It said proposals set out in the pre-Budget report on owner mangers of small companies looked ‘likely’ to increase taxes paid by owner managers on profits extracted from their companies.
But ICAEW admitted ‘confusion’ over the proposals and called for clarification. The pre-budget statement said: ‘The government will bring forward specific proposals for action in Budget 2004, to ensure that the right amount of tax is paid by owner managers of small incorporated businesses on the profits extracted from their company.’
It has written to the paymaster general expressing concern over the proposals. Mark Lee, chairman of the Institute’s Tax Faculty, said: ‘We are concerned about the uncertainty that this announcement is causing small incorporated businesses and their advisers. Detailed proposals need to be published as a matter of urgency.’
Making Tax Digital will impose significant additional tax compliance costs on small businesses for little or no medium term benefit, tax and small business experts told MPs
MHA MacIntyre Hudson has partnered with cloud accounting software provider Xero ahead of the government’s requirement for digital records
The drive towards a fully digital tax regime is an admirable one, but mandation is simply wrong, according to one of the UK's most senior tax technology practitioners - Paul Aplin
Does Darwin's theory apply to taxation? Colin ponders...