The difference between Wealth Tax, Inheritance Tax and Income Tax

It may have been noticed but maybe not the irony?

Wotapalaver

A message from GNHQ which seems relevant here:

The decision to ban was made in light of the overall moderation history and a repeated pattern of behaviour over time. It was not based on one incident, one thread, or one report. *That pattern included thread-policing*

It was noticed 😉

Wotapalaver

A message from GNHQ which seems relevant here:

The decision to ban was made in light of the overall moderation history and a repeated pattern of behaviour over time. It was not based on one incident, one thread, or one report. *That pattern included thread-policing*

That’s quite an ironic post of yours Wota

A message from GNHQ which seems relevant here:

The decision to ban was made in light of the overall moderation history and a repeated pattern of behaviour over time. It was not based on one incident, one thread, or one report. That pattern included thread-policing

Assets whether they be shares, property, gold (jewellery) go down as well as up, virtually impossible to assess.

Unless the government of the day decides on a fixed date from year to year as assessment day

What is suggested is a bureaucratic nightmare.

I havent watched the video.
I may at some point.

^My question about a wealth tax is: how would HMRC find all this wealth? I imagine that not all their cash is held in portfolios in the UK, not to mention their properties, yachts etc.
I can't help noticing that other countries such as France and Germany have tried this form of taxation and have abolished it.^

That would be my question too.
It all startes off with good intentions.

But as I have written before, the lawyers of the wealthy are cleverer than a Country's lawyers.
Unfortunately.

Plus a Government's employees are not given enough of any resources to outsmart wealthy people hiding money in all sorts of Countries, and with all sorts of their own laws.

Aveline Ooh. A thread with instructions!

Isn't there a cafe thread with instructions to be "kind"? I don't think this is all that novel - oh and there are a few which give the purpose intended, slimming, going none contact, living solo etc. Not new at all.

I have watched the video. I can see the point Gary makes about a wealth tax being fair in the sense that wealth increases at a conservative rate of 5% p.a. without any effort on the holder's part, and is taxed at a favourable rate compared with salaries of high-earning workers.
My question about a wealth tax is: how would HMRC find all this wealth? I imagine that not all their cash is held in portfolios in the UK, not to mention their properties, yachts etc.
I can't help noticing that other countries such as France and Germany have tried this form of taxation and have abolished it.
Regarding inheritance tax, most of us Gransnetters know that ALL assets of the deceased have to be recorded in the tax return for probate. And of course, the rich avoid it through trusts and lifetime gifts.
It is clear that the treasury needs lots more money for defence, and fast. A windfall tax on the very rich? Plus some reduction in welfare e.g. end the triple lock (sorry)? also look at certain benefits.

Thanks for posting this DAR.

I find Gary’s style a bit rambling - he’s not as clear and to the point as say Phil Moorhouse on A Different Bias and Richard Murphy. That’s not to say he doesn’t have something valid to say; I just have to deal with it in a different way. I copy the transcript, read that and try to pick out the main points.

I’m not sure he’s saying anything that hasn’t already been said and discussed here and elsewhere, albeit focusing on the piece in The Economist.

The general premise of his argument is for a current wealth tax on the richest people in society and he questions why that is being resisted in favour of a tax on inheritance.

He also discusses the diversionary political tactics that are used by the wealthy and why they run or support far-right political parties; why they are so keen to distract ordinary people with arguments about migrants and benefit claimants.

He says: You [start] poor. You work really hard when you're young and you slowly, slowly, slowly accumulate assets and you need those assets to get through your retirement and to get through your end of life care. This is the typical wealth trajectory of an ordinary person in western society.

He argues instead for a wealth tax of 1% or 2% on wealth about say £10 million which, he says, would barely make a dent in the annual income that wealth generates.

He compares this to someone working who has student debt who is effectively paying a marginal tax rate of 70%.

He’s right to a certain extent but others see a wealth tax as problematic to administer e.g. Murphy in his 2024 report on Taxing Wealth. He writes:

… as will be noted, a section is included amongst the early chapters that suggests why the creation of a wealth tax in the UK is inappropriate at this point of time. The argument is straightforward. This would be unnecessarily politically complex, involve protracted delay, and would create enormous difficulties with regard to identifying the ownership and valuation of wealth as well as agreeing the thresholds above which that wealth might be subject to tax. More pragmatically, the capacity to actually raise tax directly from wealth as a consequence of imposing a charge on it is remarkably limited.

taxingwealth.uk/wp-content/uploads/2024/04/Taxing-Wealth-Report-2024-Summary.pdf

I will manage whatever.

For a moment there I thought I was back at school. As that is the last place on earth I would want to be I will politely decline the instructions.

To keep this thread productive, please do not reply unless you have watched the video. Posts that clearly indicate the video has not been viewed may be ignored, as the purpose of this topic is to discuss the video's actual content

This is a bit steep!
Given that the thread title is Tge difference between wealth tax, inheritance tax and income tax, does OP base her instructions on an assumption that the rest of us do not know the difference ?
If the thread is designed to explicitly discuss a video should it perhaps be on one of the Media forums?

I like others here do not take kindly to bossiness in any shape or form - so although I can quite confidently appreciate and understand OP’s issue -I’m out.
And if anybody (who?) chooses to ignore my post - so be it.

The case presented for a wealth tax is logical enough, but it is based on the assumption of a low rate of tax on the very wealthy (1% on £10 million) earning 5% or more on their wealth. Would governments stick to those sorts of figure? And what constitutes wealth? Some assets (e.g. the houses we live in) produce no income to pay the tax which would be levied on their value.

Not for me thanks, ‘tis a day of rest, not work.

Aveline

Ooh. A thread with instructions!

Bit scary really.

Please feel free to ignore my post as I clearly haven't watched the video.

It's Sunday morning, have some of the grandchildren here and a chicken to roast.

Aveline

Ooh. A thread with instructions!

Or rather an attempt to have an informed discussion. Much as I appreciate the intention DAR I fear it will be difficult to achieve

Ooh. A thread with instructions!