- AIA and Entrepreneurs Relief limits doubled
- CT rates pegged at 28% for 2011/12
- No VAT increase!
- 100% capital allowance for zero-emission goods vehicles
- Clampdown on close company loans - CT deductions will be denied for equivalent amount (BN14)
- Surprise Annual Investment Allowance (AIA) increase to £100,000
- Annual Investment Allowance (AIA) doubled to £100,000 from 1 April 2010 (for companies, from 6 April 2010 for unincorporated businesses). (BN09)
- Employment taxes summary: Focus on anti-avoidance
- Extra half percent NIC rate increases (on top of a previously announced 0.5% rise) confirmed.
- With two exceptions linked to the lower earnings limit, all NICs rates and thresholds will remain unchanged from 2009/10.
- For 2011/12, the main rates of Class 1 and Class 4 NICs will rise by 1% to 12% and 9%. The employer rate for both Class 1A and 1B contributions will rise to 13.8%. The primary threshold and lower profits limit will be increased by £570 to compensate the lowest earners.
- VAT reverse charge extended to services
- Legislation will be introduced in Finance Bill 2010 to amend the legal provision for a reverse charge to combat Missing Trader Intra-Community (MTIC) fraud in goods to enable it to apply equally to services with effect from 1 November 2010.
- No change in 17.5% VAT rate
- No more tax relief on close company loan write-offs
- Close companies will no longer be able to claim a tax deduction when a loan to a participator (or their associate) is released or written off (BN39).
- Simon Sweetman: Pleasant Budget surprises for SMEs
The budget contained a couple of nice surprises for small businesses, but perhaps the government won’t be quite as nice when the election is out of the way, argues Simon Sweetman.
A breakdown of the key measures in today's Budget report.
- Entrepreneurs' relief doubled but no changes to CGT
- Personal allowances to remain at existing amounts
- IHT nil rate band remains frozen for the next four years at £325,000
- £130,000 threshold on pensions anti forestalling measures confirmed
- Anti avoidance measures: Three new disclosure treaties
A handy summary of the tax statistics from this year's Pre-Budget Report.
- Economists question Chancellor's optimistic arithmetic
- Business credit scheme rejected by banks
- A round-up of comments from accountancy experts
- UK200: Chancellor fails to secure long-term health of the economy
- ICAEW: Political with a capital ‘P’
- Political responses to today's Budget Report
- Video: Alistair Darling discusses the Budget