George Osborne presented the first Budget of this Parliament on Wednesday 8 July 2015. The speech set out his plans for the next five years ‘to keep moving us from a low wage, high tax, high welfare economy; to the higher wage, lower welfare country we intend to create’.
Main Budget tax proposals
- · New taxation system for dividend receipts for individuals.
- · Proposals to restrict interest relief for ‘buy to let’ landlords.
- · Extension to the inheritance tax nil rate band available.
Other tax changes
- · An announcement of the amount of the Annual Investment Allowance available to businesses from January 2016.
- · Removal of the tax relief available on the acquisition of goodwill and customer related intangibles.
- · An increase in the amount of the NIC Employment Allowance.
The government also announced a number of changes to tax credits and Universal Credit as part of the welfare reforms aimed at reducing the growing expenditure in this area.
Our summary focuses on the tax issues likely to affect you, your family and your business. To help you decipher what was announced we have included our own comments.
If you have any questions please do not hesitate to contact us for advice.