The reduction in the additional rate of income tax from 50% to 45% results in a potential tax saving of 5% on any taxable income arising (in excess of £150,000) during 2012/13 which was not taxed until 2013/14.
Employment Tax Director, Alastair Kendrick was last night interviewed on the BBC Newsnight programme following the leaked report that 2,000 Government office holders have been engaged via personal service companies, saving the Government in excess of £16m per annum in National Insurance Contributions.
"The Government’s recently announced extension of entrepreneur’s relief (ER) for shares acquired via the exercise of Enterprise Management Incentive (EMI) options while welcome does not go far enough" says Chris Blundell, Partner.
Everyone likes to know where they are on the journey to the best possible performance, so regular feedback to your team on how they are progressing is very valuable.
Although much discussion is currently taking place around the cap on charitable donations, commentators at MHA MacIntyre Hudson are expressing concern that the cap could be set on other business reliefs and calls for Government clarification.
