Tuesday 24 November 2015

UK Autumn Statement may target tax reliefs

STEP: The Chancellor's Autumn Statement will appear on Wednesday 25 November. Most tax specialists predict it will be harsher than previously expected, for two reasons. First, the Chancellor has failed to push through legislation cutting tax credits for the low-paid, so that the public sector borrowing requirement will be larger than planned at the time that Finance Bill (no.2) 2015 was drafted. Second, that Finance Bill also contained a measure precluding increases in the rates of the three main taxes – income tax, national insurance contributions and value-added tax – for this parliament. This means the public sector borrowing requirement (PSBR) deficit cannot be reduced by adjusting these rates.

Full story: http://www.step.org/news/uk-autumn-statement-may-target-tax-reliefs