Changes to the Research & Development tax relief schemes (Spring 2023 Budget)
The government encourages R&D via two different schemes: What are the changes to the R&D schemes? Research and Development Expenditure Credit, a taxable expenditure credit previously paid at 13% will increase to 20% of expenditure from 1 April 2023. Small and Medium Enterprise “enhanced expenditure” scheme, the additional deduction for qualifying revenue expenditure decreases from […]
What are the different types of Capital Allowances and how can they benefit my business?
Capital allowances are tax deductions that can be claimed on certain types of capital expenditure. Capital allowances reduce taxable profits, reducing the amount of tax a business needs to pay. In the United Kingdom capital allowances can take the form of an annual “writing down allowance” which writes off the capital expenditure over the life […]
Spring Budget 2023 – An In-depth Look
Hunt for growth Jeremy Hunt opened his first full Budget speech by declaring that it was a ‘budget for growth’. He emphasised that this would be ‘long term, sustainable, healthy growth’; after all, Kwasi Kwarteng’s ill-fated September speech at the same despatch box was titled ‘the Growth Plan’. The Office for Budget Responsibility reported that […]
<strong>Business Asset Disposal Relief</strong>
Business Asset Disposal Relief (formerly Entrepreneurs Relief) allows individuals disposing of qualifying business or business assets to pay a rate of only 10% Capital Gains Tax on sales. This 10% rate of Capital Gains Tax compares favourably with the current main rate of 20%. Who can claim Business Asset Disposal Relief? If you are selling […]
The Inheritance Tax residence nil rate band – are you sure you qualify?
From 6 April 2017, the standard inheritance tax nil rate band, which is currently £325,000, was enhanced by an additional “residence nil rate band” (RNRB). This was designed to be fulfilment of the Conservative party’s promise to increase the inheritance tax nil rate band to £500,000 per individual or £1 million per couple. The RNRB […]
Has the pandemic proved a game changer for working women?
Women in Business: can we truly have it all?’, a discussion paper presenting research from 2018-19 carried out by Friend Partnership, was optimistic. The great majority of women surveyed in senior or middle leadership roles or who owned their own business, felt the working environment had improved during their career, with 75% of working mothers […]
‘Risk to Capital’ test for enterprise investment schemes
Enterprise Investment Schemes (EIS) and Seed Enterprise Investment Schemes (SEIS) are high risk but tax efficient investment tools. Companies using these schemes now need to be aware of the newly introduced ‘Risk to Capital’ test, as Friend Partnership explain. Introduced in the Finance Bill 2017/18, The ‘Risk to Capital’ test is now in force and […]