Osborne pledges changes to Stamp Duty

[Puggit]

http://www.bbc.co.uk/news/uk-politics-17420646

Going after tax-avoiders instead of overhauling this grossly unfair and out of date tax

Why would anyone want to vote for this lot!?

[anonymous-user]

Puggit said:

http://www.bbc.co.uk/news/uk-politics-17420646

Going after tax-avoiders instead of overhauling this grossly unfair and out of date tax

Why would anyone want to vote for this lot!?

I agree with you in principle but don't forget who 'overhauled' Stamp Duty, called it SDLT and rammed the rates up. It will be far worse if they ever get back in, except that property values will likely plummet as everyone rushes for the exit and SDLT will amount to next to fk all.

Of course, if the rates were even remotely fair, no-one would bother avoiding them, though it does grate to see a sanctimonious ste like Geldof milking the system like this.

[mercGLowner]

Stamp Duty seems to be a grossly unfair and unjust tax. In my view, it also has the side effect (above 250,000 property value), of stifling and damping the market and being a key reason why people do not move house. Surely by having a flat rate of 1% up to 1M that would encourage people, or at least remove a significant barrier, to moving. A positive side effect to moving is that it stimulates and benefits other parts of the economy too DIY market, solicitors, removal companies etc etc. I have never understood the reasons for ludicrously high Stamp Duty rates.

The trouble now of course, the Socialists having bought the Stamp Duty banding in, is that any effort to remove it by a Tory Government results in accusations of tax reductions for the 'rich' - pathetic really.

[Jasandjules]

It's a tax that really grates me, lots of money for absolutely nothing!

[roachcoach]

Jasandjules said:

It's a tax that really grates me, lots of money for absolutely nothing!

It's right up there with inheritance tax imo.

[theaxe]

Two other problems with stamp duty, 1) it makes the workforce less mobile, if I lose my job in one place it could cost me 20k to move somewhere else, I'd be better off moving abroad. 2) it encourages you to buy the house you can just afford rather than working your way up in two steps. Thus you get move over-stretched families prone to an interest rate rise.

[Ozzie Osmond]

Welcome to the UK,

• Moving house tax - Stamp Duty
• Going on holiday tax - Air Passenger Duty
• Having a job tax - national insurance over and above income tax, but only on people who have a job
• Inflation tax - Capital Gains Tax is a tax on inflation
• Driving tax - London's congestion charge
• Savings tax - tax relief clawed back by Gordon Brown's denial of dividend tax credit (pensions and ISAs)

just in case you've got a anything left at the end

• Death tax - Inheritance tax at 40% on anything you've got left

and it's all loaded towards

• South of England tax - you'll pay more Income Tax, Stamp Duty, Council Tax and Inheritance Tax

[Puggit]

And yet we still dont have enough tax revenue. Time to reduce the public sector then!

[Murph7355]

Puggit said:

And yet we still dont have enough tax revenue. Time to reduce the public sector then!

Can't do that. Think of the children! Think of the unfairness of it all! Think of all the bankers drinking cocktails and being paid a million pounds a year! Think of all the private sector workers lording it up while the public sector suffers! Just think man!!

[Bibbs]

Could be worse, you could have stamp duty on cars like Australia.

[DSM2]

Puggit said:

And yet we still dont have enough tax revenue.

Of course that's the myth. The truth is that taxes could be cut massively if we cut back on spending in areas that are unnecessary and/or wasteful. Many areas of government both in the Uk and Europe are just such but until we stop the proliferation of layer upon layer of politicians whose vested interest is in spending our money, we won't see any reductions or genuine prosperity in the Country.

[Digga]

theaxe said:

Two other problems with stamp duty, 1) it makes the workforce less mobile, if I lose my job in one place it could cost me 20k to move somewhere else, I'd be better off moving abroad. 2) it encourages you to buy the house you can just afford rather than working your way up in two steps. Thus you get move over-stretched families prone to an interest rate rise.

Totally agree.

It also has the effect of making house prices 'sticky', but interfering with objective valuation.