Non-Dom Tax - A Vote Winner?

[youngmafbog]

http://news.sky.com/story/1460548/labour-would-abolish-non-dom-tax-status

Come on Mr Milliband this is really scraping the barrel, does he really think people will stop around to pay the tax or that they wont find another way round it?

Given, it's not right, but surely the best way is to phase it out gradually, say but raising the amount they pay, removing a generation at a time from the exception etc?

//In the interview Mr Balls said: "I think if you abolished the whole status then probably it ends up costing Britain money because there will be some people who will then leave the country. "But I think we can be tougher and we should be and we will."//

so even Balls thinks it will cost us !!

[Old_Geezer]

I think I need to read more about non-dom. It seems to me that if someone is grabbing wealth for themselves from some other society (and maybe spending it here) then it is the other society that is losing wealth to them, and that has the priority tax claim. That's not to say tax should be zero when they are befitting from the place in which they live, but it should be less. They ought not be paying the same tax in two places. I'm, unsure where the fair balance lies.

[woofgang]

I very much doubt that the folk who use non dom status use the NHS or claim benefits.....

[Old_Geezer]

Oh as for leaving the country, I don't believe it is good to be blackmailed by those sorts of threat. Those who don't like equitable rules are welcome to leave.

[Gromit]

The change will only affect very rich people who tend not to be Labour voters.

Ending very peoples' tax exemptions will probably Play very well with low paid tax payers who are probably Labour voters.

So, it is not going to win them the election single handed, but the perception they are bashing tax avoiders will do them no harm.

[ToraToraTora]

socialists love direct taxation but forget that most tax is indirect, rich people spend money and pay huge amounts of indirect tax. If they leave we won't get that.

[Peter Pedant]

// forget that most tax is indirect, rich people spend money and pay huge amounts of indirect tax. // 3T


wiki "(VAT) and is the third largest source of government revenue after income tax and National Insurance." - oops doesnt look as tho you're having a good day 3T - it looks as tho the main tax take is Direct....


The figure I havent heard from the media is how many people have non dom status ( technically called the tax base) and how much the tax take is.


oh and in case anyone worries - altho Pitt the Younger started income tax in 1799 - he more likely gave non-dom status on the simple issue that in 1800 he would not have been able to assess foreign income....

[dave50]

If Balls thinks it will end up costing money then what the hell is the point? Playing to the politics of envy gallery whatever the cost.

[tamborine]

Are nom doms all our asian taxi drivers who have luxury homes in the sub continent ;)

[Gromit]

PP

There are 116,000 non doms. They tend to be the Super rich.

[Peter Pedant]

thx gromit

fewer than registered doctors
many fewer than registered murses..... PP

[Old_Geezer]

Is there anyone apart from those who use the phrase, that really believes there is any "politics of envy" ? "Politics of equity" maybe.

[ToraToraTora]

Oh dear PP, it may surprise you to learn that VAT is not the only indirect tax. Bought any fuel lately? WAP!

[ToraToraTora]

Non doms pay tax on their UK earnings + each pay £30k charge for the status, that alone is 3.5bn down the kasi, that'll show the rich *** eh ED (116000 x 30000). Still good job this isn't about envy eh?

[dave50]

Yes TTT, it's not about raising extra tax revenue, it's all about teaching those rich b*****s a lesson.

[Peter Pedant]

// Oh dear PP, it may surprise you to learn that VAT is not the only indirect tax. Bought any fuel lately? WAP!//

wiki - VAT 13% and fuel duty ... 4% - and yeah, yeah added to gether that is much more than erm 50%...

3T you're clearly not having a good day ....

Now to assist your case - a/c to the Beeb 1600 today
Gromit's 116k non domz pay £ 6.2 bn in tax ( double your £ 3bn, but your figure I agree is called a lower bound ) - so the commentator said: 0.4% of tax payers pay 4% of the tax bill

yeah I agree it is the politics of envy - but has that ever failed ?

( "I will tax them until the pips squeak" - Dennis Healey 1972 )

[mushroom25]

PP:- //Wiki...//

is that the same Wiki that says Winston Churchill is currently living in sprightly retirement in the village where they film "last of the summer wine"?

[ToraToraTora]

what planet are you on PP most of UK taxation income is from indirect sources, VAT is one of many, eg fuel duty is 59p per litre + vat on the total, so for the first £1 it amounts to 70%, then there is tobacco, booze, VED, insurance tax, travel tax, import duty, IHT etc etc. My 3.5bn was just the charges for being non dom, it took no acount of actual tax paid on UK income.

[Peter Pedant]

Probably - [ oops sorry probably the same wiki as says Churchill is still alive ]

but the numbers kind of fit .... the order of tax take appears to be Income, NICs, VAT Corporation Tax and fuel duty,
and the price you pay for petrol includes fuel duty and VAT

Mushie - you are aware that there is family called churchill who run the odd business ( earlyarts, estate agents ) in erm Holmfirth ?

[Peter Pedant]

// what planet are you on PP most of UK taxation income is from indirect sources, VAT is one of many, eg fuel duty is 59p per litre + vat on the total, yap yap yap blaaah b;aaah blaaah //

I live on the planet where they all look at 3T's posts and think: he's ballshooting again. And indeed 3T on this subject I am afraid it is: case proven !

From the HMRC site: "Over the last decade IT, CGT & NICs (Income tax, Capital Gains Tax and National Insurance Contributions) have made up on average 55 per cent of total receipts. VAT (Value Added Tax) and Corporation Tax (CT) are the next biggest, contributing an average 19 per cent and 9 per cent of total receipts respectively"

[From - Tax and NICs receipts - Gov.uk
https://www.gov.uk/...data/.../20150315_Febreceiptsbulletin_v1.docx
15 Mar 2015 ]

O dear, 3T you are not having a good day ... Oh, and 55% is greater than 28% ( and wiki says Fuel is 4% )

I hadnt realised I knew so much about tax takes and you knew so little ....

[Quizmonster]

Has there ever been any evidence that any body of people who (quote), "will probably leave the country if so-and-so happens" actually DID leave? Veritable throngs of bankers were supposed to be headed for Geneva at one time; haven't heard it recently, despite Labour's promise to tax their bonuses again.
In 2008, when the financial system fell apart worldwide, I recall seeing an interview between an American newsman and a leading banker, probably from Lehmans. The newsman asked why bankers had such grotesque and unjustified bonuses. "Because, we have to pay them that sort of money to get the best people." The reply was, in a voice that was positively screeching with outrage, "But you obviously haven't GOT the best people or we wouldn't be in this mess!!!"
Let the non-doms drift off elsewhere if they choose to. They're only here because they enjoy the lifestyle this country offers them and will not depart in droves.