The Budget then

[TheFaQQer]

A froidien slip. This is the kind of rate he would like to impose on evil capitalist businesses - and he thinks that still generous as it's less than the 40% personal tax rate!

Freudian

[Pondlife]

Maybe he was cold.


/IGMC

[sidknows]

As I unerstand it ,' the laws relating to income shifting' are not in place yet
Why should we therefore abide by it ?

[sidknows]

In his first budget Alistair Darling announced that the government will not be enacting its proposed legislation to combat what it terms as "income shifting". Instead, new measures will be postponed until 2009, pending further consultation to ensure that any legislation will provide "clarity and certainty" for businesses and their advisors.

[Alan @ BroomeAffinity]

The most important part of the budget for contractors, IMHO, was going to be the bringing in to law of the income shifting legislation. This has been postponed for a year but I reckon some people - especially new contractors - will have arranged their affairs in such a way that the income shifting legislation does not affect them - ie, no other shareholders. So, there are probably a load of contractors already paying too much tax and who will probably continue to do so for the next year until the legislation is enacted.

[malvolio]

Give you very good odds it won't be enacted then either: it would take effect in the run up to the next election, not a good time to upset 7m voters...

[Fred Bloggs]

It's a great time to take as much in divi as possible for your spouse. I haven't anything left to distribute, but for those who have, do it the next 12 months! Not often that you get a 2nd chance.

[Ruprect]

Could they back date this legislation though? (Sorry for posting here too but I can't find the other thread I posted this question in!)

[malvolio]

No, it's new legislation, not a change of regulations.

However, how many brolly users spotted the bit about looking at travel expenses I wonder ??? That would be a regulatory change...

[sathyaram_s]

Employment Business VAT

From the budget:

4.54 The staff hire concession, which currently allows employment businesses to charge
VAT solely on the margin on their supplies, will be withdrawn by HMRC with effect from
1 April 2009.

Likely to impact contract rates in the City?