Nigel Farage in London with hundreds of farmers today

It’s affecting more and more every year theworriedwell. The threshold has remained unchanged for many years, whilst house prices have risen dramatically.

I could easily stand on a platform and say what people want to hear, with no idea how I would actually put what I say into practice.
Is nothing to it.
Most of us could do the same.
Farage. Money. Old. Rope. All words that spring to mind.

I can’t stand Farage, but I’m with him on the farmers issue. IMO it’s nothing but class warfare on the part of Labour - farmers = landowners = undeserving upper crust who need showing who’s boss and clobbering with tax.

theworriedwell, I have no problem with my heirs paying Inheritance Tax.
However, I am keen to clarify that the threshold for this tax for a single person is £500K.
My 1930 three bedroomed semi in the South East is worth that, so please bear that in mind when you see this levy as troubling only the wealthy. Assuming that it is not adjusted upwards, more and more people will be eligible.

Barleyfields

It’s affecting more and more every year theworriedwell. The threshold has remained unchanged for many years, whilst house prices have risen dramatically.

Maybe it's an issue in the south east but for the rest of the country not so much. If you sort your will out people it really is a minority who are affected and if a couple are leaving more than 750k why shouldn't they pay some tax on it particularly as the money made on the value of a house is untaxed anyway.

Chocolatelovinggran

theworriedwell, I have no problem with my heirs paying Inheritance Tax.
However, I am keen to clarify that the threshold for this tax for a single person is £500K.
My 1930 three bedroomed semi in the South East is worth that, so please bear that in mind when you see this levy as troubling only the wealthy. Assuming that it is not adjusted upwards, more and more people will be eligible.

Well the first 500k is untouched. If someone is inheriting significantly more than that I don't see why they shouldn't pay some tax on it. Maybe help those who never got on the housing ladder. My house is worth 5 times what I paid for it, do my kids have some right to all of that gain?

maybe help those who never got on the housing ladder

If it goes to the government it won't help those who never managed to buy a house. It will disappear into that black hole, or is that a figment of imagination? It will not go directly to potential house owners.
If it goes to my heirs, the one unable to get on the housing ladder might be able to, thus freeing up a rental property for someone else.

Wouldn’t you want your children to benefit?

Barleyfields

Wouldn’t you want your children to benefit?

Altruism is all very well but I believe in paying my fair share of tax throughout life; however, IHT is another matter.

Would some posters be happy if Government inspectors came into people's homes, taking away any property that might be more valuable than when the owner bought it?

If not, why should the government be able to do that after a person has died? It's not just the home, it's all property which has to be listed and valued.

theworriedwell

Chocolatelovinggran

theworriedwell, I have no problem with my heirs paying Inheritance Tax.
However, I am keen to clarify that the threshold for this tax for a single person is £500K.
My 1930 three bedroomed semi in the South East is worth that, so please bear that in mind when you see this levy as troubling only the wealthy. Assuming that it is not adjusted upwards, more and more people will be eligible.

Well the first 500k is untouched. If someone is inheriting significantly more than that I don't see why they shouldn't pay some tax on it. Maybe help those who never got on the housing ladder. My house is worth 5 times what I paid for it, do my kids have some right to all of that gain?

I assume you brought your house with your earned income, which has been taxed.

All upkeep on your house paid for with your earned income, which has been taxed.

All furnishings, white goods etc., paid for with your earned income, which has been taxed plus 20% VAT

Plus anything interest over £1,000 (£500 for 40% tax payers) is taxed.

Mine is and I have, that’s enough of my hard earned £’s going to any government thank you.

I bought my house with earned income.
It cost £32,000 in 1983.

It's now worth enough for inheritance tax to be paid on it.
I didn't earn the difference in value - it just happened through the passing of time and the rise in the market.

Tax hasn't already been paid on that bit.

Barleyfields

Wouldn’t you want your children to benefit?

Of course.

Churchview

I bought my house with earned income.
It cost £32,000 in 1983.

It's now worth enough for inheritance tax to be paid on it.
I didn't earn the difference in value - it just happened through the passing of time and the rise in the market.

Tax hasn't already been paid on that bit.

You must have spent £1,000’s of your taxed income on your house over 43 years otherwise it wouldn’t be worth what it is now as it would in all probability be derelict!

