £270k IHT. I think it is fair to apply CGT on the timeframe from asset purchase to asset sale. The purpose of IHT is to encourage more gifting while people are alive. I think the £3,000 CGT allowance will go. All gains will be taxable going forward and future governments will keep that in place.
@simongray2484
Күн бұрын
@@OneAndOnlyMe example assumes there’s other taxable assets in the estate for IHT so on that asset the whole amount is subject to 40%
@johnporcella2375
Күн бұрын
No, if the CGT allowance was completely abolished it would drown HMRC with paperwork as anybody selling pretty much any asset would have to report each and every transaction.
@petersmith6520
Күн бұрын
What happened to their North Star of growing the economy ?
@adventureswithsci
Күн бұрын
What about the hint that they are considering reducing the pension tax free lump sum? Not sure whether it was the usual pre-budget release scare mongering, but there has been a suggestion that the tax free amount would reduce from £278k to £100K which might seriously impact anyone considering accessing this element of their fund within the next year.... Also, if that was implemented, it would probably take effect immediately otherwise there would be a sell off in the markets as those with decent pension funds would rush to grab the maximum tax free amount before it was reduced?
@KennethOram-ei9ff
13 сағат бұрын
Received mine in 2018.
@user-pd6pb2uq8r
Күн бұрын
Scrap the tax free allowance, make the poor pay in to the system, scrap pension tax relief, let it go in tax free as taxed on way out Add income, dividends, capital gains together all as "income" and tax it as income. Rather than having relief for each one
@jasonaris5316
Күн бұрын
And I bet forty years down the line they’ll tax any pension drawdowns If they remove tax relief on pensions this will cause chaos in the DB schemes especially the public sector schemes
@davidbaynes6768
Күн бұрын
What no-one mentions when talking about parity of CGT rates with income tax rates is the threshold. The CGT threshold has been squeezed down to £3k from £12.5k over a couple of years. So if parity with the rates is the goal, surely the CGT threshold has to go back up to match £12570.
@tancreddehauteville764
Күн бұрын
No it doesn't. Why should CGT taxpayers be entitled to an allowance at all? I would get rid of it completely.
@davidbaynes6768
Күн бұрын
@@tancreddehauteville764 Fair comment
@johnporcella2375
Күн бұрын
@tancreddehauteville764 To encourage risk taking by entrepreneurs.
@user-pd6pb2uq8r
Күн бұрын
Just add cgt to Income and tax it as income
@ashleyspencer3664
Күн бұрын
Fact is CGT has been lowered and doesn’t factor inflation doesn’t make it worth selling. No one will sell and use collateralised loans or invest in gold/silver coins
@bloodynorahvan2203
Күн бұрын
stay off the sauce Simon
@AlfredLewis-p6t
Күн бұрын
"There is talk of ISA millionaires, ..." The grifter Starmer wouldn't like to see anyone who earned and invested his/her own earned money to make a success of their investments. Far better if you have a Sugar Daddy to pay for your clothes.
@KennethOram-ei9ff
13 сағат бұрын
"We will continue to borrow to invest" - Gordon Brown. Will history repeat? Higher interest rates for longer, great for savers. Wealthy pensioners will be able to use the extra payment on savings to help pay the higher energy bill.
@tancreddehauteville764
Күн бұрын
I don't believe there will be a flat rate of pension tax relief. I would be very surprised if this was the case, but the 45% relief will certainly go. And the 45% tax rate threshold will likely be lowered to £100k a year.
@moshudoduwade219
7 сағат бұрын
Mr Gray. Labour is going to lose the next General Election!🤦♀️
@jaaguitar
Күн бұрын
The payroll software changes alone for the pensions relief changes mean they can't come in that quickly.
@JesterEric
Күн бұрын
Big landowners use trusts to avoid IHT. The land relief is more intended for family farms.
@br164
Күн бұрын
Can you timestamp your videos so I can skip to sections which apply to me
@moshudoduwade219
6 сағат бұрын
Tax! Tax! Tax! Labour is finished!🤦♀️
@jaaguitar
Күн бұрын
Public sector pensions need the fundamental overhaul.
@johnporcella2375
2 күн бұрын
I can see the Annual Allowance falling from £60,000 to £40,000 for pension contributions.
@simongray2484
2 күн бұрын
Yes agreed that could be on the cards
@369dabbler
Күн бұрын
@@simongray2484Ltd company pension contributions into directors sipp is currently ceilingless up to the ammount of profit the company makes?
