Tax on debt

[Yeast Lord]

Ingenious idea to make people think before they incur vast debts they cannot afford to repay:-

http://www.telegraph.co.uk/finance/economics/76639...

[tinman0]

Yeast Lord said:

Ingenious idea to make people think before they incur vast debts they cannot afford to repay:-

http://www.telegraph.co.uk/finance/economics/76639...

Yeah, ingenuous. Make borrowing more expensive.

I know, we have Problem X - the solution is - TAX.

Problem Y. Hmmm, TAX?

Problem Z. Got it - think of a TAX!

Wow, how cool. The answer to all our problems is to TAX it. fking brilliant.

[scorp]

1% extra APR on a mortgage sounds a bit harsh?

[XJR40]

Why not just put interest rates up to a sensible level?

[cazzer]

Brilliant idea....make it harder for people to pay off the debt they have.

Love these idea's put forward by highly paid people who probably survive with a minimum of borrowing.

[Road Pest]

I'm speechless for once.

[Jasandjules]

It has nothing to do with helping the country but simply to raise more than 10 billion more in revenue.

Seriously, 1pc on your mortgage? Stamp duty is bad enough....

[Road Pest]

Yes you do.

[cazzer]

musclecarmad said:

i pay tax on my savings!

No you don't. You pay tax on the income from your interest.
So fine. Let the companies pay tax on the interest they earn from their debt.
Oh hang on, they already do...corporation tax etc.

[Engineer1]

Tax on debt, hell lets bring back the workhouse and the poor laws oh yeah and no votes for those without property. FFS most sensible people don't deliberately end up deep in debt it happens when one month you bring home £1000 and need £1000.01 to make ends meet that month, or you buy something on your credit card then end up made redundant. There are people out there who end up having to use debt to keep living, an unexpected bill means you have to borrow so that can afford to pay it and still get to work to pay the bills, saving for a rainy day only works if it doesn't seem to rain every month.

[Road Pest]

cazzer said:

musclecarmad said:

i pay tax on my savings!

No you don't. You pay tax on the income from your interest.
So fine. Let the companies pay tax on the interest they earn from their debt.
Oh hang on, they already do...corporation tax etc.

I stand corrected. If you pay tax on interest gained then by the logic in the original argument there should be tax relief for people in debt paying interest.

[cazzer]

Road Pest said:

cazzer said:

musclecarmad said:

i pay tax on my savings!

No you don't. You pay tax on the income from your interest.
So fine. Let the companies pay tax on the interest they earn from their debt.
Oh hang on, they already do...corporation tax etc.

I stand corrected. If you pay tax on interest gained then by the logic in the original argument there should be tax relief for people in debt paying interest.

Here Here

[teapea]

Surely discouraging people from borrowing money is a bad idea, as long as people can afford to comfortably pay off their debt.
If we discourage people from borrowing with tax, we discourage them from buying new cars, bigger houses etc.
Which reduces the revenue the tax man receives anyway.

[deevlash]

This is the most retarded thing Ive ever heard. Taxing mortgages, youd have to be a complete left wing hippy to think thats a good idea.

[Puggit]

I can see the point of discouraging debt - afterall there are many idiots who have got themselves in uncontrollable debt.

I don't think adding tax is the right solution though. I would favour a system of guarantees/guarantors.

Certainly Labour's system of wiping the slate clean with one of those daft bankruptcies isn't helping.

[wagon and horses]

Why not put a tax on the tax? fkwit

[sonic_2k_uk]

wagon and horses said:

Why not put a tax on the tax? fkwit

We already have on petrol.

[Stevenj214]

Yeast Lord said:

Ingenious idea to make people think before they incur vast debts they cannot afford to repay:-

http://www.telegraph.co.uk/finance/economics/76639...

Despite being a first time buyer, I quite like this idea. If it was a straight choice between 1% on my debts, or an extra 3% on my earnings, I would support the 1% on my debt.

[Diderot]

Cupid stunt

The only 'profession' that has a more dubious pseudo-scientific foundation, that is more hare-brained and potentially more dangerous than an Economist, is a MMGW advocate. Ironically (or perhaps not), both use models to predict the future with 'great' certainty; but both cannot get it into their unfeasibly thick skulls that what they are dealing with are chaotic, non-linear systems. God help us if an economist tried their hand at climate science. Oh wait ...

[Road Pest]

cazzer said:

Road Pest said:

cazzer said:

musclecarmad said:

i pay tax on my savings!

No you don't. You pay tax on the income from your interest.
So fine. Let the companies pay tax on the interest they earn from their debt.
Oh hang on, they already do...corporation tax etc.

I stand corrected. If you pay tax on interest gained then by the logic in the original argument there should be tax relief for people in debt paying interest.

Here Here

I think it's "hear hear".



Sorry.