Tax

The Budget highlights and how they may affect you. Rishi Sunak said in his budget statement that the outlook for unemployment looks more positive than originally anticipated.  But, he added that the economic harm caused by coronavirus was “acute” and warned that it will take a “long time to recover”.   He outlined a series of tax raising plans to help balance public finances and here are the highlights. Corporation Tax Part of his strategy will be to increase Corporation Tax…

Tax changes for property owners. HMRC are removing lettings relief from 6 April 2020. They will also reduce the final period exemption by half. These changes to Capital Gains Tax (CGT) will have ramifications for those selling or renting property. When you sell a property that you live in, your are not subject to Capital Gains Tax. This is because you are covered by the Principal Private Residence Relief (PPR). Lettings relief was introduced in 1980. This allowed people to…

The Government has launched consultation to outline a proposed tax on plastic packaging with less than 30% recycled content.   It was announced in the 2018 Budget and is due to take effect from April 2022 According to the government 44% of plastic used in the UK can be accounted for in packaging and 67% of plastic waste.  This equates to over 2 million tonnes of plastic yearly. Evidence obtained by the government highlighted that using recycled plastic is often more…

New Stamp duty land tax surcharge for non-UK resident home buyers to be introduced The government plans to help control the rise of house prices by considering a new surcharge levied on non-UK resident home buyers.  Proceeds of this new surcharge would be put towards measures to tackle rough sleeping . The proposed increase of 1% was announced at the Budget 2018 following a commitment made by the Prime Minister. HMRC rules on residential status for tax purposes are available…