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Good News in the Budget


BJSLIV
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The potential tax liability, benefit in kind, for using a property owned via an SCI has been abolished. Common sense for once!

Gordon Brown has removed the “benefit in kind” tax charge that has been payable on overseas properties purchased through companies – effectively an income tax charge on the property’s assumed annual rental income.

http://www.ft.com/cms/s/2b0d3c8a-d7dd-11db-b218-000b5df10621.html

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[quote user="Bob T"]I cannot even go to the UK and use the NHS for free.
[/quote]

Why can you not get a CEAM (the French EHIC)?

Just to redress the balance I shall benefit by several hundred pounds a year. But it still doesn't make me like Gordon Brown as a person or potential leader of my home country, however good he may have been as Chancellor of the Exchequer,

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Gordon Brown sunstantially increased personal income tax for UK tax payers in the Budget. After April 2008 the 10% starting tax rate is abolished. He reduced the 22p rate to 20p. However everyone will now pay 20p in the pound income tax after personal allowances are subtracted. Currently the single person tax allowance is £5030. Subtract that from your gross income then multiply by 20p (or 20%). You will then discover you have much more income tax to pay in future. In principle around 40% more. He raised slightly the 40% tax threshold at the upper level to incomes over 40K. 

Currently the first £2020 of taxable income is taxed at only 10%. After 2008 all taxable income will be 20% or 40%.

In my opinion the budget was political slight of hand designed simply to raise taxation without us realising.

Will. The only way you will benefit from this is if you are in receipt of working tax credits. Or if your income is between 37 -40K

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Quite correct Logan, well spotted.  I don't want it to sound like 'I'm all right Jack' because I know there will be people worse off, not least those living in France who receive a UK government pension which is taxed in UK.

It's all swings and roundabouts anyway - what you gain in one way you lose in another, and vice versa. Just about every government needs to raise more money. There will often be sound reasoning behind doing things like lowering income taxes and raising duty on fuel, tobacco etc, not least that it will bring in a bit more cash for the Treasury.

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I only saw that for those over 65 will have their personal allowance increased to take into account that first layer of tax at 10%.

We will actually be a bit better off when we return under this new system. I have just worked it out. I did realise that the lower income folks will probably miss out and pay more.

The answer ofcourse would be for anyone who doesn't like it and there must be one heck of a lot of people affected to send by proper post letters of complaint again and again and again and swamp the chancellor, only people don't do that do they.

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However, the original cause of this thread is good news for anyone who has used an SCI as we did, in order to avoid problems with the French inheritance situation.   Thanks very much for posting it, I had not seen it anyweher else in the papers.

Steve

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I am told there was something in the Daily Mail, but in typical fashion they made it sound as if GB was going to ensure that second home owners DID pay UK tax. Also there was a rnot very clear item on the BBC web site. The BBC does have links to both GB's speech, which doesn't really seem to say anything about this, and the official budget document text, which does. 
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[quote user="ErnieY"]

So much for helping the low paid then...........

[IMG]http://i127.photobucket.com/albums/p123/biskitboyo/winners-losers.jpg[/IMG]

[/quote]

I think the plan is to get people out of poverty by forcing them to take higher paid jobs.

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