@Cat10980
Күн бұрын
That would be a disgrace. Increasing the annual allowance was an excellent move, as was removing the million cap. But who can tell with these Liebour thieves.
@OneAndOnlyMe
Күн бұрын
But how many people actually make full use of the pension annual allowance, very few I'd say out of the 35mn working population.
@stuwhite2337
Күн бұрын
@@OneAndOnlyMe Lots of people do.
@patarciepaul
Күн бұрын
Eat the rich. Tax wealth and not work.
@OneAndOnlyMe
Күн бұрын
Pension lifetime allowance does make sense. Think about it, the purpose of a pension is to provide a retirement income. For a comfortable retirement you only need a pension pot of around £750,000, so not even a million. So, any money your pension is making beyond providing a comfortable retirement is making money with money, and that should be taxed.
@01menyou
Күн бұрын
@@OneAndOnlyMe why should it or anything be taxed? Why cooperate?
@tancreddehauteville764
Күн бұрын
A lot of people would be happy with £500k.
@adventureswithsci
Күн бұрын
Surely the amount depends on when you want to retire?
@johnporcella2375
Күн бұрын
Until recently, annuity returns were about 5%, so one million pot would only pay £50,000 before Income Tax. Not so great as you might think!
@tancreddehauteville764
Күн бұрын
@@johnporcella2375 You ignore the fact that 25% of that is tax free. £50k is plenty for a pensioner without a mortgage.
@ISAmillionaire7789
2 күн бұрын
Thank you Simon ! … keep us all updated …. Any changes in particular to SSAS ?
@johnporcella2375
2 күн бұрын
Maybe a cut in the Annual Allowance.
@simongray2484
2 күн бұрын
Any generic changes to the pensions regime would also apply to SSAS… I’m not predicting any changes to the nuances of SSAS in particular such as loan backs
@01menyou
Күн бұрын
Can you see now why we all should be holding bitcoin? Impossible to apply CGT, inheritance tax, completely free from capital control.
@jackhawkins9026
Күн бұрын
So when you sell your btc and send the money to your bank and they ask where it came from, what are you going to say?
@OneAndOnlyMe
Күн бұрын
Crypto is an equity, so it's taxable.
@01menyou
Күн бұрын
@OneAndOnlyMe a crypto is not an equity, it is a property. One owns without liability the crypto. An equity is a contract that evidences a residual interest in an asset after deductions. Further more, what cannot be reached cannot be taxed. Cryptos are invisible to capital flight. You miss the entire point of, and consequent attack on, crypto. Bitcoin is an untaxable property because, so long as you own the private keys, you could, should you be inclined, destroy the access to the value. A mentality of submitting to taxing is why we are in this mess. The same could be said of gold and silver, albeit without the easy immunity to capital flight.
@01menyou
Күн бұрын
@@jackhawkins9026 you'd be a fool to sell into fiat, ever. That's the whole point you miss.
@Thehungrywolf999
2 күн бұрын
Changing pension contributions tax relief might be a little too complicated to implement. And it's going to really annoy the doctors !
@petersmith6520
Күн бұрын
Doctors could be exempted just like Sir Keir was in 2013 on his gold plated civil service pension
@albedo0point39
Күн бұрын
Agree… salary sacrifice is too complicated to change without more than a year’s run-up.
@Thehungrywolf999
Күн бұрын
@@petersmith6520 ha ! But then the argument would ensure - what is the definition of a doctor and who comes under that category. I don't see it happening
@johnporcella2375
Күн бұрын
@petersmith6520 Doubtful. Other professions would complain. What doctors? Just those who work in the NHS? What about those who work in private practice? Or do both? What about top paid nurses? Or other non-medical hospital staff who are in the NHS DB pension scheme?
@bikusmoto59
Күн бұрын
Tax rises to pay for Zelensky's army.
@mrdan7740
Күн бұрын
And to house and feed thousands of illegal immigrants. It’s a disgrace the way this country is run. Majority of taxes paid is just wasted, and not spent in the interests of the ordinary UK citizen.
@johnporcella2375
Күн бұрын
Good. Unless you want to have to learn to speak Russian.
@JesterEric
Күн бұрын
He needs warm blood
@davidg9057
Күн бұрын
Already watering down the non-dom threat. Also, with tax relief on pensions there is no way they can bring it in on day 1 so everyone can put 60 in this year if they have the cash. The only people who will really lose out in the long term are basic rate taxpayers who will then move into a higher rate later on.
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