Expert views on Budget 2016
By International Adviser, 17 Mar 16
Members of International Adviser’s Tax & Technical Panel give their views and insights on chancellor George Osborne’s latest budget announcement.
“I think it was actually quite a good budget and when you start mulling through the policy papers, you can see that a great deal of time and effort has been spent clearing up a lot of areas where existing legislation has not been used for its intended purpose (in particular disguised remuneration) and expanding other areas such as entrepreneurs relief.
“There continues to be a great deal of focus on anti-avoidance and with the General Anti Avoidance Rule being strengthened by the introduction of a penalty of up to 60% of any tax counteracted by it. This could clearly discourage those tempted to ‘restructure’ transactions to convert income into capital given the reduction in CGT rates.
“Finally, the budget also commented on proposed revisions to the way these types of products are taxed to make it ‘fairer’ on the policyholder should they require more than their 5% tax deferred allowance and a review of the types of assets that can be held without incurring the dreaded 15% deemed gain tax charge.”
Tags: Budget | CGT | Tax Avoidance | UK Adviser
