More info re tax simplification:
Building on the Budget 2007 reforms, the 2007 Pre-Budget Report launched a
significant programme of tax simplification and announced three simplification reviews.
Following discussions with business and tax professionals, Budget 2008 announces the initial
outcomes of each review:
3.17 Further work will continue to address other priorities outlined by business. Budget 2008 announces a new simplification review, which will look at how to simplify CT calculations and returns for smaller companies.Updates on all four reviews will be announced at the 2008 Pre-Budget Report.
3.18 Budget 2008 announces over 20 further tax simplification measures.
Alongside Budget 2008, HMRC is publishing details on how it is improving services for small businesses and an update on progress against its administrative burdens reduction targets.
3.19 From 1 April 2008 the Government will increase the VAT registration threshold in line with inflation from £64,000 to £67,000, maintaining the highest threshold in Europe and keeping around 6,000 small businesses out of the VAT system.
significant programme of tax simplification and announced three simplification reviews.
Following discussions with business and tax professionals, Budget 2008 announces the initial
outcomes of each review:
VAT rules and administration: the Government will consult on simplifying the operation of the partial exemption regime and the capital goods scheme, and explore the need for business to seek permission from HMRC before taxing otherwise VAT-exempt supplies of land and property;
anti-avoidance legislation: the Government will, as a first step, repeal certain outdated and complex anti-avoidance provisions on bond washing, employment securities and other transactions in securities; and
CT rules for related companies: the Government will, as a first step in simplifying associated companies rules, modify the current rules relating to the small companies rate where a director or shareholder is separately in a partnership.
3.17 Further work will continue to address other priorities outlined by business. Budget 2008 announces a new simplification review, which will look at how to simplify CT calculations and returns for smaller companies.Updates on all four reviews will be announced at the 2008 Pre-Budget Report.
3.18 Budget 2008 announces over 20 further tax simplification measures.
Alongside Budget 2008, HMRC is publishing details on how it is improving services for small businesses and an update on progress against its administrative burdens reduction targets.
3.19 From 1 April 2008 the Government will increase the VAT registration threshold in line with inflation from £64,000 to £67,000, maintaining the highest threshold in Europe and keeping around 6,000 small businesses out of the VAT system.
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