Autumn Statement; Key Points to Take for Businesses

The autumn statement delivered by the chancellor is not the most looked forward autumn statements in the recent history. Following are some highlights from his speech.

Fuel

The 3p-a-litre increase in fuel duty, planned for next January, is cancelled

Economic Growth

Predicted to be -0.1% in 2012, down from 0.8% predicted in the Budget

Benefits and Pensions

When it comes to the benefits most working-age benefits will rise by 1% for each of next three years. From 2014-15 lifetime pension relief allowance to fall from £1.5m to £1.25. Basic state pension to rise by 2.5% next year to £110.15 a week. Child benefit will also rise by 1% for two years from April 2014. Local housing allowance rates to rise in line with existing policy next April but increases in the following two years capped at 1%.

Taxation

The personal allowance is to be raised by £235 more than previously announced next year, to £9,440. Threshold for 40% rate of income tax to rise by 1% in 2014 and 2015, from £41,450 to £41,865 and then £42,285. Main rate of corporation tax to be cut by extra 1% to 21% from April 2014. The inheritance tax threshold will be increased by 1% next year. Bank levy rate to be increased to 0.130% next year.

Read more

http://www.bbc.co.uk/news/uk-politics-20600442

Source;bbc.co.uk

If you want to find out more on how these changes will affect your business and what are the steps you should take in order to minimise the negative impact, contact KVS Accountants for advice. KVS acts as accountants and tax consultants in Putney, Barnes, Wandsworth, Battersea, Clapham, Notting Hill, Balham and Holland Park

 

 

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