Paul Belsman, National Head of Tax at RSM Tenon said:
“After the last couple of years, the extent of the tax content of the Autumn Statement was actually quite surprising and it felt like a mini Budget. As expected, the Chancellor has confirmed further investment in HMRC resource as he continued with the theme ‘we’re all in this together’ and the measures to help businesses, specifically the tenfold increase in the AIA, are certainly welcome.
Business will find this helpful to cashflow if they are investing out of profit, as the tax relief will be accelerated; whether it actually tips them into investing sooner or at all remains to be seen. On balance it will encourage investment. The pension change is disappointing. The ability for people to plan for retirement is a challenge; it should be an area where there is stability to assist individuals deal with this funding and similarly employers to build it into their thinking. To continue to meddle in this area continues the theme of fiscal tinkering which upsets confidence to the detriment of encouraging talent and in particular entrepreneurship. It is vital business builds tax uncertainty into its plans.”
For more information, or to speak to Paul Belsman please contact:
Deborah Rothfield, Communications Manager on 020 7535 5579 or deborah.rothfield@rsmtenon.com