Budget papers described it as a ‘radical proposal to reduce regulatory burdens for small businesses through aligning their profits for tax purposes broadly with those reported in their accounts, providing scope to avoid dealing with the complexities of the tax system.’
The government said it would consult with small businesses on a system to produce a regime that ‘blends the twin aims of simplicity and fairness’.
Alastair Kendrick, tax director at Ernst & Young, said: ‘This will further threaten the small practitioner and could lead to more problems for small business as they try do-it-yourself jobs, which could lead to them getting hit with Inland Revenue penalties.’
ICAEW tax faculty manager Francesca Lagerberg described it as ‘an interesting idea’ and gave a ‘very cautious welcome’ to the proposal. She said it would be a good thing to consult on, but said the idea through up all sorts of practical issues.
The second largest improvement in ‘significant’ levels of financial distress since the EU Referendum was in professional services, found research from Begbies Traynor
Just one half of UK practices have implemented a pricing structure around auto enrolment implementation and advice - with many suffering increased costs
Deloitte's north-west Europe foray; BDO, Smith & Williamson investment paths; Shelley Stock Hutter; and Wilkins Kennedy discussed by editor Kevin Reed on our Friday Afternoon Live broadcast
Accountants should alter their perspective on auto-enrolment to maximise business opportunities, according to Eric Clapton.