Bye bye Starmer

[ZedLeg]

This is the root of the problem, you close a loophole snd the people who use the loopholes just find another, possibly dragging another group of innocent bystanders along with them when it get’s closed.

[GG.]

The problem is you're buying into the whole "we're closing a loophole" narrative. Yes there were wealthy people buying farmland as a loophole but the Labour government have used that to reduce the allowances for lots of people not using this as a loophole. Which is simply a change in policy, nothing to do with tax avoidance.

[Jobbo]

Harry Metcalfe complained about the price of farmland being pushed up. Taking away the demand from those using it as a tax planning device may assist actual farmers.

[ZedLeg]

They’re the innocent bystanders in my post GG.

It was clearly a loophole. I’m not buying into anything

[mik]

As noted - I wasn't aware of the previous Farming IHT situation until it changed.

What's the tax implication if you pass another business down to your kids? Random example : a Porsche Servicing/Repair specialist. If the owner has a daughter that may or may not be a current employee, and is interested to take over the business when they pass : what are the tax implications?

(As you can tell - my parents weren't business owners, or farmers).

[Gavster]

Harry Metcalfe complained about the price of farmland being pushed up. Taking away the demand from those using it as a tax planning device may assist actual farmers.

That's a good point, there is a massive problem with the ageing farming population, only 15% are under 45, while 38% are over 65. There's a lack of new blood which is partly down to the expense of buying a farm. However, whether that's really going to be helped by this, or if it's simply the result of being a small island with a growing population which makes land expensive.

[Jobbo]

@Mik: Any other business is part of the owner’s estate for IHT.

[Gavster]

It's a weird one because farming is inherently a family business, that's true around the world and gives a strong reason to protect farms. But if younger generations are not taking up farming in this country, then why should they get IHT relief?

[mik]

@Mik: Any other business is part of the owner’s estate for IHT.

Thanks. So it sounds like a loophole has been closed, and farms have been (broadly) aligned with other businesses?

Harry makes some good points, but it sounds like they are now being forced to eat from the same shit sandwich that pretty much everyone has to feed on?

[Mito Man]

Can’t see land prices dropping at all or really being impacted. It’s now treated the same as any other asset, not taxed punitively compared to other assets.
Large corporations and developers in wait will be happy to pick up whatever land comes for sale.

[Jobbo]

It's a weird one because farming is inherently a family business, that's true around the world and gives a strong reason to protect farms. But if younger generations are not taking up farming in this country, then why should they get IHT relief?

That’s exactly the sort of argument Clarkson might use, yet in his TV series Caleb is not a family member and presumably can’t afford to buy his own farm despite farming being his skill set.

[Gavster]

It'd be interesting to know Kaleb's background because he chose to go into contracting rather than running his own farm. I wonder if his parents have a farm, he's obviously grown up on one based on his knowledge at his age.

[Rich B]

Some of my family live up in derbyshire and my cousin has just married a farmer. they spend a lot of their teens together going out with the young farmers groups. it’s pretty huge and not all of them will have a family with a farm big enough to turn it into a career for all their kids.

[Mito Man]

I never looked into agricultural property relief, as it doesn't affect me, but perusing through it during lunch now I have learned a few things. Which now make other things make sense.
You can't just buy a load of fields, leave it and then get IHT relief, the land has to be worked.
Amongst the things that will get you relief such as growing crops, rearing animals etc there is "trees that are plants and harvested at least every ten years". However, they don't actually have to do anything such as harvesting it, because after 10 years, the land will become eligible for woodlands relief - which is still available.
Which explains the explosion in signs on many fields for sale saying "tree planting land for sales"
Furthermore, seems like this is all still ok to do. Buy a field, plant trees, don't die for 10 years...

[ZedLeg]

Definitely won’t cause a food crisis in about 5 years

[V8Granite]

Definitely won’t cause a food crisis in about 5 years

Remember that solar farms on good land gives them a special certificate that says they are saving the planet, food is very last year.

Dave!

[Mito Man]

Also solar farm means you're not having animals farting, and you're not adding to nitrate pollution. Win win for the planet.
We'll just import our food from other countries and then donate £5 a month to Oxfam when the famines come along.

[GG.]

Exactly. Much of the green and eco movement is a performative sham. Recycling plastics by shipping them to China is a key example of that - it is actually more environmentally friendly to incinerate then dump them halfway around the world.

[ZedLeg]

Probably says something about us that every time we try and improve something it turns into a shell game.

[Swervin_Mervin]

This is a peach from the FCDO - ask for a discount from private schools to mitigate the increase from VAT:

https://www.msn.com/en-us/news/world/fo ... r-AA1tzdPT

I mean why wouldn't the Gov't just exempt military or diplomatic families from having to pay, or increase their allowance accordingly? Asking schools to discount fees is pretty hard-faced.