News

News

Welcome

You've reached the online blog of HPS. We're a firm of Chartered Certified Accountants and we exist to help businesses like yours with all of your financial and taxation challenges.


To return to the main website click here.

Budget 2011 (summary)

TaxPosted by Tony Hawkins Thu, March 24, 2011 16:09:21

Much of the 2011 Finance Bill has already been announced (changes to allowances, furnished holiday letting etc), further new measures include:

  • Main Corporation tax rate down to 26%.
  • 43 complex tax reliefs abolished.
  • CGT: annual alowance increases to £10,600, Entrepreneurs' Relief to £10 million.
  • EIS relief to increases to 30% whilst doubling annual investment limits too.
  • 21 new Enterprise Zones, relaxation on planning, increases in renovation allowances.
  • Small company R & D relief doubled.
  • Capital allowances: short-life assets cut off increased to 8 years.
  • Approved mileage allowances up by 5%, volunteer drivers may claim actual expenses.
  • More incentives for green energy.
  • A review and crack down on SDLT, CGT and income tax avoidance.
  • Individuals: the 50% tax rate not be made permanent.
  • Long term resident non-doms face a £50k tax charge with relaxation in tax rules for bringing capital into the UK, a statutory non-residence test to be introduced.
  • The Personal allowance rises from £7,475 to £8,015 in 2012.
  • Charities: a big shake up to make Gift Aid easier to administer.
  • IHT: donate 10% to charity and your IHT rate decreases by 10% too.

Other measures:
Reform of NICs

There will be a consultation on alignment of National Insurance with income tax. It may be some years before actual alignment can be achieved.

Please contacts Tony Hawkins with any questions you may have.

  • Comments(0)//news.hpsaccounts.co.uk/#post2