Monday
Apr132009
Budget 2009 predictions
13 April 2009 in Budget 2009 What might we expect in the Budget next week ?
- Increases in the rates of income tax, Class 1 NIC and VAT, all to take effect after a 2010 election.
- The abolition of higher rate relief for pension contributions.
- A rebirth of the old Investment Income Surcharge in lieu of the discredited proposals to counter the perceived income shifting abuse reflected in Arctic.
- A restriction on the loan interest deduction for borrowings used to acquire buy to lets.
- An extension of the loss carry back rules, allowing for unlimited trading losses to be carried back up to 3 years.
- An increase in the rate of CGT to 30%.
- An extension of the reduced rate of 5% VAT to building repair and maintenance supplies.
- A 5% rate of stamp duty land tax for transactions with a value of over, say, £1M.
- A tightening up of the IHT code and a statutory reversal of the decision in Nelson Dance.
- Something intellectually bereft and disproportionately complex for trusts.
And two really long shots, the re-introduction of MIRAS and Close Company Apportionment.
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