The word that best sums up the climate over the last twelve months is ‘uncertainty’
We had the EU Referendum, the US election, triggering of Article 50, the announcement of a snap election and now many important tax changes that were due to be introduced from 6th April 2017 are not going ahead. This latest upheaval is because the legislation confirming these changes that was due to be part of the Finance Bill has been shelved, at least for the time being.
As part of our commitment to keeping clients updated and prepared for what’s ahead we’ve written blogs on with the various tax changes to be introduced from 6th April 2017 including the proposals relating to the taxation of individuals not domiciled in the UK (non doms), allowances for certain types of income and the taxation of dividends.
It’s not just individuals who will be affected as the changes to corporate loss relief and the deductibility of interest paid by companies have also been shelved for now.
The Government and the Opposition agreed that the more complex and controversial issues needed a full debate which would not be possible in view of the dissolution of parliament prior to the snap General Election. It is probable that the clauses will be enacted at the earliest opportunity however it is unclear when this will be or how they will be affected by the General Election.
Planning for tax changes has always been difficult however this has created event more uncertainty which seems to fit with the current trend.
If you have any questions regarding your tax situation please do get in touch.