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Increased taxation for the older generation?
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Lindisfarne
Posted: 21 June 2021 15:54:44(UTC)
#447

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I think I would just increase income tax, it brings in vast amounts.
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dd on 21/06/2021(UTC), Tim D on 21/06/2021(UTC)
Tug Boat
Posted: 21 June 2021 16:05:40(UTC)
#449

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It’s not the older generation this affects, it’s the young.

It looks like a tax on pensioners, but the young will soon be there.

Governments take away stuff that us oldies have had, that the kids will never have.

MIRAS, 40% tax rate…

Kids can’t save as much into a pension, the 40% tax rate hits earlier, reduction in child benefit for households earning 50k+

I’ve had all this. My SIPPis held in trust by HL, it can’t be touched.

It really is not fair on our youth.
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4 users thanked Tug Boat for this post.
Keith Cobby on 21/06/2021(UTC), Sara G on 21/06/2021(UTC), DIY Investing on 21/06/2021(UTC), ALAN P on 21/06/2021(UTC)
Richard T
Posted: 21 June 2021 16:06:49(UTC)
#442

Joined: 25/02/2017(UTC)
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AndyJ7;173957 wrote:
A reduction to pension tax relief would be pretty devastating for me.

My wife due to taking on our childcare responsibilities is a lower earning/non tax payer with next to no pension savings so we are very reliant on my pension savings, and the 41% (SRIT + Salary Sacrifice) I get over say 20%, is massive over the next 30 years, perhaps even the difference between retiring comfortably and retiring rather miserably!


No sure I understand this... childcare responsibilities for thirty years... ?

Personally, a mid-rate for pension relief seems sensible to me. It has often been observed here that many/most who benefit from 40% tax relief will be able to avoid paying 40% tax in retirement. Plus there's the added incentive to save for 20% tax payers, who surely are most likely to end up needing pension credits, etc., currently.
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Keith Cobby
Posted: 21 June 2021 16:23:47(UTC)
#450

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Reducing the LTA is a retrospective wealth tax, ie confiscation. Reducing this and/or the annual contribution limit will do great harm to the CP but more importantly have unintended consequences, such as affecting the pension/tax position of higher paid NHS and other public sector employees. This is being floated in the media so that smaller changes will be able to pass. Higher earners are already over taxed, with marginal rates of over 60%. I miss Nigel Lawson.
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2 users thanked Keith Cobby for this post.
NoMoreKickingCans on 21/06/2021(UTC), Tim D on 21/06/2021(UTC)
dd
Posted: 21 June 2021 16:23:54(UTC)
#448

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Lindisfarne;173964 wrote:
I think I would just increase income tax, it brings in vast amounts.



I like the simplicity of this, and it's not as if old folk don't pay it, so it's not a tax exclusively on the young. Anyone with a large or several small pensions will be contributing. The incentives to save into a pension, at the same time as investing in industry maybe, remain.
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2 users thanked dd for this post.
NoMoreKickingCans on 21/06/2021(UTC), john brace on 28/06/2021(UTC)
philip gosling
Posted: 21 June 2021 16:31:20(UTC)
#451

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Unfair on our Youth - Really?


Pensioners got -----------

No furlough Relief
No Grants
No Business Rate Reductions
No Credit card /mortgage relief (not in debt now)
No rent protection (own home or pay rent on time)
No saving of commute/coffee/lunch by working from home
No interest on savings
No low mortgage rate (no mortgage)


BUT !!!!!! Pensioners did Get Gov /BBC Present this year

Got extra £159 Tax - BBC TV Licence
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1 user thanked philip gosling for this post.
JohnW on 22/06/2021(UTC)
dd
Posted: 21 June 2021 17:06:29(UTC)
#452

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I agree Philip Gosling! I said "it's *NOT* a tax exclusively on the young." ^^
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NoMoreKickingCans
Posted: 21 June 2021 17:44:58(UTC)
#453

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Income tax is the correct way.

For about the last 25 years parties have been trying to promise the electorate they won’t put up income tax. It is all lies, because they just have to put up stealth taxes instead.

I agree they are just softening people up for smaller changes than those being floated in the papers. It is now a standard part of political spin - pre announce something really bad - then the idiot population will accept what you announce because it is not as bad as feared. Also when something is unpopular - announce a delay, or that it will not go ahead, or there has been a rethink - it makes the voices of opposition die down and go away. Then later you just introduce it anyway, quite suddenly before opposition can build again. Everything is now deception.
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4 users thanked NoMoreKickingCans for this post.
Keith Cobby on 21/06/2021(UTC), Newbie on 21/06/2021(UTC), dd on 21/06/2021(UTC), Tim D on 21/06/2021(UTC)
DIY Investing
Posted: 21 June 2021 18:50:59(UTC)
#454

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Taxation never works. There are maybe some things the government could do around pension tax relief, but that is a tax on the young, and it will likely just exacerbate the future retirement crisis. It’s also small beer.

The only way to get out of this mess is to cut all unproductive public spending right down to the bare minimum, use some of the savings to cut the deficit to zero and use the rest to invest (not spend) for real economic growth.
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2 users thanked DIY Investing for this post.
dd on 21/06/2021(UTC), Captain Slugwash on 21/06/2021(UTC)
NoMoreKickingCans
Posted: 21 June 2021 19:30:28(UTC)
#457

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The first step out of this mess is to TURN THE BLOODY TAPS OFF !

Why the hell are they still paying people to do nothing productive with Furlough ?
Why the hell are they stopping whole industries from trading properly - reducing GDP and tax take ?
Why the hell are they buying vaccine boosters if the vaccines are 95% effective ?
Why are they spending money on introducing ID cards ?

Johnson is economically illiterate.
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1 user thanked NoMoreKickingCans for this post.
huudi on 22/06/2021(UTC)
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