tag:blogger.com,1999:blog-1141932539860553199.post4635156271108003266..comments2024-03-05T10:52:24.691+00:00Comments on Mark Wadsworth: Killer Arguments Against LVT, Not (478)Mark Wadsworthhttp://www.blogger.com/profile/07733511175178098449noreply@blogger.comBlogger11125tag:blogger.com,1999:blog-1141932539860553199.post-28620401274393971092020-01-22T18:16:36.242+00:002020-01-22T18:16:36.242+00:00Ph, read my explanation. I have thought about and ...Ph, read my <a href="http://kaalvtn.blogspot.com/p/valuations-and-potential-lvt-receipts.html#4" rel="nofollow">explanation</a>. I have thought about and addressed all this!<br /><br />Q: "what is the relationship between payments in each band in each area? What about the difference between values in Westminster and West Hartlepool?"<br /><br />A: "in the very cheapest areas, Band D tax (typical three-bed semi) will be £900 a year; Band A tax (studio flat) £450; and Band H tax for very large detached homes/plots £1,800.<br />- in median areas, Band D will be £6,000; Band A tax £3,000; Band H tax £12,000.<br />- in top decile areas (mainly London), Band D tax will be £14,000; Band A tax £7,000; and Band H tax £28,000."<br /><br />(Westminster is in the two or three most valuable of all, so the tax would be even more than that) <br /><br />Q: "Where does WH get its money from, given that so much of council expenses is relatively independent of where they are?"<br /><br />A: "This amount [LVT collected nationally] will be pooled and redistributed to local councils on a per capita basis (plus/minus a myriad of adjustments for other economic and political factors of no relevance here)."Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-27981454389488455202020-01-21T08:09:24.956+00:002020-01-21T08:09:24.956+00:00OK, what is the relationship between payments in e...OK, what is the relationship between payments in each band in each area? What about the difference between values in Westminster and West Hartlepool? Where does WH get its money from, given that so much of council expenses is relatively independent of where they are?Physiocrathttps://www.blogger.com/profile/13682019625346594568noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-29150038299630976902020-01-21T08:02:21.039+00:002020-01-21T08:02:21.039+00:00Ph. The arithmetic is simple.
1.A homes banded by...Ph. The arithmetic is simple.<br /><br />1.A homes banded by size into bands a to h, instead of being banded by 1991 value.<br /><br />2. At present, band d tax varies from area to area depending on council's other finding sources.<br /><br />In future, band d tax will vary from area to area depending on site premium of a band d home in each area.Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-45637501659510753832020-01-20T10:21:22.941+00:002020-01-20T10:21:22.941+00:00I do not agree with increasing CT (or IT for that ...I do not agree with increasing CT (or IT for that matter). Why not remove CT and IT and increase LVT by a bit?Lolahttps://www.blogger.com/profile/04586735342675041312noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-52629765326623947262020-01-19T19:35:51.422+00:002020-01-19T19:35:51.422+00:00Can you explain the arithmetic of that?Can you explain the arithmetic of that?Physiocrathttps://www.blogger.com/profile/13682019625346594568noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-46598298370115047662020-01-19T18:07:04.768+00:002020-01-19T18:07:04.768+00:00Ph, nope. On a local level, the banding system is ...Ph, nope. On a local level, the banding system is fine, it is Band D tax that should be variable across the country.<br /><br />http://kaalvtn.blogspot.com/p/valuations-and-potential-lvt-receipts.html#4Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-69154542336216569612020-01-19T17:33:50.146+00:002020-01-19T17:33:50.146+00:00I suggest the following done together as a package...I suggest the following done together as a package<br />1) A quick fix for the Council Tax would be to <br /><br />1a) Change the ratio between band A and top band, currently 1:3.<br />2b) Introduce one or two additional bands at the top end.<br />3c) Introduce a national component to equalise the differences between values in different local authority areas.<br /><br />2) SLDT should be flat rate to reflect the costs to the Land Registry. Unregistered land should become registered on transfer of title.<br /><br />3) IHT - scrap.Physiocrathttps://www.blogger.com/profile/13682019625346594568noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-3264656941436692602020-01-18T18:40:33.116+00:002020-01-18T18:40:33.116+00:00B, share prices are a multiple of post-tax profits...B, share prices are a multiple of post-tax profits, and share prices (or the returns to investors) are depressed by stamp duty. If stamp duty is scrapped and corporation tax rates go up accordingly, the two effects will cancel out. Investors will get slightly lower dividends but will save 0.5% when they buy and sell, so they won't care.<br /><br />Stamp Duty is not "nearly all paid by speculators". The real speculators, the high frequency traders, don't pay Stamp Duty at all, they have the exemption for intermediaries. Their average profit margin per trade are tiny, far less than the 0.5 Stamp Duty. Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-24574974090833735472020-01-18T17:32:57.124+00:002020-01-18T17:32:57.124+00:00(Stamp Duty on share sales is another dreadful tax...(Stamp Duty on share sales is another dreadful tax, but it would seem appropriate to make up the shortfall from scrapping it by increasing the corporation tax rate so that costs and benefits cancel out).<br /><br />How does this work? Corp tax comes out of the company's profits. Stamp duty on share sales is nearly all paid by speculators, or am I missing something?<br />Bayardhttps://www.blogger.com/profile/15211150959757982948noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-8139095949437837652020-01-17T18:19:28.664+00:002020-01-17T18:19:28.664+00:00B, thanks.B, thanks.Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-76409839973534793422020-01-17T17:52:08.201+00:002020-01-17T17:52:08.201+00:00100% of land's rental value collected 100% of ...100% of land's rental value collected 100% of the time is an ideal, not a practical possibility. But so is justice correctly administered 100% of the time. In both cases, for the same reasons, we should strive to get as close to that ideal as it practically possible.<br /><br />For sure we'd catch a lot more criminals, and have a better judiciary if we threw a lot more money at the problem. Cost/benefits says no. Same with LVT. Close enough is good enough.benjhttps://www.blogger.com/profile/11544297406005346095noreply@blogger.com