Originally posted by oversteer
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https://www.gov.uk/government/upload...t_2017_web.pdf
A fair and sustainable tax system
The tax system needs to be fair and sustainable in order to support critical public services. It
also needs to be competitive, to support economic growth and maintain the UK as one of the
best places in the world to set up and grow a business. These principles are reflected in the
government’s increases to the personal allowance and higher rate threshold, reductions in the
rate of corporation tax to 17% by 2020, and significant steps taken since 2010 to tackle tax
avoidance and evasion. The Budget takes further steps in line with this:
• the main rate of Class 4 National Insurance contributions will increase from 9% to 10% in
April 2018 and to 11% in April 2019 to reduce the gap in rates paid by the self-employed
and employees, and to reflect the introduction of the new State Pension to which the selfemployed
have the same access
• the dividend allowance will be reduced from £5,000 to £2,000 from April 2018, to reduce
the tax differential between the self-employed and employed, and those working through
a company, to raise revenue to invest in public services, and to ensure that support for
investors is more effectively targeted
The tax system needs to be fair and sustainable in order to support critical public services. It
also needs to be competitive, to support economic growth and maintain the UK as one of the
best places in the world to set up and grow a business. These principles are reflected in the
government’s increases to the personal allowance and higher rate threshold, reductions in the
rate of corporation tax to 17% by 2020, and significant steps taken since 2010 to tackle tax
avoidance and evasion. The Budget takes further steps in line with this:
• the main rate of Class 4 National Insurance contributions will increase from 9% to 10% in
April 2018 and to 11% in April 2019 to reduce the gap in rates paid by the self-employed
and employees, and to reflect the introduction of the new State Pension to which the selfemployed
have the same access
• the dividend allowance will be reduced from £5,000 to £2,000 from April 2018, to reduce
the tax differential between the self-employed and employed, and those working through
a company, to raise revenue to invest in public services, and to ensure that support for
investors is more effectively targeted
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