Just Too Late – Monday Musings 20/09/2021
I have just returned from visiting my family in Guernsey. Among my relatives one runs an offshore trust company, and another has a very successful fruit and veg wholesaling business. During a long and delightful dinner, they were extolling the virtues of living on the Island. In truth although living on a small Island is challenging, Guernsey does have some huge tax attractions. If you run a business there is no Corporation Tax, the maximum level of personal tax is 20% and there are no Capital Gains or Inheritance Taxes. You are probably asking why I am still here in the depths of Hampshire rather than living over there. In truth I have left it too late to move. My affairs are so structured that I cannot take advantage of the opportunities that Guernsey offers.
Although this musing is not the right place to expand on the ways the above can help, and to be honest, as I have said, living on a small Island has its challenges. If you would like to have a chat about where a tax regime, such as Guernsey’s can help, do get in touch. I should stress that I am not a tax accountant and that any advice I give needs to be checked with an expert.
Back on planet Earth you have probably seen that inflation has moved ahead again with the Consumer Price Index (CPI) moving from 2% to 3.2%. The more usual index RPI which includes things such as mortgage interest has moved from 3.8% to 4.8%. Although there were some unusual factors such as the increase in the value of second-hand cars due to the shortage of new cars which could mean that this a temporary move, the increase in food prices and the upward movement of energy may indicate that the increase is likely to remain. All of this means that when the Bank of England Monetary Committee meets this week they will have quite a conundrum on their hands, do they leave interest rates where they are or make a slight increase to base rate?
|04.01.2021||20.09.2021||% Change||% Change on week|
|FTSE 100||6571.80||6963.64||Up 5.96||Down 0.93|
|Dow Jones||30105.26||34584.88||Up 14.87||Down 0.07|
|Nasdaq||12696.74||15043.97||Up 18.48||Down 0.47|
|S&P||3695.49||4432.99||Up 19.94||Down 0.57|
|NIKKEI||27228.07||30500.05||Up 12.01||Up 0.39|
|Hang Seng||27431.07||24920.76||Down 9.15||Down 4.90|
|Shanghai||3502.13||3613.97||Up 3.16||Down 2.41|
|CAC 40||5584.96||6570.19||Up 17.65||Down 1.40|
|DAX||13733.08||15490.17||Up 12.79||Down 0.77|
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