Menu
24/09/2004
Tories pledge to review 'unfair' inheritance tax
The Conservative Party is "examining the future of Inheritance Tax", and has said it would reduce death duties if the party gained power after the general election next Spring.
The possibility of raising the threshold for the tax from the current £263,000 ceiling is being considered by shadow ministers during a wide ranging review of policy in preparation for next month's Conservative conference.
Senior Tories said that "thousands of hard-working families are now being swept into the inheritance tax net" because of Labour's failure to raise the threshold, and many of the 1.5 million council houses – purchased under the Thatcherite ‘right to buy' scheme – have been "falling into the tax trap".
In 1997, only Gerrards Cross in Buckinghamshire had an average house price above the inheritance tax threshold. Now there are 86 towns in that category – and the list is still growing, with a million houses becoming potentially liable to inheritance tax in the past two years, the Tories claimed.
Despite refusing to give tax cutting commitments, Shadow Chancellor Oliver Letwin said that the inheritance tax system had become "plain unfair".
"Once only the very rich paid it, but under Gordon Brown it is hitting ordinary families all over Britain," he said.
"Two and a half million houses with six million people living in them are potentially liable to inheritance tax and the number is rising rapidly. Even former council houses are being drawn into the net. This problem needs to be remedied."
However, Shadow Treasury Minister George Osborne said it would be "irresponsible" to give a commitment to cutting the tax.
"When we have done our sums, when we have seen what Gordon Brown has left us in terms of the state of the economy, then we will see what can be done. But people should be in no doubt that we want to cut taxes," he said.
(gmcg/mb)
The possibility of raising the threshold for the tax from the current £263,000 ceiling is being considered by shadow ministers during a wide ranging review of policy in preparation for next month's Conservative conference.
Senior Tories said that "thousands of hard-working families are now being swept into the inheritance tax net" because of Labour's failure to raise the threshold, and many of the 1.5 million council houses – purchased under the Thatcherite ‘right to buy' scheme – have been "falling into the tax trap".
In 1997, only Gerrards Cross in Buckinghamshire had an average house price above the inheritance tax threshold. Now there are 86 towns in that category – and the list is still growing, with a million houses becoming potentially liable to inheritance tax in the past two years, the Tories claimed.
Despite refusing to give tax cutting commitments, Shadow Chancellor Oliver Letwin said that the inheritance tax system had become "plain unfair".
"Once only the very rich paid it, but under Gordon Brown it is hitting ordinary families all over Britain," he said.
"Two and a half million houses with six million people living in them are potentially liable to inheritance tax and the number is rising rapidly. Even former council houses are being drawn into the net. This problem needs to be remedied."
However, Shadow Treasury Minister George Osborne said it would be "irresponsible" to give a commitment to cutting the tax.
"When we have done our sums, when we have seen what Gordon Brown has left us in terms of the state of the economy, then we will see what can be done. But people should be in no doubt that we want to cut taxes," he said.
(gmcg/mb)
Related UK National News Stories
Click here for the latest headlines.
27 April 2005
Voters opposed to inheritance tax policy
Almost eight out of ten people believe the inheritance tax threshold is “grossly unfair”, research by financial service group Friends Provident has found. The rise in house prices over the last decade has seen millions more people becoming affected by the inheritance tax.
Voters opposed to inheritance tax policy
Almost eight out of ten people believe the inheritance tax threshold is “grossly unfair”, research by financial service group Friends Provident has found. The rise in house prices over the last decade has seen millions more people becoming affected by the inheritance tax.
30 November 2010
Corporation Tax Reform To Create 'Competition'
The Government has published details of its Corporate Tax Reform programme consisting of a series of essential reforms designed to improve the UK's tax competitiveness. Measures include the introduction of new Controlled Foreign Company (CFC) rules and a commitment to introduce a Patent Box.
Corporation Tax Reform To Create 'Competition'
The Government has published details of its Corporate Tax Reform programme consisting of a series of essential reforms designed to improve the UK's tax competitiveness. Measures include the introduction of new Controlled Foreign Company (CFC) rules and a commitment to introduce a Patent Box.
10 October 2007
Cameron Brands Brown 'A Phoney'
Conservative leader David Cameron clashed with Prime Minister Gordon Brown, branding him a "phoney" during Prime Minister's Questions in the House of Commons on Wednesday. Mr Cameron accused Mr Brown of "bottling out of an election", of copying Conservative tax plans and for refusing to hold a referendum on the EU Treaty.
Cameron Brands Brown 'A Phoney'
Conservative leader David Cameron clashed with Prime Minister Gordon Brown, branding him a "phoney" during Prime Minister's Questions in the House of Commons on Wednesday. Mr Cameron accused Mr Brown of "bottling out of an election", of copying Conservative tax plans and for refusing to hold a referendum on the EU Treaty.
11 August 2003
Inland Revenue highlights tax credits uptake
Of the six million families expected to benefit from the Child and Working Tax Credits, more than 5.7 million families are doing so already, according to the Inland Revenue (IR). Over 250,000 more tax credit awards were put in place over the last four weeks alone, the IR said.
Inland Revenue highlights tax credits uptake
Of the six million families expected to benefit from the Child and Working Tax Credits, more than 5.7 million families are doing so already, according to the Inland Revenue (IR). Over 250,000 more tax credit awards were put in place over the last four weeks alone, the IR said.
31 March 2005
Lib Dems pledge to scrap 'unfair' council tax
The Liberal Democrats have vowed to scrap the "unfair" council tax, on the 15th anniversary of the poll tax riots. The party said that the council tax should be replaced with a local income tax, based on the ability to pay.
Lib Dems pledge to scrap 'unfair' council tax
The Liberal Democrats have vowed to scrap the "unfair" council tax, on the 15th anniversary of the poll tax riots. The party said that the council tax should be replaced with a local income tax, based on the ability to pay.
-
Northern Ireland WeatherToday:Cloudy morning with patchy rain clearing away to the north. Direr, brighter weather following with spells of warm sunshine this afternoon and also a few light showers. Maximum temperature 18 °C.Tonight:It will be a mostly dry night with clear periods. Some patches of mist and fog will form towards dawn. Light winds. Minimum temperature 9 °C.
