Private equity body calls members to action on CGT rise
Venture capital trade organisation warns capital gains rise could harm the economy
The British Venture Capital Association has told its members to pile pressure
on their MPs to oppose a rise in capital gains tax in this month’s Budget.
The leading private equity trade body wrote to its 220 members, arguing that
any rise in CGT would “jeopardise our ability to attract investment and brow our
business”, reports the
Telegraph.
It also supplied members with a template letter to send to MPs voicing their
opposition to any rise in the tax.
It is anticipated that CGT rates could rise from the current level of 18% to
something closer to income tax. The BCVA argued that “an exemption for business
assets — as was present in the former taper relief legislation — is what is
needed rather than simply maintaining or extending entrepreneurs’ relief”.