Originally posted by WordIsBond
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Spring Budget 2017
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Originally posted by jamesbrown View PostYeah, by "immediate", I mean 6 April. By convention, they can implement taxes on Budget day, but they only do this for taxes that create an immediate opportunity for avoidance or arbitrage. However, I can't see them announcing tax increases for April 2018; they'd wait for the Autumn Budget in that case, because they'll have the wider strategy worked out. I think it will be April 6 this year for straightforward tax rises (C4 NI and divis) or nothing and, either way, a more comprehensive strategy in the Autumn Budget.Comment
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The Chunt of Chunts.Comment
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Originally posted by jamesbrown View PostYeah, by "immediate", I mean 6 April.
They used to do immediate for petrol duty increases. It's not all that different from a div tax increase, I guess.
One problem with doing an immediate div tax is it encourages unusual behaviour just before budgets in future. Companies might do a £10K dividend the day before, for no business purpose at all, just because they don't trust the Budget not to unexpectedly hit them. A Labour government might do it but I doubt a Tory one would, even a faux Tory government like this one.Comment
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Originally posted by WordIsBond View PostOh, sorry, I misunderstood (obviously).
They used to do immediate for petrol duty increases. It's not all that different from a div tax increase, I guess.
One problem with doing an immediate div tax is it encourages unusual behaviour just before budgets in future. Companies might do a £10K dividend the day before, for no business purpose at all, just because they don't trust the Budget not to unexpectedly hit them. A Labour government might do it but I doubt a Tory one would, even a faux Tory government like this one.Comment
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Yeah by immediate I meant to come in from 6 Apr 2017 too, should have been clearer.
Re PS spending time/effort on this, I guess what I meant was that many have already made a call on what they're going to do. The IR35 online tool was released so late, that given the timescales for these organisations to consider it all, consider the implications, discuss with contractors, take their feedback into account, change their admin etc etc etc it simply couldn't be done within a month. Therefore many will have potentially pushed some contractors into umbrella/similar when the tool now says they were outside IR35 anyway. What annoys me is that this will be considered a success by Hammond, as despite it being done by dubious means, he'll have got the result he wanted.Comment
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Originally posted by WordIsBond View PostOh, sorry, I misunderstood (obviously).
They used to do immediate for petrol duty increases. It's not all that different from a div tax increase, I guess.
One problem with doing an immediate div tax is it encourages unusual behaviour just before budgets in future. Companies might do a £10K dividend the day before, for no business purpose at all, just because they don't trust the Budget not to unexpectedly hit them. A Labour government might do it but I doubt a Tory one would, even a faux Tory government like this one.
Its easy to say when a transaction occurs far harder to deal with a payment....merely at clientco for the entertainmentComment
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So... Budget 2017 for Ltd Companies is just dropping the tax free threshold for Divis from £5k to £2k - am I right in thinking this is essentially just £3000 x 7.5%??
Have I missed anything else?Comment
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Originally posted by CDJ View PostSo... Budget 2017 for Ltd Companies is just dropping the tax free threshold for Divis from £5k to £2k - am I right in thinking this is essentially just £3000 x 7.5%??
Have I missed anything else?Comment
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