Autumn Statement

The our team have once again been studying the small print that has been published with the Autumn Statement. A summary of the new tax headlines follows, importantly our HFB trades which form part of our alternative remuneration planning and our SDLT planning remain unaffected and continue to be available. Here is a summary of what did change;

Capital Gains Tax

  • From April 2014 the three year tax-free exemption applicable to the sale of a principal private residence is being halved to 18 months.
  • Subject to consultation, from April 2015 a Capital Gains Tax charge will be introduced on future gains made by non-residents disposing of UK residential property.

Tax avoidance

  • Mixed individual and corporate partnerships will be subject to stricter anti-tax avoidance protocols from today.
  • Many new anti-tax avoidance rules covering different technical tax law aspects have been introduced such as debt caps, controlled foreign companies, double tax relief, offshore and onshore employment intermediaries, dual employment contracts, charities and those who promote and use high risk avoidance schemes.

Other

  • From April 2015, spouses or civil partners who are not subject to higher rate taxes will be able to transfer up to £1,000 of their personal allowance between them.
  • Subject to state aid approval, from April 2014 there will be changes to film tax credits.
  • Complex rules covering associated companies are being reviewed.
  • Tax breaks for employees in employee owned companies are being extended.