KPMG: Budget confuses small business
Brown accused of both rewarding and punishing small businesses
KPMG has slammed chancellor
Gordon Brown for confusing small business in his last Budget speech.
Tom
McGinness, head of middle market tax at KPMG said: ‘This is a budget to
confuse small businesses. On one hand it rewards them with increased incentives
on capital allowances and research and development. On the other it penalises
them by increasing the rate at which they pay corporation tax.’
‘Despite promises to reduce complexity and administration costs, the proposed
changes to income tax and National
Insurance will increase the burden on SMEs and act as a disincentive to
growing their workforce,’ he added.
Further reading:
Budget 2007: Brown’s last Budget
Budget07: Corporation tax slashed
Budget 07: 2p off basic rate of income tax