Autumn Statement 2014: Summary of Measures
The 2014 Autumn Statement: the Chancellor’s last before next year’s General Election. With a backdrop of increased growth forecasts, a drop in unemployment, and lower than predicted tax receipts and debt repayments, the Chancellor’s 50 minute speech focussed on the improving economy. He was careful, however, to inform us upfront that the announcements would not amount to a net give away: a further tightening of spending is to follow.
Some key tax changes have been announced, including a new profits diversion tax for multinationals operating in the UK, a fundamental overhaul of the Stamp Duty Land Tax (SDLT) regime for residential property and increases in the cost for non-UK domiciled individuals of retaining the tax benefits of their “non-dom” status. On the incorporation of a sole trade or partnership from today, individuals will be prevented from claiming Entrepreneurs’ Relief on Capital Gains on the disposal of goodwill to a related close company. However, businesses with research and development (R&D) spend will benefit from the increase in R&D tax relief to 230% of the spend.
Please contact Katharine Arthur, Head of Tax, if you require any further information and assistance.Download this publication