Latest news with #wealthTax
The Independent
5 days ago
- Business
- The Independent
Farage plans to charge non-doms £250,000 fee which will be given to poor
Reform UK would reinstate non-dom status for wealthy individuals for a £250,000 fee which would be given to Britain's poorest workers, Nigel Farage has announced. On Monday, the party leader and MP for Clacton will reveal the policy which he said would 'encourage the return of wealth and talent to the United Kingdom', according to the Telegraph. The Labour Government abolished the non-dom tax status in April, which is where UK residents whose permanent home or domicile for tax purposes is outside the UK. Last year, former Conservative chancellor Jeremy Hunt revealed plans to scrap the tax status before successor Rachel Reeves sped up the process. Reform UK's policy would mean 'every high-net-worth newcoming (or returning leaver)' would pay a £250,000 one-off fee 'in return for a stable, indefinite remittance-style regime on offshore income and a 20-year inheritance-tax shield', Mr Farage wrote in an article for the Telegraph. All of this fee would be given to Britain's lowest-paid full-time workers through an automatic tax-free dividend via HMRC, the party leader added. In response, Labour said the policy was a 'golden ticket for foreign billionaires to avoid the tax they owe in this country'. Mr Farage wrote: 'Our policy is simple – Britain must be a place where success is celebrated, not punished with excessive taxes, crippling energy costs, or punitive inheritance levies. 'We will actively encourage the return of wealth and talent to the United Kingdom, on the clear condition that those who come here deliver immediate, visible benefits to our workers.' The plan would mean around 2.5 million 'hard-working Britons' would receive an 'annual cash bonus', the Reform UK leader claimed. He added: 'Our policy is not a 'golden visa' or a backdoor to citizenship. 'It is a one-time flat tax paid by newcomers in exchange for the certainty of a favourable tax status. 'Individuals will still be liable for all standard UK taxes on UK-sourced income, property and spending. 'But they won't be taxed on offshore income and gains for the duration of their agreed status.' A Labour spokesperson said: 'Nigel Farage can brand this whatever he wants – the reality is his first proper policy is a golden ticket for foreign billionaires to avoid the tax they owe in this country. 'As ever with Reform, the devil is in the detail. 'This giveaway would reduce revenues raised from the rich that would have to be made up elsewhere – through tax hikes on working families or through Farage's promise to charge them to use the NHS.'
Free Malaysia Today
12-06-2025
- Business
- Free Malaysia Today
2% wealth tax would raise more than expanded SST, says ex-MP
Former Klang MP Charles Santiago argued that it is wrong to keep taxing consumption and not wealth, saying median wages barely keep up with inflation. PETALING JAYA : A 2% wealth tax would raise around 60% more than the RM5 billion in revenue the government hopes to obtain from its expansion of the sales and service tax (SST), says former Klang MP Charles Santiago. In a series of posts on X today, he commented on the assertion by deputy domestic trade and cost of living minister Fuziah Salleh that the government would become 'very unpopular' if it raised taxes on the top 10% of the nation's richest people and redistributed the wealth to the rest of the population. 'Malaysia's richest 50 hold US$90 billion (RM380.3 billion) in wealth, as per @Forbes. Why tax bananas and oil before mega mansions?' he said. Speaking at the BBC World Questions debate on Tuesday, Fuziah said that while the distribution of wealth should be more equitable and efficient, the government had to tread carefully in doing so. 'We already hear some noises when we talk about targeted petrol subsidies that may exclude the T20. 'Even the 2% dividend (tax) met some resistance,' Malay Mail reported her as saying, in reference to the introduction of a dividend tax on annual dividend incomes exceeding RM100,000 under the 2025 budget. Last year, finance minister II Amir Hamzah Azizan said the expansion of the SST was expected to generate RM51.7 billion in revenue in 2025, an additional revenue of RM5 billion over the previous SST collection forecast of RM46.7 billion. However, Santiago insisted that the matter ultimately boiled down to perspective and priorities. 'If you own RM100 million, a 2% wealth tax is RM2 million. That's one less Ferrari. Or less than your annual interest. But RM2 million could fund 500,000 school meals. This is about priorities,' he said. He also argued that it was wrong to keep taxing consumption and not wealth, saying median wages 'barely keep up with inflation'. '@UnicefMY shows low-income families spend 38% of their income on food. Inequality doesn't just grow, it erodes nations. Time to rebalance,' he said. He suggested that the increased revenue could be used, for example, to install solar panels for low-cost housing. 'This cuts electricity bills, creates income, and feeds clean energy into the grid,' he said.