Churchview

I bought my house with earned income.
It cost £32,000 in 1983.

It's now worth enough for inheritance tax to be paid on it.
I didn't earn the difference in value - it just happened through the passing of time and the rise in the market.

Tax hasn't already been paid on that bit.

Exactly. Many of us will be the same. As someone who is unlikely to ever inherit anything I'd be shocked at someone inheriting over half a million and objecting to paying tax which still left them with over half a million. Talk about entitled.

Perhaps you had a mortgage and therefore paid, out of taxed income, substantially more than £32,000? And doubtless you have maintained and maybe improved the house, again using taxed income? Would you really like the government to take 40% over and above £500,000?

People have probably paid more in rent than most homeowners spend on upkeep.

Anyway, back to Reform, Farage and Cornwall.

Cornwall one of the places that voted leave despite benefiting massively from EU funding. The money given by the government as a sop after Brexit has long since run out. Cornish farmers have been very vocal about how bad Brexit has been for them.

Will Cornwall support Farage's Reform candidates now?

GrannyGravy13

Churchview

I bought my house with earned income.
It cost £32,000 in 1983.

It's now worth enough for inheritance tax to be paid on it.
I didn't earn the difference in value - it just happened through the passing of time and the rise in the market.

Tax hasn't already been paid on that bit.

You must have spent £1,000’s of your taxed income on your house over 43 years otherwise it wouldn’t be worth what it is now as it would in all probability be derelict!

Well said GrannyGravy.

If we take the price of what we paid for the house (after paying stamp duty and any other relevant taxes) plus the amount we have spent on upkeep, home improvements (paying VAT and keeping people in work who pay tax) perhaps that amount should be deducted from the total before IHT is payable.

There is a house near here which I pass regularly and it is a prime example of what happens to a property if left unattended and neglected. The owner was in a home for years, I don't know what is happening to it.

theworriedwell

People have probably paid more in rent than most homeowners spend on upkeep.

And?

That's what some people prefer to do.

GrannyGravy13

Churchview

I bought my house with earned income.
It cost £32,000 in 1983.

It's now worth enough for inheritance tax to be paid on it.
I didn't earn the difference in value - it just happened through the passing of time and the rise in the market.

Tax hasn't already been paid on that bit.

You must have spent £1,000’s of your taxed income on your house over 43 years otherwise it wouldn’t be worth what it is now as it would in all probability be derelict!

I have spent some money on my house in the 40 years I've owned it but only a very small fraction of the value of it now. The increase in value of the house is much more to do with market rates than any work I have done.

Indeed, some people do prefer to rent and have the landlord responsible for maintenance. I have known people with that mindset.

Farage with his wellies and Barbour pretending to be Mr Rural when everyone knows he is a Londoner with a posh background.

Barleyfields

Perhaps you had a mortgage and therefore paid, out of taxed income, substantially more than £32,000? And doubtless you have maintained and maybe improved the house, again using taxed income? Would you really like the government to take 40% over and above £500,000?

I did have a mortgage but again, the increase in the value of the home far outweighs the amount spent on mortgage repayments and renovation.

The value of my house now is more than I ever imagined it could possibly be. When I started out the figures I see now would have seemed like pools win money.

As to whether I would like the government to take 40% of the amount over and above £500,000 - well the truth is, I'll be dead, my family will still receive a significant amount despite not having 'earned' the market rise of value in the house any more than I did. They will also benefit from the tax being spent on society, care, the environment and public service.

I never minded paying income tax and I worked a lot harder for my income than I did for the rise in the value of my house - I just had to sit here in my comfy chair and watch the price increase for 40 year.

Mr Farage says lots of things on lots of matters. I am not aware of him saying a great deal about the constituency he represents- unless, of course, I am wrong, and the Clacton voters are very concerned about Inheritance Tax . Perhaps a GNetter in the area could enlighten us?

Churchview

Anyway, back to Reform, Farage and Cornwall.

Cornwall one of the places that voted leave despite benefiting massively from EU funding. The money given by the government as a sop after Brexit has long since run out. Cornish farmers have been very vocal about how bad Brexit has been for them.

Will Cornwall support Farage's Reform candidates now?

Turkeys voting for Christmas ?