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Say No to Dividend Tax - Parliamentary Petition

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    #41
    Originally posted by SueEllen View Post
    We aren't the only one hit by this tax.

    There are people in there 50's whose income is from their shares who have delayed taking their pension.
    Why have they "delayed" taking their pensions if they're in their 50s? Are these more of the public sector entitled who believe they should get a bigger pension, paid earlier, with greater employer contributions than anyone performing similar work in the private sector?

    Comment


      #42
      Originally posted by Forgotmylogin View Post
      Why have they "delayed" taking their pensions if they're in their 50s? Are these more of the public sector entitled who believe they should get a bigger pension, paid earlier, with greater employer contributions than anyone performing similar work in the private sector?
      Nope.

      There are people 50+ who are entitled to final salary pensions even though the schemes have been closed. If they delay taking it until their 60's they get more money.

      They also believed when they made their decision after being made redundant they would find another job.
      "You’re just a bad memory who doesn’t know when to go away" JR

      Comment


        #43
        Originally posted by d000hg View Post
        The ones who have earned enough to live off the dividends on their portfolio choose. The ones who are hit by ageism probably don't have much in the way of savings to start with, sadly
        Actually the guy who immediately springs to mind lives of his partner, dividends and BTL.

        He got lucky with his BTL as his parents died.

        The partner funds most of their lifestyle.

        He actually intended to work again after being made redundant but didn't realise that it was hard for 50+ year olds to get jobs. It's also not helped by the fact the people in his network who could have helped him are retired.
        "You’re just a bad memory who doesn’t know when to go away" JR

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          #44
          RE:Sign the petition "Reconsider the new Dividend Tax for small businesses"

          Click this link to sign the petition "Reconsider the new Dividend Tax for small businesses"

          https://petition.parliament.uk/signa...jJr1VzBn2IIWrt

          Thanks,
          The Petitions team
          UK Government and Parliament

          Comment


            #45
            Originally posted by nachikethm View Post
            Click this link to sign the petition "Reconsider the new Dividend Tax for small businesses"

            https://petition.parliament.uk/signa...jJr1VzBn2IIWrt

            Thanks,
            The Petitions team
            UK Government and Parliament
            Erm, you read the first post in this thread?
            'CUK forum personality of 2011 - Winner - Yes really!!!!

            Comment


              #46
              A response of sorts.

              Comment


                #47
                But the reforms move the overall tax rates for the self-employed and those incorporated closer together, making the system fairer overall.
                Job done then, they can now move on and stop messing about with one man bands.

                Comment


                  #48
                  Government responded:

                  The Government is committed to supporting entrepreneurs and a fair tax system. Dividend tax reform allows further cuts in Corporation Tax and reduces the incentives for tax motivated incorporations.

                  The Government is fully committed to supporting business and entrepreneurship. As set out at the Summer Budget 2015, the Government believes that one of the best ways to support growth and enterprise in the UK is through lower and more competitive Corporation Tax rates.

                  Owners of small companies will also benefit from a range of other measures announced at the Summer Budget, including an increase in the National Insurance Employment Allowance to £3,000 from April 2016 and a permanent increase to the Annual Investment Allowance to £200,000 from January 2016. They will also pay less tax as a result of the increases to the tax-free Personal Allowance to £11,000 and to the Higher Rate Threshold to £43,000 in April 2016. We also have a commitment to go much further, taking the Personal Allowance to £12,500 and the Higher Rate Threshold to £50,000 by the end of this Parliament.

                  However, it is not possible to continue to reduce the Corporation Tax rate without looking at the overall balance of the tax system, including taxation of dividends. Lowering the Corporation Tax rate without action elsewhere increases incentives for individuals to set up a company and pay themselves through dividends to reduce their tax bill (also known as tax motivated incorporation). Therefore the Government is reforming dividend taxation. These reforms, which will also simplify the dividend tax system, will significantly reduce the incentives for people to set up a company and pay themselves through dividends rather than wages simply to reduce their tax bill. Taxpayers and the Exchequer will now be £500 million better off as result of reduced incentives for tax motivated incorporation. Those who choose to work through a company continue to pay lower rates of tax than the employed or self-employed. But the reforms move the overall tax rates for the self-employed and those incorporated closer together, making the system fairer overall.

                  HM Treasury

                  Comment


                    #49
                    Yep generic pointless brush off response #476, same as all those bloody petitions, knew I shouldn't have bothered.

                    Comment


                      #50
                      Yep, I and I suspect many others received the same email today.

                      They may as well have put TL;DR "Taxpayers and the Exchequer will now be £500 million better off as result".

                      As for the line about simplification, I'm not buying that one at all.

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