Chancellor Philip Hammond presented his Spring Statement on 13th March 2019. The Spring Statement generally reports the state of the economy and Government finances to Parliament. In a time of such domestic and international political uncertainty, it was a welcome relief to see no significant new announcements in terms of taxation.
However, a document was published as part of the Spring Statement addressing tax avoidance, evasion and other areas of non-compliance mostly aimed at small businesses. Therefore we expect tax, VAT and PAYE enquiries to increase for small business clients. Specifically, with the announcement of a review of IR35 rules, the contracting and consultancy sector may be hard hit, but we expect increased HMRC activity across all sectors.
There are of course significant changes from the 2018 Autumn Budget to consider, so as we approach the start of the new tax year, it is a good opportunity to review these. CRM’s Technical Director, Alan Sowden, has evaluated the Spring Statement and associated documents to save you time. Alan has summarised the main announcements and as always added some useful planning points for your consideration.
If you have a question about how any changes may affect you or your business, or if you have a general tax query, please get in touch with us on 01865 379272.