tag:blogger.com,1999:blog-1141932539860553199.post5669774541331421476..comments2024-03-05T10:52:24.691+00:00Comments on Mark Wadsworth: More glorious Home-Owner-Ist DoubleThink.Mark Wadsworthhttp://www.blogger.com/profile/07733511175178098449noreply@blogger.comBlogger9125tag:blogger.com,1999:blog-1141932539860553199.post-51699036983316528992015-04-26T16:01:04.476+01:002015-04-26T16:01:04.476+01:00Only my closest acquaintances know that my real na...Only my closest acquaintances know that my real name is Phenian O'Craight abd that I am the proprietor of a vast mansion in a remote corner of Northumberland.<br /><br />Ever since the Mansion Tax was announced, I have been working on plans to convert my West Wing into stables to bring its value below the threshold. If this goes ahead I shall proceed with my plans and purchase some thoroughbred racehorses for breeding.Physiocrathttps://www.blogger.com/profile/13682019625346594568noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-6434356035097563122015-04-26T15:54:22.930+01:002015-04-26T15:54:22.930+01:00Different rates of tax for land in different class...Different rates of tax for land in different classes of use will distort the market.Physiocrathttps://www.blogger.com/profile/13682019625346594568noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-31417800600026300252015-04-24T22:08:11.033+01:002015-04-24T22:08:11.033+01:00'Therefore it must be a bad tax'
They'...'Therefore it must be a bad tax'<br /><br />They're not wrong about that, either, but just not for the right reason.Bayardhttps://www.blogger.com/profile/15211150959757982948noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-28952617952342804602015-04-23T22:11:46.954+01:002015-04-23T22:11:46.954+01:00Din, I do not understand your comment.
The tax on...Din, I do not understand your comment.<br /><br />The tax on high value dwellings was misnamed 'Mansion Tax'. Fact.<br /><br />The London Homeys point out that many dwellings worth £2m plus are flats or small houses, not mansions. Correct. Fact.<br /><br />Ed Miliband agreed with both of these facts and confirmed that he neither knew who misnamed the tax nor was his dwelling a mansion (even though I am sure it is pretty nice).<br /><br />And now the London Homeys deride him as 'out of touch'. You can't argue with facts.Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-62025039018815915562015-04-23T22:08:14.879+01:002015-04-23T22:08:14.879+01:00JJ, yes, I've made that point many a time.
C...JJ, yes, I've made that point many a time. <br /><br />Clearly you can't convert an out of town iron smelter to residential, but in urban areas a building can easily be switched from residential to commercial. <br /><br />So there is an easy massive windfall tax arbitrage gain to be had from <a href="http://www.24dash.com/news/housing/2014-11-11-Over-half-of-London-office-to-residential-conversion-plans-given-green-light" rel="nofollow">converting from C to R</a>. <br /><br />So much so that inner London councils have to invent new rules to prevent landowners from doing just that.<br /><br />But as RS says, to a small extent this is negated by the tax breaks for commercial letting.Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-33417135319980533592015-04-23T21:45:04.533+01:002015-04-23T21:45:04.533+01:00James James.
You're allowed to invest pension...James James.<br /><br />You're allowed to invest pensions and other financial instruments tax free into commercial property but not residential.<br /><br />Though its a poor way to do it, the amount might be about the same.Robin Smithhttps://www.blogger.com/profile/04648517992918303543noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-46485281464611942792015-04-23T21:42:38.569+01:002015-04-23T21:42:38.569+01:00On the term Doublethink I was at the Ministry of T...On the term Doublethink I was at the Ministry of Truth the other day:<br /><br />https://plus.google.com/u/0/photos/105495068150845638361/albums/6141036823447227057/6141036828436909090<br /><br />https://plus.google.com/u/0/photos/105495068150845638361/albums/6141035629539890001/6141035631773581218<br /><br />https://plus.google.com/u/0/photos/105495068150845638361/albums/6141036731654745985/6141036735181672754<br /><br />Apolgies for the massive link. WE now live in the ultra low quality, ultra high quantity technology world of the Internet.Robin Smithhttps://www.blogger.com/profile/04648517992918303543noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-5591257302004883532015-04-23T21:08:04.534+01:002015-04-23T21:08:04.534+01:00Off topic, could someone help me understand the ec...Off topic, could someone help me understand the economics of having two land tax regimes in the this country? We have council tax and business rates. Council tax is a very low land tax; most of the rent still goes to the landlord. Whereas business rates is quite high, with almost all the rent going to the state and very little left over for the landlord. Is that correct?<br /><br />Now, if commercial land can't be used for housing or vice versa, say because of planning law, then these two regimes are totally isolated, and don't affect each other. <br /><br />But, if commercial land can be converted to residential, then having business rates higher than council tax will create an incentive for landlords to do so. This will distort the land use market because there will be less commercial land available. It will also increase costs for business, i.e. the tax incidence will not be solely on the landlord but will affect the productive economy as well. <br /><br />Is that right? Businesses will have to pay higher rent until the return from the landlord's point of view is the same. Since the total amount of rent is the same, residential rents must fall. <br /><br />One way to look at it is that while the total amount of land is fixed (supply curve vertical), the amount of commercial and residential land is not fixed because commercial can become residential and vice versa, so they do not have vertical supply curves. <br /><br />Comments? James Jameshttps://www.blogger.com/profile/10487916621748348915noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-67824359262360131762015-04-23T11:20:44.054+01:002015-04-23T11:20:44.054+01:00You cant blame them. if you tell someone a=b and t...You cant blame them. if you tell someone a=b and they point out that its not, they are not wrong. Its the original message that is wrong, and Ed does not have an alternative message except that he himself can afford to pay it. Having a Nanny doesn't make your house a mansion, but does indicate something about your ability to pay it.<br />Have a listen to the J Vine show.<br /> <br />http://www.bbc.co.uk/programmes/b052j0gs#auto<br /><br /><br />1Hour 21 mins 30secondsDinerohttps://www.blogger.com/profile/14632385731642361211noreply@blogger.com