Changes to EMI considered ineffective
Changes to share options in the enterprise management initiative did little to help cash strapped companies, one tax expert said today.
According to KPMG’s David Tuch, the chancellor failed to respond to the current economic situation and had done little to help those companies that had invested funds and now found themselves strapped for cash.
He said: ‘It’s a great shame the chancellor has not taken the opportunity to ensure that companies, that have very low or no net assets and therefore struggle to pay salaries, are still unable to introduce EMI if their gross assets are in excess of Pounds 30m.’