Wealth tax17 Dec 2020 11:28
I read recently about the idea of a wealth tax, they proposed a 5% tax on an individual above the threshold of £500,000 including isa, property, pension and savings. It was also proposed as a one off payment spread over 5 years. This was said to raise £250 billion to help pay for covid. It seems to me that the longer we are in this mess the more likely this could happen. It seems unfair that people like myself who have built up my wealth so not to rely on state so much at retirement, will be the one's who pay.
For myself, I spent most of my life working for a small family business not earning very much trying to keep the business afloat. Eventually after 25years, the business folded in 2008 and I received a redundancy package along with other employees. I invested my money, taking risks to build up a retirement fund over the year's and am now getting closer to my target. It really hasn't been easy, often trades went very badly and very close at times to loosing the lot. I'm now mortgage free and have a pension, isa, and savings. My other colleagues decided to spend the redundancy payment on a expensive cars, holidays or both and now have nothing. Two of them had the house reposesed and now living in council accommodation and claim everything they can. I know I've done well, but is it really fair? I wasn't born with a silver spoon, I have worked hard for what I have and now if at some point this comes in will have to find money to pay this tax. Sorry for winge but just wanted to share my concerns with fellow investors.