New data just released by HM Revenue & Customs shows income tax, national insurance and capital gains tax receipts for April to October rose by £28.1 billion to £235.6 billion.
Stamp duty receipts came in at £12.4 billion, which is £2.2 billion higher than in the same period a year earlier. Inheritance tax receipts were up £0.5 billion to £4.1 billion.
Helen Morrissey, senior pensions and retirement analyst at Hargreaves Lansdown, says: “HMRC’s tax take continues to soar with the amounts of income tax, capital gains, inheritance tax and stamp duty heading skywards as a combination of threshold freezes and strong demand for property continue to play out.
“The squeeze looks set to continue with these taxes taking centre stage in the Chancellor’s Autumn Statement with income tax and inheritance tax frozen for a further two years and the threshold for additional tax rate payers slashed. Capital Gains Tax changes will penalise those holding investments outside ISAs and pensions and stamp duty changes may force one last stampede to purchase that dream home before the threshold goes back down in 2025.
“One thing for sure is that these changes will shift our behaviour as the income tax squeeze prompts more of us to tighten our belts.
“We may see more people choosing to hoard their assets rather than sell them and be stung by Capital Gains Tax or they may choose to invest more in ISAs and pensions instead. Putting an expiry date on [the Liz Truss government’s] stamp duty increases may prompt more people to stretch their budgets that bit further to buy a new home but the reality for many people is that soaring mortgage rates and the continuing squeeze on our finances are already making moves unaffordable.
“Looking at the Office for Budget Responsibility’s recent forecasts shows a complex picture.
“The income tax take is expected to continue to rise over the coming years providing much needed funds for the Treasury but in the coming years the amount of CGT and stamp duty taken is expected to slump as this complex picture of squeezed finances, frozen thresholds and modified behaviour continues to play out.”
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This green melon government will be remembered for the destroying the economy.
The other lot would be even worse.
The ever increasing success of legalised theft. And I’m sure the best is yet to come!
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