new inheritance tax proposals

In the small print of Gordon Brown's 2005 pre-budget report was an alteration to the payment of inheritance tax.

Payments on account, a familiar feature of self-assessment, are to be incorporated into the new structure.

The result will be that individuals will need to pay towards their anticipated inheritance tax bill prior to their demise.

When challenged about this in the House of Commons, Gordon Brown indicated the following:-

- It is unrelated to the gargantuan current account deficit

- It is clear that the liability will crystallise eventually and the burden will be softened by paying towards it at an earlier point in time

- It is only fair that those intending to die make a fair contribution to the NHS which will attempt to revive them

To upproarious applause from the Labour backbenchers, Mr Brown added that: "With this new structure we will reward those who accumulate large sums of money in their lifetime by assisting them in spending it."

It is understood that under the new regime, penalties will apply to those who fail to live to the anticipated life expectancy which the government actuary accords to persons with their circumstances. Interest will be charged on missed instalments and will be offset against the estate which is liable to be distributed to beneficiaries.

Reply to
scott2k5
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In message , scott2k5 writes

I _assume_ this is a joke, but the worrying thing is I can't be sure.

Reply to
me

It's deadly serious, but our mole in the treasury misunderstood the bit about penalties. Those who fail to live to their alloted time will not be charged penalties, rather they (that is, their estates) will be rewarded to take account of the saving the govt (and the economy as a whole through any private pension provider) will make through not having to dish out their pension for the remaining years. Instead, there will be a penalty to those who *outlive* their alloted lifespan. In early draft stages of the document it was thought that the death penalty should apply, but it was feared this would not go down too well with the voters, so it was watered down, and instead their pension will simply stop until the pensioners have spent enough of their wealth to bring their estate below the IHT threshold.

Reply to
Ronald Raygun

Yes, i checked the calendar myself-this cant possibly be true!. It is so funny.

Remove antispam and add 670 after bra to email

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Reply to
tarquinlinbin

I anticipated this move, having known my new local MP for about 14 years, he took me into his confidence, and I assure readers that I have been spending my kids inheritance like crazy. There is so much cheap electronic stuff about that it would be silly to miss the opportunity.

I don't know how I used to manage without two DVD recorders and three GPSRs, yet when you have 'em you just take 'em for granted.

Reply to
Gordon

In message , " snipped-for-privacy@privacy.net" writes

Ditto

Reply to
Richard Faulkner

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