Budget 2016 - The Highlights affecting SMEs and Corporates
The much anticipated spring budget was announced today. But what are the main points affecting SMEs and Corporates? We've compiled them all, into our March 2016 blog.
- Fuel duty to be frozen (at 57.95p per litre) for the sixth year in a row.
- Capital Gains Tax to be cut from 28% to 20% and from 18% to 10% for basic-rate taxpayers.
- Insurance premium tax to rise from 9.5% to 10%
- Class 2 National Insurance contributions abolished, which the government says gives a tax cut of more than £130 to three million self-employed workers from 2018.
- Headline rate of Corporation Tax which is currently 20%, to fall to 17% by 2020.
- Supplementary charge for oil and gas producers to be halved from 20% to 10%
- Petroleum revenue tax to be "effectively abolished".
- Commercial stamp duty 0% rate on purchases up to £150,000, 2% on next £100,000 and 5% top rate above £250,000. New 2% rate for high-value leases with net present value above £5m. Effective from midnight (16.03.2016).
- There will be a crackdown on foreign firms, selling products online in the UK, that may not be paying VAT currently.
"There will be a crackdown on foreign firms, selling products online in the UK, that may not be paying VAT currently."