Following the UK’s departure from the EU, Chancellor Rishi Sunak presented the 2020 Budget against a backdrop of economic uncertainty caused by the spread of the coronavirus.
Our Budget 2020 Summary provides an overview of the key announcements arising from the Chancellor’s speech. Measures for businesses include a capital gains tax reduction in the Entrepreneurs’ Relief lifetime limit from £10 million to £1 million, together with changes to Statutory Sick Pay for employees advised to self-isolate because of the coronavirus.
Individuals will benefit from a rise in the national insurance contribution (NIC) threshold from £8,632 to £9,500, alongside the abolishment of the 5% VAT rate charged on sanitary products.
Additionally, throughout the Summary you will find informative comments to help you assess the effect that the proposed changes may have on you personally.
If you would like more detailed, one-to-one advice on any of the issues raised in the Chancellor’s Budget speech, please do get in touch.
Extract from Rawcliffe Budget 2020…
Our summary focuses on the tax measures which may affect you, your family and your business.
To help you decipher what was said we have included our own comments. If you have any questions please contact us for advice.
Main Budget tax proposals
Our summary concentrates on the tax measures which include:
- a reduction in the Entrepreneurs’ Relief lifetime limit
- an increase in the Employment Allowance
- an increase in the rate of Structures and Buildings Allowance
- an increase in the Research and Development Expenditure Credit.
Other measures include:
- an increase and extension of business rates discounts
- extended access to Statutory Sick Pay due to
Previously announced measures include:
- the increase to the National Insurance thresholds
- the introduction of off-payroll working for the
- changes to Principal Residence Relief.