Cyclone Posted August 17, 2011 Share Posted August 17, 2011 In the context of the 50p cut it's relevant to both. You can kid yourself it's all about the people on around £150k. Naive in the extreme. Who's it about then? Link to comment Share on other sites More sharing options...
Mecky Posted August 17, 2011 Share Posted August 17, 2011 About as much as it matters to I1L2T3 or Rupert I expect. Did you want to contribute are you just trying to cause an argument? I'm not interested in what other people think, that's why addressed to question soley to you, so what is your reply? Link to comment Share on other sites More sharing options...
I1L2T3 Posted August 17, 2011 Share Posted August 17, 2011 If you contribute to a pension at all then you don't do this. Why not opt out and pay what you think you should... Nobody is pretending it isn't possible, I'm saying that if you can pay less then you'd be an idiot to deliberately arrange your finances in order to pay more. But we don't all pay an equal amount do we. You pay far more than someone earning the average wage, as do I. You're ignoring the fact that dividends come from profit which is taxed at the corporation tax rate. I'll quite happily say that I do exactly what you just described (less than minimum wage though, as a director that's legal). And I probably still pay more tax than 90% of the population (in fact I know I do). There is no technical inaccuracy, but what you're basically saying is that it's immoral to own a business and be paid in dividends. Something the government clearly doesn't agree with, nor I expect do most of the people who own any portion of a company and receive dividends from them... Which incidentally happens to include you via your pension scheme. Re: my pension I'm hedging my bets with it. What I don't pay in, as I said above, is invested in other things I find more interesting and I think offer better prospects for a decent retirement income. As for whether you pay more tax that is not the issue. It's whether you pay your fair share. You've made it clear you don't. Philip Green probably paid more tax than most people the other year but still managed to dodge £285m of it. Have you opted out of public services? Stopped using subsidised services like the railways? Used private schools? Private healthcare? If not why should everybody else subsidise you? Do you think that is reasonable? Some interesting views comments, covering both sides of the argument: http://www.guardian.co.uk/commentisfree/poll/2010/sep/21/nickclegg-libdemconference Link to comment Share on other sites More sharing options...
truman Posted August 17, 2011 Share Posted August 17, 2011 Re: my pension I'm hedging my bets with it. What I don't pay in, as I said above, is invested in other things I find more interesting and I think offer better prospects for a decent retirement income. As for whether you pay more tax that is not the issue. It's whether you pay your fair share. You've made it clear you don't. Philip Green probably paid more tax than most people the other year but still managed to dodge £285m of it. Have you opted out of public services? Stopped using subsidised services like the railways? Used private schools? Private healthcare? If not why should everybody else subsidise you? Do you think that is reasonable? Some interesting views comments, covering both sides of the argument: http://www.guardian.co.uk/commentisfree/poll/2010/sep/21/nickclegg-libdemconference If Cyclone pays more tax than 90% of the pop. then I'd say it's perfectly reasonable for him to use public services....as he said you get tax releif on your pension payments..is that fair? Have you stopped using the NHS? Link to comment Share on other sites More sharing options...
I1L2T3 Posted August 17, 2011 Share Posted August 17, 2011 If Cyclone pays more tax than 90% of the pop. then I'd say it's perfectly reasonable for him to use public services....as he said you get tax releif on your pension payments..is that fair? Have you stopped using the NHS? Why would I stop using the NHS because I have a pension plan? Link to comment Share on other sites More sharing options...
truman Posted August 17, 2011 Share Posted August 17, 2011 Why would I stop using the NHS because I have a pension plan? You get tax relief on the payments into the plan....ie your payments come out of your gross not your nett... Link to comment Share on other sites More sharing options...
I1L2T3 Posted August 17, 2011 Share Posted August 17, 2011 You get tax relief on the payments into the plan.... Don't be silly. I think you're onto a loser with this argument but carry on. I'll get some popcorn. Link to comment Share on other sites More sharing options...
truman Posted August 17, 2011 Share Posted August 17, 2011 Don't be silly. I think you're onto a loser with this argument but carry on. I'll get some popcorn. Your pension contributions are paid before tax for a company pension and are able to be claimed back for a private pension.... "Occupational or public service pension schemes Usually your employer takes the pension contributions from your pay before deducting tax (but not National Insurance contributions). You only pay tax on what's left. So whether you pay tax at basic, higher or additional rate you get the full relief straightaway." " Personal pensions You pay Income Tax on your earnings before any pension contribution, but the pension provider claims tax back from the government at the basic rate of 20 per cent. In practice, this means that for every £80 you pay into your pension, you end up with £100 in your pension pot. If you pay tax at higher rate, you can claim the difference through your tax return or by telephoning or writing to HMRC. If you're an additional rate taxpayer you'll have to claim the difference through your tax return." from here http://www.hmrc.gov.uk/incometax/relief-pension.htm#1 Which ever way you do it you get tax relief... Link to comment Share on other sites More sharing options...
I1L2T3 Posted August 17, 2011 Share Posted August 17, 2011 Your pension contributions are paid before tax for a company pension and are able to be claimed back for a private pension.... "Occupational or public service pension schemes Usually your employer takes the pension contributions from your pay before deducting tax (but not National Insurance contributions). You only pay tax on what's left. So whether you pay tax at basic, higher or additional rate you get the full relief straightaway." " Personal pensions You pay Income Tax on your earnings before any pension contribution, but the pension provider claims tax back from the government at the basic rate of 20 per cent. In practice, this means that for every £80 you pay into your pension, you end up with £100 in your pension pot. If you pay tax at higher rate, you can claim the difference through your tax return or by telephoning or writing to HMRC. If you're an additional rate taxpayer you'll have to claim the difference through your tax return." from here http://www.hmrc.gov.uk/incometax/relief-pension.htm#1 Which ever way you do it you get tax relief... And why does that make it immoral for me to use the NHS. You haven't explained that bit. Go on.......... Link to comment Share on other sites More sharing options...
truman Posted August 17, 2011 Share Posted August 17, 2011 And why does that make it immoral for me to use the NHS. You haven't explained that bit. Go on.......... You're using the tax system to your advantage just like the people you are decrying...how are you different..? (I'm not sure I used the word immoral) Link to comment Share on other sites More sharing options...
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