Media experts are saying that as a result of the budget the average home will pay £3000 more per year, but don’t worry, it is all in a good cause. £1 billion is being given to banks in tax breaks on their profits & foreign shipping companies are being given tax breaks to use the UK as a flag of convenience. Thank god for Brexit, as without it. That money could have been wasted on people who do not support the Conservative party & who actually pay UK tax at a fair rate.
However, to be fair the banks do need this tax break on profit. Poor Lloyds bank for example, has just announced that it only made £2 billion pounds profit during the last 3 months, so clearly their need is much more than the average electors.
The government has also cut taxes on internal UK flights, potentially increasing the number of people flying.
What percentage of people flying inside of the UK, I wonder, are travelling for leisure & what percentage are travelling for business & thus able to claim that travel expense back, if that travel is for a UK tax paying company?
The concept of reducing air travel tax makes no sense at all, especially so close to the COP 26 convention. And is it any wonder that environmental protests are a growing problem with ignorant government policy like this?
If all of the ships, owned by British Companies, are currently registered abroad, then perhaps all of the taxes, charges, etc. are paid into the funds of the “abroad” places.
Encouraging them to register, in the UK, and pay the required costs of doing so, would bring at least some of that money home!
Please explain how HMG will extract £3k annually from me a fully retired pensioner and also from my wife who like me is a fully retired pensioner, making a total of £6k from this married couple.
No, tax has nothing to do with where the boat is registered & everything to do with how & where the company is registered.
The flag a vessel sails under simply effects where the vessel is registered to & which countries legislation & enforcement that that vessel operates under.
In the 80’s for example. Radio Carolines ship the Ross Revenge. Her ownership was unknown & legally unprovable & her registration ran out whilst she was at sea & was never reapplied for. But because she was in international waters, very little could be done about that & I am not exaggerating to say whole books have been written about how the Ross Revenge operated, was registered & owned.
@Gee3 , l thought owners of ships had to pay tax to the country
they are registered in Gee3 ?
That’s why owners choose to register in banana republics , because their tax rates are usually much lower than a developed
country?
The same is true of companies too, Amazon and Virgin come
to mind ??
Donkeyman!
No, the ships registration is totally separate to the company. Hence, flags of convenience. Shipping companies often flag their vessels based upon the terms & conditions of registration & enforcement. Hence, the reason why most dodgy ships/owners normally fly the same flags.
There are two forms of ship registration. Open, is where a country allows a company in any country to register ship & Traditional is where the ships owner must be registered in that country. But even with traditional, that does not mean the company pays tax in that country.
Edited to add. To register a ship in the UK. After a long list of who can register a ship, the UK ships register says…
If none of the qualified owners are resident in the UK, a representative must be appointed who is either of the following:
an individual resident in the UK
a company incorporated in one of the EEA countries with a place of business in the UK
So just appoint a solicitor etc to act on your behalf & the criteria is met.
!!!