Nope.
Old fashioned independent family owned shop.
The Labour Government
- Thread starter SkyBlueFlux
- Start date
Old fashioned independent family owned shop.
metalblue
Well-Known Member
Because farm equipment is included in their costs. Per acre revenue - per acre costs (seed, machinery, labour) = profit. For smaller farms they’ll either “borrow” or ask another farmer to plant out / harvest. I’m not sure at this stage if you’re being facetious or you’re a bit thick.
metalblue
Well-Known Member
Governments own figures.
Some would call this cruel.
Winter fuel cut to put 50,000 pensioners into relative poverty
Government estimates reveal the impact of cuts to the winter fuel allowance, announced earlier this year.
www.bbc.co.uk
Some would call this cruel.
When it comes to farming I doubt there's any other industry where the business owners are able to blur the lines so much between the commercial business and domestic life, and in all aspects not just the financial side, even the more subjective issue of work-life balance.
All I know is despite living and working around farming all my life and putting up with the never ending whining and moaning and pleading poverty that I've heard from all farmers... I've never seen a farmer leave the industry altogether and go out and get a regular 9-5 PAYE job.
I have seen plenty of evidence that farmers do just fine financially despite declaring they have such supposedly low incomes and poor profit margins and they're far from working their fingers to the bone 24/7 outside of the busy periods of the typical farming year.
All I know is despite living and working around farming all my life and putting up with the never ending whining and moaning and pleading poverty that I've heard from all farmers... I've never seen a farmer leave the industry altogether and go out and get a regular 9-5 PAYE job.
I have seen plenty of evidence that farmers do just fine financially despite declaring they have such supposedly low incomes and poor profit margins and they're far from working their fingers to the bone 24/7 outside of the busy periods of the typical farming year.
The average farm makes £40,000 profit per year so the value of land is probably the only vehicle they have to sustain the business (by borrowing money against it). Without this, no farmer can afford to farm. If you need £100k of equipment and supplies then you're going to struggle to borrow on profit alone. Those profits have also struggled massively due to cost rises over the last 5 years.
I actually disagree with these assessments of land values because most farmland is only worth its value as a farm. If a farm only makes £40,000 per year and the land costs say £1m then that isn't a viable business that anybody would buy. Farmers are the only potential purchasers because a farmer sees a farm as more than just a business which is why they indeed don't just quit to work 9-5.
Either way I think the logic is pretty simple. Would everybody like to pay more for their food? No. So do we need farmers to succeed and lower their costs? Yes. Is the government making it easier? No.
I'd understand if this raised £50bn but it won't, it'll raise around £500m maximum, city will pay more for 5 players. The return to the treasury is meaningless so it's nothing more than an ideological tax. It'll raise even less in the end because most affected farmers will take advice and give up their ownership and put their land into discretionary trusts in which case IHT doesn't even apply.
bluethrunthru
Well-Known Member
Soz mate but this is untrue and why the tax is being brought in. For some years farmland has been worth what somebody will pay for it if they are looking for a tax dodge its returns as a farm is less relevant as how much the value of that land will increase as other speculators look for land to invest in.
blueparrot
Well-Known Member
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And with many that do.
stonerblue
Well-Known Member
my daughter is about to get an IHT bill.
She's not a farmer but works part time as a special needs teacher. No savings but 'owns' a house that's worth about 20k more than her mortgage.
If she has to pay the tax, why should a farmers kids be exempt?
She's not a farmer but works part time as a special needs teacher. No savings but 'owns' a house that's worth about 20k more than her mortgage.
If she has to pay the tax, why should a farmers kids be exempt?
I'm not sure how "relative" poverty works in this. Part of the government's argument is that withdrawing the WFA(=£4 or £6/week) is in the context of an increase in the state pension over 3 years of £45/week. Those who would be put into relative poverty (not necessarily the same 50,000 each year) can't be those on Pension Credit so must be people just over the Pension Credit threshold or entitled but not claiming. Yet other benefits and average wages haven't gone up by as much as the triple-lock pensions, so against whom are these 50,000 relatively poorer? Children in poverty? Other pensioners with private pensions?Governments own figures.
Winter fuel cut to put 50,000 pensioners into relative poverty
Government estimates reveal the impact of cuts to the winter fuel allowance, announced earlier this year.www.bbc.co.uk
Some would call this cruel.
I must be missing something. No-one pays IHT on a house they own, because they'd be dead.