News: Press Releases:
Jet set businessment may be in for a shock

29 November 2004

Blick Rothenberg offers annual pre budget statement assistance to journalists as well as assistance on the day and comment afterwards.

Not wishing to be seen to increase tax in the lead up to the general election, there are a number of issues that the Chancellor Gordon Brown could announce in his pre budget statement later this week.

He might also include surprise items that would not normally see the light of day in a pre-budget statement simply because, if he does not deal with them now, he will not have time to put through appropriate legislation before any general election next year.

1) Inheritance Tax He may impose a 50% higher rate of tax on estates over £1 million He may increase the starting point from £263,000 to £300,000. He could change the rules so that shares in a family business worth more than say £1million are no longer wholly exempt from tax. He could scrap potential exempt transfers so that tax is immediately payable on gifts during someone's lifetime

2) Residence and Domicile A change in the detailed rules for determining taxes residence and regulating the consequences of non-domicile status. (This has been the subject of considerable discussion and uncertainty should be ended).

He might well look at the mechanical rules of residence; look at the day's businessmen can spend here without incurring UK tax or even the way that the days are actually counted.

For more information, or to set up an interview, please call David Barzilay +44 (0)20 7544 8980, Lizzie Jordan +44 (0)20 7544 8827 or Steven Bruck +44 (0)20 7544 8970

EDITOR'S NOTE:
Blick Rothenberg's client base includes a wide range of private sector companies in a variety of industries as well as professional firms and charities. This breadth of clientele means that they have practical experience of all accountancy issues ranging from UK tax and audits to acquisitions, disposals of businesses and international taxation. They also provide all-round taxation, accountancy and other financial services to their personal client portfolio.
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