How will the budget impact on you and your business? Here is a summary showing the key elements of the 2018 Autumn budget. If you have and concerns or questions you would like to ask please give us a call.
Employers
From April 2020 IR35 extended to medium and large private sector businesses
From April 2020 Employment Allowance restricted to businesses with NIC bills below £100,000
Businesses
From April 2020 Capital losses offset restricted to 50% of gains
£1 million Annual Investment Allowance for calendar 2019 and 2020
2% Structural Buildings Allowance for contracts entered into on or after 29 October 2018
From April 2020 Digital Services Tax at 2% of revenues for tech giants with global revenues of at least £500 million
From April 2019 targeted relief for goodwill on the acquisition of businesses with eligible intellectual property
No Intangible Fixed Asset (IFA) degrouping charge from 7 November 2018 where degrouping is the result of a share disposal that qualifies for Substantial Shareholding Exemption (SSE)
Individuals
Entrepreneurs Relief qualifying period increased to 2 years and 5 % interest in distributable profits and net assets required
No abolition of Class 2 NICs in this Parliament
January 2019 consultation on 1% Stamp Duty Land Tax (SDLT) surcharge for non-residents buying residential property in England and Northern Ireland
Key rates
Personal allowance increases to £12,500 from 2019
40% tax rate threshold increases to £50,000 from 2019
National living wage £8.21 from 2019
£85,000 VAT registration threshold maintained until April 2022
No changes to rates of income tax, dividend tax, capital gains tax and corporation tax
Pensions lifetime savings allowance rises to £1,055,000 from 6 April 2019