<b>Budget 2006:</b> The small print - The true cost of tinkering with company tax rates. By Nichola Ross Martin
Its official, the Chancellor has cost small business a minimum of £32 million per year in red tape, and this is just due to the introduction of the non-corporate distribution rate (NCDR) and starting rate of corporation tax.
The figure comes from a Regulatory Impact Assessment on Changes to the Corporation Tax Structure published with the budget. The RIA considers the impact of tax changes on small companies, notably the decision to abolish the NCDR and small companies rate. It costs corporation tax compliance out at a mere £50 per hour, which seems dubiously low.