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Call for self-employed to pay more tax

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    Call for self-employed to pay more tax

    "One of the country's leading think tanks has called for controversial tax reforms that could increase bills for millions of self-employed workers and business owners.

    The Institute for Fiscal Studies' new report took aim at a tax system which “discourages employment, investment and risk-taking” and criticised the lower rates levied on capital gains, dividends and self-employment income.

    An employee in a £40,000 job generates £3,300 more than a self employed worker doing the same role - and £4,300 more than someone working through their own company, the report said.

    The “unfair” treatment explains the rise in self-employment to 5m while the number of owner managers has doubled to 2m in the past 20 years, according to the IFS.

    Its researchers said a “particularly attractive” option was combining higher rates of self-employed national insurance contributions and capital gains with more generous allowances to encourage investment.

    The report will be seen as cover for a potential tax grab from the Chancellor, Rishi Sunak, as he prepares for his next Budget on March 3.

    Mr Sunak hinted at a potential raid on the self-employed early in the pandemic when he announced a bailout package and warned that it was “now much harder to justify the inconsistent contributions between people of different employment statuses”.

    Call for self-employed to pay more tax

    There ought to be a very simple tax law: whoever calls for tax increases gets them - on themselves, have a checkbox in SA submission that chooses ones party affiliation for tax purposes and you get taxed accordingly, now that's fair, oh and much higher taxes on anybody connected to "think tanks" - people who run them, people who donate to them (they obviously got too much money).
    Last edited by AtW; 26 January 2021, 07:15.

    #2
    Originally posted by AtW View Post
    Mr Sunak hinted at a potential raid on the self-employed early in the pandemic when he announced a bailout package and warned that it was “now much harder to justify the inconsistent contributions between people of different employment statuses”.
    The bail-out package that left about half the self-employed with nothing at all?

    Comment


      #3
      Originally posted by mattster View Post
      The bail-out package that left about half the self-employed with nothing at all?
      Which half was that?
      Originally posted by MaryPoppins
      I'd still not breastfeed a nazi
      Originally posted by vetran
      Urine is quite nourishing

      Comment


        #4
        Originally posted by d000hg View Post
        Which half was that?
        The newer ones without 3 years accounts and those on higher turnovers that were still affected.

        There were some who were under reporting and you can just giggle at them.
        Always forgive your enemies; nothing annoys them so much.

        Comment


          #5
          Originally posted by vetran View Post
          The newer ones without 3 years accounts and those on higher turnovers that were still affected.

          There were some who were under reporting and you can just giggle at them.
          You forgot to mention the ones who did a mixture of self-employed and short term employed work - they aren't applicable for furlough as they were no longer with that employer and didn't count as self-employed. There were also those who were self-employed who being old enough to take a pension lump sum to pay of their debts or whatever were also ineligible.
          "You’re just a bad memory who doesn’t know when to go away" JR

          Comment


            #6
            Originally posted by vetran View Post
            The newer ones without 3 years accounts and those on higher turnovers that were still affected.
            You didn't need 3 years' accounts.
            Originally posted by MaryPoppins
            I'd still not breastfeed a nazi
            Originally posted by vetran
            Urine is quite nourishing

            Comment


              #7
              And those figures only include the money accounted for. Jmbe a totally different view if they could account for all the cash in hand jobs.
              'CUK forum personality of 2011 - Winner - Yes really!!!!

              Comment


                #8
                Originally posted by d000hg View Post
                You didn't need 3 years' accounts.
                You needed 3 years of self-assessment returns, which if you are self-employed are your accounts.
                "You’re just a bad memory who doesn’t know when to go away" JR

                Comment


                  #9
                  Originally posted by northernladuk View Post
                  And those figures only include the money accounted for. Jmbe a totally different view if they could account for all the cash in hand jobs.

                  As I said you can giggle at them!
                  Always forgive your enemies; nothing annoys them so much.

                  Comment


                    #10
                    Originally posted by SueEllen View Post
                    You needed 3 years of self-assessment returns, which if you are self-employed are your accounts.
                    No you didn't. If you had 3 years you had to provide them but if you didn't, a minimum of one set of filed accounts was acceptable.
                    I know someone who had only been working in this regard for a year and got the payments.
                    Originally posted by MaryPoppins
                    I'd still not breastfeed a nazi
                    Originally posted by vetran
                    Urine is quite nourishing

                    Comment

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