Archive for March 2014

Budget 2014 – Other Matters

VAT prompt payment discounts Legislation will be introduced in Finance Bill 2014 to amend the UK VAT legislation on prompt payment discounts so that it is aligned with EU legislation. Under the current rules, suppliers account for VAT on the discounted price offered for prompt payment, even when that discount is not taken up. This…
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Budget 2014 – Capital Taxes

CGT rates The current rates of CGT are 18% to the extent that any income tax basic rate band is available and 28% thereafter. The rate for disposals qualifying for Entrepreneurs’ Relief is 10% with a lifetime limit of £10 million for each individual. CGT annual exemption The CGT annual exemption is £10,900 for 2013/14…
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Budget 2014 – Employment Taxes

Employer provided cars The scale of charges for working out the taxable benefit for an employee who has use of an employer provided car are now announced well in advance. From 6 April 2014, the bands used to work out the taxable benefit remain the same but the percentage applied by each band goes up…
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Budget 2014 – Business Tax

Corporation tax rates The main rate of corporation tax will be 21% from 1 April 2014. The current rate is 23%. From 1 April 2015 the main rate of corporation tax will be reduced to 20% and unified with the small profits rate. The small profits rate will therefore remain at 20% until then. Annual…
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Budget 2014 – Personal Tax

The personal allowance for 2014/15 For those born after 5 April 1948 the personal allowance will be increased from £9,440 to £10,000. The reduction in the personal allowance for those with ‘adjusted net income’ over £100,000 will continue. The reduction is £1 for every £2 of income above £100,000. So for this year there is…
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Budget 2014 – Budget Overview

George Osborne presented his Budget on Wednesday 19 March 2014. In his speech the Chancellor set the scene for the announcements stating that ‘If you’re a maker, a doer or a saver: this Budget is for you.’ Towards the end of last year the Government issued the majority of the clauses, in draft, of Finance…
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