Top 10 budget items for businesses & family
In his budget delivered on Monday 29th October 2018 the Chancellor Philip Hammond promised that “austerity was coming to an end” A range of new commitments in public spending were made but here we concentrate on matters most likely to have direct impact on your business or your family.
Top 10 announcements of relevance:
- Personal tax allowances increased to £12,500 (zero rate) and £37,500 (40% rate)
- VAT Thresholds of £83,000 and £85,000 frozen again
- Tax on dividends allowance remains at £2,000 for another year
- National Living Wage increased to £8.21 per hour
- Corporation Tax rate will fall to 17% (from 19%) from 01 April 2020
- Capital Gains Tax annual exemption increases to £12,000 for 2019/2020
- Income tax higher rate remains at 45% for incomes in excess of £150,000
- Inheritance Tax nil rate remains at £325,000
- ISA overall investment limit remains at £20,000 per annum
- At a macro level the Chancellor forecast growth/GDP for 2018 to come in at 1.3% and that unemployment would fall to 3.7% (its lowest level for 40 years).