In this morning’s Lowdown, the Chancellor will spell out the financial consequences of Britain leaving the EU, and Barcelona FC settles Neymar tax fine.
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Osborne warns of Brexit tax hike
George Osborne will today warn that a vote to leave the UK will result in an emergency budget, where he will have to hike taxes and slash spending.
Osborne and the former chancellor Alastair Darling will publish an illustrative budget, outlining £15bn of tax rises and £15bn spending cuts. According to the Guardian, these measures include a 2p rise in the basic rate of income tax, a 3p rise in the higher rate, and a 5% inheritance tax rate to 45p.
Vote Leave campaigner Iain Duncan Smith, Liam Fox and Owen Paterson dismissed Osborne’s warning, saying "If he were to proceed with these proposals, the chancellor's position would become untenable."
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Barcelona settles Neymar tax fine
Barcelona FC has settled the £4.3m fine to the Spanish tax authorities over the transfer of Brazilian forward Neymar.
Barcelona’s president Josep Maria Bartomeu blamed the alleged tax fraud as “a mistake in the 2011 and 2013 tax planning in the signing of Neymar”, according to the BBC. The club paid the back taxes of €13.5m in 2014, but has denied the charges.
Neymar is still being pursued by the Brazilian tax authorities for tax fraud, where he and his father are accused of setting up companies as fronts in order to pay a lower rate of tax.
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Accountant’s death caused by asbestos
A retired accountant’s death was linked to asbestos exposure in the 1960s while he worked in a glass manufacturing firm, an inquest heard.
According to the Cornish Guardian, although Douglas Swire worked in the office, coroner Stephen Covell believes Swire came into contact with asbestos from the main factory. Swire’s subsequent employment and his DIY hobby were both considered as potential causes for his respiratory problems.
However, Covell said: "I don't have to come to the conclusion as to which period of employment caused the disease, but I do have to be satisfied that exposure at work caused it, and not exposure outside of work
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Accountex video of the day
In this morning’s video of the day, AccountingWEB’s Global editor John Stokdyk catches up with practice consultant and practice excellence judge Martin Bisset to discuss the changing UK practice landscape.
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What’s new on AccountingWEB
What a difference a day makes. To ensure you don’t miss anything, here are the latest stories to hit AccountingWEB over the last 24 hours: