THE TOP RATE OF INCOME TAX should never have been cut, according to WPP chief executive Sir Martin Sorrell.
The move, which saw the 50p rate dropped to 45p, has frustrated Sir Martin, who argued that the cut should have been spread across the course of parliament, rather than made all at once.
He raised concerns, too, over the confidence of the business world in the coalition government, claiming there is a “big lack of dynamism” in economic policy.
“If you want to improve entrepreneurial activity, reduce the rate of capital gains tax,” said Sir Martin, cited in the Guardian. “Don’t mess about with income tax.”
George Osborne’s budget in April was the subject of intense criticism, with levies on hot food – such as pasties – and caravans particularly controversial. Those decisions, among others, were eventually rescinded.
Report argues that the government must change the way it makes tax and budget decisions
Drastically fewer offices for HMRC in the hope to reduce their running costs
Tayabali Tomlin and d&t directors launch £20 a month TaxGo service, aiming to be the 'biggest UK firm' by client numbers
Companies must report on their complex financial structures including offshore accounts and notify HMRC