The announcements made by Government yesterday on their first Tax Day lacked anything particularly significant, with many of the expected matters overlooked or pushed back further. More than 30 tax updates, consultations and documents were published, in a move to strengthen policymaking, modernise the UK tax system and further tackle tax avoidance. Much of this is part of the Government’s wider 10-year plan to build a trusted and modern UK tax system.
Ian Harlock-Smith, Tax Director, Saffery Champness, and a member of the firm’s Private Wealth and Professional Practices Groups, said:
“There was no mention of capital gains tax increases or changes to tax relief on pension contributions and nothing of immediate concern or of particular importance to individuals and professional practices. There was mention of an interim report on the Government’s fundamental review of business rates, including one change aimed at owners of self-catering accommodation, some minor changes to Inheritance Tax reporting requirements to reduce administrative burden, some technical changes to the Structures and Buildings Allowance, and further streamlining of Making Tax Digital, although nothing significant that is new on that front.”
“The Government did call for evidence to explore the opportunities and challenges of more frequent payment of income tax. This is to be based on in-year information made available through self-assessment and Making Tax Digital. This could mean that self-employed individuals move towards a PAYE type tax system.”