Insights
41 results
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11 Jun 2021Tax changes ahead
As Government attention turns to the large deficit caused by COVID-19, there may be tax rises ahead. -
04 Mar 2021Budget 2021: Companies to carry the tax burden for COVID-19 support to professional practices
The Chancellor previously commented that given the level of support provided to the self-employed during the pandemic, it was harder to justify the inconsistencies in national insurance contributions between people of differing employment statuses. This resulted in speculation of a possible alignment of national insurance rates paid by employed and self-employed individuals. If introduced, this could have represented a significant cost to self-employed individuals of professional practices in an LLP or partnership. National insurance rates, however, remain unchanged, along with rates of income tax and capital gains tax. There has been a small increase in the higher rate threshold for income tax and Class 4 NIC, together with a similar increase in the personal allowance for 2021/22. These thresholds will then be frozen until 2025/26, which will effectively increase the tax burden on many individuals over time. -
04 Mar 2021Budget 2021: Real Estate sector to benefit from significant reliefs to incentivise investment in infrastructure
The Budget has focussed on investment in infrastructure as a way to bolster the UK economy. the further support for the real estate industry as a whole is very welcome. There are extensions to both the Stamp Duty Land Tax (SDLT) and business rates holidays along with significant tax reliefs available to those businesses investing in the new Freeports of the UK over the next 5 years. -
04 Mar 2021Budget 2021: Many changes for large and international businesses with new tax reliefs, investment incentives and an increase to the corporation tax rate
The increase in the corporation tax rate to 25% was the headline grabbing announcement and consistent with the Chancellor’s warnings that the pandemic support measures needed to be funded. The increase is expected to raise £17 billion in 2025/2026, although this also accounts for ‘behavioural changes’ as a result of various incentives according to the Government’s policy paper. -
04 Mar 2021Budget 2021: Financial Services sector supported by new opportunities
There were a number of changes announced for businesses in this Budget. For the Financial Services sector this Budget provided several new growth initiatives to encourage investment into the UK. -
04 Mar 2021Budget 2021: Non-doms can rest easy for now
The Budget contained very little which should worry non-UK doms. Despite some initial predictions of capital gains tax (CGT) rate changes or reform to inheritance tax (IHT), few changes were announced in the Budget that will specifically impact non-UK domiciled or non-UK resident taxpayers. -
04 Mar 2021Budget 2021: The calm before the storm for individuals
Given the focus in this Budget on tackling Coronavirus by protecting jobs and focussing on economic recovery, the tax changes for individuals were largely limited to freezing specific allowances and tax bands until 2026. We know that a number of consultation papers will be published later this month, however, so it is possible there may yet be further changes to come. -
19 Feb 2021What will the Budget hold for businesses?
The Government has spent hundreds of billions trying to protect jobs and the economy during the pandemic, and it is now widely accepted that an increase in taxes is inevitable, at some point, to recoup some of these costs. Any tax increases will, however, need to be balanced with the need to provide support and stimulus to encourage a strong economic recovery and promote growth. The impact of announcing tax increases while we are struggling through another lockdown will also be on the Chancellor’s mind. -
19 Feb 2021Spring Budget and personal tax: what’s in the box?
The Chancellor is due to deliver his next Budget on 3 March 2021, postponed from the Autumn. Below, we discuss what the Chancellor may target in his second Budget, as he starts work on rebuilding the economy after a tumultuous first year in office. -
18 Feb 2021Budget 2021 wish list: Seven areas for change
Julia Rosenbloom, tax partner at Smith & Williamson, is calling on the government to bring about changes in the upcoming Budget that would see greater wealth transfer to younger generations, and a series of temporary tax reliefs that would provide a much needed boost to struggling areas of our economy. -
12 Mar 2020Professional practices: support for business investment continues
There was some clarification on HMRC’s ability to amend LLP members’ returns where an LLP submits a partnership tax return on the basis it is operating ‘with a view to profit’ and is subsequently found to be operating without a view to profit. As this measure preserves the status quo for the vast majority of LLPs, most professional practices will not see any change in their obligations or liabilities. -
12 Mar 2020A chance to draw breath for non-doms and other international individuals
Over recent years, individuals with international personal tax affairs have been subject to a raft of tax changes. The Chancellor’s first Budget brings welcome respite, with the only significant change for such individuals being the expected introduction of a stamp duty land tax (SDLT) surcharge for non-residents. -
12 Mar 2020Welcome announcements for the financial services sector
There were several welcome short-term measures for businesses that may be affected by COVID–19. The Government was cautiously optimistic regarding growth in the UK’s ‘modern and dynamic’ economy. -
12 Mar 2020The Entrepreneurs’ Relief lifetime limit reduced from £10m to £1m
The Chancellor announced cuts to Entrepreneurs’ relief, with the lifetime allowance reduced from £10m to £1m with immediate effect. The move followed a review, which found the relief was “expensive, ineffective and unfair” and cost the Government over £2bn a year, with 75% of the relief being given to 5% of the claimants. -
12 Mar 2020
Welcome boost to the real estate industry
The Budget brought a surprise benefit for businesses holding property- the rate of Structures and Buildings Allowance (SBA) is to increase from 2% to 3% from April 2020 providing a further benefit for businesses investing in assets that had not attracted allowances since the phasing out of Industrial Buildings Allowances. -
12 Mar 2020Further regulation but plenty of incentives for large corporates and international businesses