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Saturday, May 2, 2015


Responses to direct questions about the Mansion Tax to General Election Candidates have been mixed. None more so than from Labour Candidates themselves. All agree more money needs to be spent on the NHS but the way the Labour Leadership are hanging their whole spending programme on a Mansion Tax is not entirely supported at grass roots level. There are divisions that are beginning to show at the very top. See for example this recent article in the Daily Mail.
 



posted by FairHomeTax Team  02.05.15 10:08



Saturday, May 2, 2015




posted by FairHomeTax Team  02.05.15 09:45



Monday, February 16, 2015


 
At FairHomeTax we commissioned three major CEBR Economic reviews. The second clearly shows that a review of Council Tax is long overdue and by adding new bands onto the more expensive properties, this would indeed generate a more effective, fairer and progressive tax raising process that would be better than Mansion Tax. http://www.fairhometax.uk/FairCouncilTax_CEBR.html 
 
The esteemed journalist Simon Jenkins for the left of centre newspaper the Guardian seems to agree.  here's an extract from his article today: "A gap then emerged between advocates of Cable’s mansion tax, which would go to the Treasury, and those who wanted to reform council tax, which goes to local councils. The clearest need was to reform the top band, which had been fixed in 1991 at £320,000 (roughly £1m with house-price inflation today). When a higher band was introduced in Wales in 2005, starting at £424,000, it caused little fuss." 
 
To read the whole article click here


posted by FairHomeTax Team  16.02.15 15:34



Sunday, February 15, 2015


Labour's mansion tax: Charging foreign buyers and empty houses more would raise same cash for less pain. Targeted taxation could raise more than £6 billion next parliament without hitting cash-strapped families, according to new report
 
Labour could generate the same amount of money by ditching the mansion tax and instead raising levies on empty houses, foreign buyers and buy-to-let landlords, a new CEBR report has found.

Analysis by the Centre for Economics and Business Research (CEBR) found targeted taxation could raise more than £6 billion next parliament without hitting cash-strapped families. The findings call into question whether Labour’s plans to make people in houses worth more than £2 million pay more is the fairest way to boost revenues through property tax.

Howard Cox (pictured with Ed Balls), who runs centre-right Fair Homes Tax campaign and commissioned the research, said Labour was pursuing the policy for ideological reasons and called on them to reconsider. He criticised Ed Balls, the shadow chancellor, for refusing to consider ditching the mansion tax after the pair met for face-to-face discussions about the findings and other tax changes.

Labour proposes to charge people with a house worth between £2 million and £3 million an extra £250 a month – the equivalent of £3,000 more every year.

The CEBR research found that a similar amount could be raised by more targeted taxation. Charging foreign buyers a higher rate of stamp duty would increase tax revenues by a total of £3.3 billion by 2019-20, the report found. Allowing councils to charge a 100 per cent council tax premium on properties empty for longer than six months would generate an additional £1.3 billion by the end of next parliament while scrapping tax reliefs for buy-to-let landlords would add another £1.5 billion.

Mr Cox met with Mr Balls in Westminster (see photo) on Wednesday to discuss the findings and other tax issues but was left frustrated that the shadow chancellor showed no sign of changing his mansion tax plans.

"After meeting with the shadow chancellor and showing to him a haversack of independently produced evidence from the CEBR it's clear that the Labour Party leadership is not considering other fairer and considerably more effective family home tax raising approaches,” Mr Cox said. "They remain focused on taxing the nation's wealth creators and in many cases asset comfortable but income poor pensioners,” he added, saying the move was "ideologically driven” and reflects the "politics of envy”.

 
Sunday Telegraph 15th Feb 2015


posted by FairHomeTax Team  15.02.15 18:57



Thursday, January 22, 2015


Like the Mansion Tax, a fairly reformed council tax system would shift part of the tax burden to occupants of very high value properties and those that have benefited from above average house price growth. BUT, given that the average cost of moving up one band is £350 annually, the reform is unlikely to create substantial market distortions or unfairness.  See Daily Mail's Coverage of the FairHomeTax CEBR Report on how Council Tax should be the better option to raise revenue for the NHS and Local Services. At least there should be a debate in ParliamentDaily Mail Coverage of FairHomeTax's CEBR Report
 
Daily Mail Newspaper 22 Jan 2015 Page 10


posted by FairHomeTax Team  22.01.15 06:05



Saturday, November 29, 2014


Dailly Mail 29 Nov 2014 - FairHome Tax Research
The Daily Mail has given great coverage today (saturday 29th November 2014) to bringing  sense to the issue of fairer property taxation. To see their article click on the image in the blog or go to this link
To see the article above with other media coverage go to www.fairhometax.uk/MansionTaxPressCuttings.html


posted by FairHomeTax Team  29.11.14 11:59



Thursday, November 13, 2014


Proposals for a "Mansion Tax” claim that it would be a targeted and efficient tax that would be paid only by the very wealthy, and that high value residential property makes an unfairly modest contribution to tax receipts. These claims are flawed. A Mansion Tax would not take account of an individual’s ability to pay that tax. It would penalise those on low incomes living in parts of Britain where property happened to have substantially increased in value during the property boom or, in the case of elderly owners, during their period of ownership. It would be very complex to administer and collect. Accurate valuations of high value individual properties (which are by definition illiquid) are difficult to establish as:
  • there is little comparable transactional evidence;
  • an individual property’s value is determined by the interaction of many different, often intangible, attributes.
  • there would also be a high likelihood of legal dispute and calls for revaluation.
The UK already has by far the highest property tax take of all OECD countries (at 4.2% of GDP compared to an average of 1.8%). High value residential properties already make a high tax contribution:
  •  their Council Tax bills are twice the national average.
  • the highest 1.6% of sales yielded £1.2 billion in stamp duty in 2010. This is equivalent to 26% of all residential stamp duty. The new upper 5% Stamp Duty band will add around £290 million a year. Tightening up evasion would add another £150 million or so a year (assuming one in 10 transactions over £1 million avoid stamp duty).
  • the top 0.7% of housing stock held at death contributes 36% of inheritance tax receipts from residential property.
It is likely that a Mansion Tax would raise, at most, £1 billion – the equivalent of 0.2% of total tax revenues. But the damage it could do could be far greater, particularly if it undermined the UK’s attraction to
international entrepreneurs and investors.


posted by FairHomeTax Team  13.11.14 15:29





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For more details email contact@fairhometax.uk Tel: 07515421611   -  FairHomeTax, 1 Rammell Mews, Cranbrook, Kent TN17 3BQ

The Campaign for Fairer Tax on UK Homes is run by Howard Cox, the founder of the FairFuelUK Campaign.  Howard Cox is a staunch campaigner for stimulating the economy, motivating consumers and fighting unfair taxation. FairFuelUK, is the Nationally Recognised Award Winning Campaign fighting for lower petrol & diesel prices and is widely accredited with stopping £30 billion of road user taxes being levied on businesses & public in this Parliament. Without FairFuelUK prices at the pumps would be over £1.60 per litre. Its time for all Parties to recognise that the family home is not the tax cash cow for their spending aspirations. A property taxation reform is long overdue.