Business News - December 2008
Standard Rate VAT
The standard rate of VAT will be reduced from 17.5% to 15% for the period 1 December 2008 to 31 December 2009. The rate will then revert to 17.5%. No changes have been made to the 5% reduced rate or the 0% rate.
Proposed Personal Tax Changes
The government has announced significant changes to the system of personal allowances and tax rates for the next few years. These mainly impact on those with higher levels of income.
Corporation Tax Changes
The main rate of corporation tax which applies to companies with profits of more than £1.5 million fell to 28% from 30% from 1 April 2008.
Taxation of Business Travel
Further details have been provided on the changes to the capital allowance treatment of cars. The changes will have effect from 1 April 2009 for corporation tax purposes and 6 April 2009 for income tax. The special rules that restrict the amount of capital allowances for cars costing more than £12,000 will be abolished.
Discipline and Grievance Code of Practice
Acas (Advisory, Conciliation and Arbitration Service) has made available a revised Code of Practice dealing with discipline and grievance procedures. The Code has been approved by the Secretary of State for Business, Enterprise and Regulatory Reform. The draft guidance will now be put before Parliament for approval.
Pension Forecast
Do you know how much your state pension could be when you retire? The Pensions Service will provide a forecast of this information either by letter or an online email service.
Tougher Penalties for Health and Safety Offences
New legislation under the Health and Safety Offences Act 2008 will increase penalties and provide courts with greater sentencing powers for those who flout health and safety legislation.
Child Trust Fund
According to HMRC data the success of the Child Trust Fund (CTF), the tax exempt long-term savings and investment account for children born on or after 1 September 2002, continues to grow.
Parties for Employees
Are you planning a party for your staff? Make sure you are clear on the tax implications.
To find out more about how our leading firm of accountants in Stratford-upon-Avon and Warwickshire can help you, please contact us.
