| Home > Tax News > Capital Taxes > Chancellor agrees to review proposed CGT changes |
| Chancellor agrees to review proposed CGT changes |
 |
 |
|
The Chancellor, Alistair Darling has met with representatives from British businesses to respond to mounting protests that proposed capital gains tax changes will add 8% to entrepreneurs' tax bills when they come to sell their business. The meeting was held in response to a joint letter sent to the Treasury by the Confederation of British Industry, British Chambers of Commerce, Institute of Directors and Federation of Small Businesses, in which they complained that the scrapping of capital gains tax taper relief will damage UK enterprise.John Wright, FSB National Chairman, said that the meeting was constructive and he is hopeful that there is scope for a compromise that will meet the aims of the Government without damaging the many entrepreneurs across the country. “There are four and a half million small businesses. Many would have been unable to start up under this proposed new regime. Others that were relying on the proceeds of the sale of their business to provide for their retirement will now be heavily taxed on that income". CBI chief Richard Lambert commented: "Each of us set out our deep concerns over the abolition of capital gains tax taper relief, after which the chancellor explained the background to the changes. "We believe the pre-budget proposals represent a significant step in the wrong direction for the UK economy, and we will continue to press the case for them to be changed. "As things stand, they will hold back vital investment in businesses of all sizes and send out totally the wrong message about the government's attitude to enterprise." The Treasury has agreed to further consultation with the business representatives, who will now be presenting more evidence and information to the Treasury to highlight the damaging nature of the potential changes. Link Federation of Small Businesses
|
|||
|
About The Author  Sarah Laing Sarah is a Chartered Tax Adviser. She has been writing professionally since joining CCH Editions in 1998 as a Senior Technical Editor, contributing to a range of highly regarded publications including the British Tax Reporter, Taxes - The Weekly Tax News, the Red & Green legislation volumes, Hardman's, International Tax Agreements and many others. She became Publishing Manager for the tax and accounting portfolio in 2001 and later went on to help run CCH Seminars (including ABG Courses and Conferences). Sarah originally worked for the Inland Revenue in Newbury and Swindon Tax Offices, before moving out into practice in 1991. She has worked for both small and Big 5 firms. She now works as a freelance author providing technical writing services for the tax and accountancy profession. |
|||
|
Article Added Tuesday, 23 October 2007 | 2523 Hits |
|||
Tax Insider Lite
Each month our tax experts reveal FREE tax strategies to help minimise your taxes. Get Tax Insider Lite:
Tax Books
BOOK OF THE WEEK
Capital Allowances for Fixtures: The New Rules
BOOK OF THE MONTH
A-Z of Plant & Machinery
PROUDLY SUPPORTING
