I know you have probably read this article already …
After a couple of months of kite flying by Rachel Reeves, seeing which potential tax-raising ideas would meet with the least resistance, she stood up at 12.30 pm to reveal all – except for the fact that somebody at the OBR had already done it for her!
Looking for things for me to mention on my specialisms of VAT and Corporation Tax really left me going on a deep dive of the supporting releases, since there were no headline changes on either.
On the VAT front, as Lambert Chapman doesn’t currently act for Uber, forgive me for not getting too excited about the closing of a loophole that allowed them to use a scheme that is really intended for Tour Operators.
Corporation Tax-wise, there are a couple of measures that might potentially impact the odd client. The Writing Down Allowance for anyone with a General Pool balance is being reduced from 18% to 14%. Realistically, this is likely to only affect those with a car that qualified for that pool, and even then, it is a timing difference of the tax relief only.
My favourite measure involves changes announced to the mysterious-sounding shadow ACT. However, as this must have arisen by April 1999 and also only ever applied in certain circumstances, even then, all you youngsters or people who weren’t even born then needn’t worry. In fact, I don’t even have to worry since the two companies that we acted for that had this were dissolved years ago.
The Chancellor seemed to manage to walk the line between keeping Labour backbenchers reasonably happy without spooking the Markets. If she has to come back again next Budget, seeking further different ways to increase the tax take, I’m not sure she will be so fortunate.
If you have any questions, the team are always happy to help – get in touch with me or your usual Lambert Chapman contact.
Disclaimer
The views expressed in this article are the personal views of the Author and other professionals may express different views. They may not be the views of Lambert Chapman LLP. The material in the article cannot and should not be considered as exhaustive. Professional advice should be sought in connection with any of the issues contained in the article and the implementation of any actions.