Welcome…There was good news and bad news for small businesses in this Pre Budget Report.

The good news is the freezing of the corporation and income tax rates, although personal allowances are also frozen at the 2009/10 levels. The promised 50% rate of income tax will be introduced for income over £150,000 and there are further anti-avoidance rules to prevent those high earners from gaining top level tax relief on pension contributions.

The bad news will come from April 2011 when NI rates are set to surge upwards. Corporation tax may also increase in this month. Businesses with empty commercial properties may … Continue Reading

Welcome…The Budget included some tax increases that were almost inevitable with a 50% rate of income tax for those earning over £150,000, higher rate tax relief for pension contributions reduced and the favourable tax regime for furnished holiday lettings withdrawn from April 2010.

Some businesses will benefit from an extension of loss relief and a limited increase in capital allowances, whilst individuals will be able to put more into ISA’s but otherwise tax breaks are thin on the ground.

As with any Budget further details are likely to emerge in the next few days so please contact us if you have … Continue Reading