Fuel duty will remain frozen for a seventh consecutive year.
The government re-affirmed its commitment to increase its activity to counter avoidance and taking more cases through to litigation. Sanctions and deterrents will be strengthened, such as a new penalty for any person who has enabled another person or business to use a tax avoidance arrangement that is later defeated by HMRC.
Disguised remuneration schemes will also be tackled for employers, employees and extended to the self-employed.
Insurance Premium Tax
With effect from 1 June 2017, the standard rate of insurance premium tax will increase from 10% to 12%.
Soft Drinks Industry Levy
On 5 December 2016, the government will publish draft legislation for the soft drinks industry levy.
Making Tax Digital
Further to previously announced changes and consultations, the government will publish its response and provisions to implement Making Tax Digital in January 2017.
Letting Agent Fees
The government will ban letting agents’ fees to tenants. For example, when the tenants sign a new tenancy agreement. This measure is subject to consultation ahead of implementing legislation.
Universal credit payments are gradually reduced as a person’s income increases. The taper rate calculates the reduction in benefits as the individual’s income increases. The government has announced that this rate will be reduced from 65% to 63% from April 2017.
This means that for every £1 earned after tax above an income threshold, a recipient of universal credit should receive 37 pence, instead of 35 pence.
Air passenger duty
Given the strong interaction with EU law, the government does not intend to take any measures now inrelation to the potential effects of air passenger duty devolution, but rather review this area again after the UK has exited from the EU.
Our team can provide guidance on how these changes might affect you. To contact a member of our team call our Manchester offices on 0800 020 9542 or email hello@JacRox.co or visit our other website www.jackross.co.uk.