THE GUARDIAN: Exclusive: Rates of 33% to 39% being tested as Treasury source says tax-raising plans are in ‘complete disarray’
Rachel Reeves is considering raising capital gains tax as high as 39% in the budget, the Guardian can reveal, amid a scramble to raise funds for crumbling public services.
Treasury modelling being reviewed by the chancellor and seen by this newspaper shows officials are testing a range of 33% to 39% for capital gains tax (CGT). The wealth tax is paid by about 350,000 people and is levied on the sale of assets including second homes and shares but at significantly lower rates than wages.
Whitehall sources say there is growing concern about the limited options for tax rises to fill a hole the Institute for Fiscal Studies (IFS) thinktank says is as big as £25bn, ahead of the budget on 30 October.
“Some very big tax decisions are being left until very late in the day,” one senior source claimed. Another said the Treasury’s tax-raising plans were in “complete disarray”. » | Anna Isaac | Thursday, October 10, 2024
Showing posts with label capital gains tax. Show all posts
Showing posts with label capital gains tax. Show all posts
October 10, 2024
April 23, 2021
Bitcoin Tumbles after Reports Joe Biden Will Raise Taxes on Rich
THE GUARDIAN: Cryptocurrency falls below $50,000 as White House looks to bring levy on investment gains into line with income taxes
Speculators in Bitcoin have been left nursing heavy losses after reports Joe Biden is planning to raise taxes on the wealthiest Americans to tackle inequality and finance trillions of dollars in higher social spending.
The cryptocurrency price fell more than 6% to below $50,000 (£36,000) a bitcoin, hitting the lowest level since early March, as the White House puts the finishing touches on plans to almost double the rate of capital gains tax for rich individuals.
For those earning $1m or more, the tax on investment income would rise to 39.6%, up from a current rate of 20%, as part of plans expected to be announced next week. A 3.8% tax on investment income used to fund Obamacare would also be kept in place, meaning the new top rate would be as high as 43.4%.
Biden is also preparing to raise the top marginal income tax rate to 39.6% from 37%, according to reports by the New York Times and Bloomberg News, bringing the levy on investment gains into line with taxes on income.
The UK government was urged to bring taxes on investment into line with rates applied on income by the Office of Tax Simplification last year.
The Biden administration is planning a sweeping overhaul of the US tax system designed to make wealthier individuals and big companies pay more in tax, tackling inequality and helping to foot the bill for the president’s economic agenda. » | Richard Partington | Friday, April 23, 2021
Speculators in Bitcoin have been left nursing heavy losses after reports Joe Biden is planning to raise taxes on the wealthiest Americans to tackle inequality and finance trillions of dollars in higher social spending.
The cryptocurrency price fell more than 6% to below $50,000 (£36,000) a bitcoin, hitting the lowest level since early March, as the White House puts the finishing touches on plans to almost double the rate of capital gains tax for rich individuals.
For those earning $1m or more, the tax on investment income would rise to 39.6%, up from a current rate of 20%, as part of plans expected to be announced next week. A 3.8% tax on investment income used to fund Obamacare would also be kept in place, meaning the new top rate would be as high as 43.4%.
Biden is also preparing to raise the top marginal income tax rate to 39.6% from 37%, according to reports by the New York Times and Bloomberg News, bringing the levy on investment gains into line with taxes on income.
The UK government was urged to bring taxes on investment into line with rates applied on income by the Office of Tax Simplification last year.
The Biden administration is planning a sweeping overhaul of the US tax system designed to make wealthier individuals and big companies pay more in tax, tackling inequality and helping to foot the bill for the president’s economic agenda. » | Richard Partington | Friday, April 23, 2021
May 27, 2010
TIMES ONLINE: The Prime Minister this morning gave no immediate reassurance to hundreds of thousands of stock market speculators and second home owners who are scrambling to offload their assets to avoid the threat of higher Capital Gains Tax.
Questioned about the growing fury in the ranks of his own backbenchers about the government’s proposed tax raid on wealth, David Cameron would say only that entrepreneurs would be exempted from higher tax rates that would damage small businesses.
He showed no signs of backing down in the face of the campaign mounted by the former Cabinet minister John Redwood and the former shadow home secretary David Davis to protect the investments of retired people and the better off - many of them grassroots Tory supporters in the shires.
The coalition is proposing to raise CGT, currently set at 18 per cent on all gains over £10,100 a year, to a level closer to that of income tax - potentially up to 40 or even 50 per cent.
The move, which is integral to the coalition deal with the Liberal Democrats and expected to form part of the Chancellor’s emergency budget on June 22, is threatening the coalition with its first serious rift. >>> Jenny Booth | Thursday, May 27, 2010
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