Tax Changes Taking Place after 1 April 2015
There are many tax changes that will be on effect from April 1, 2015. Here is a list of those tax changes.
• The Corporation Tax rate will be reduced to 20% from 21%
• The new Diverted Profits Tax (DPT) has been introduced. This means any company operating in the UK which artificially diverts profits to another country are accountable for paying such DPT
• The bank levy has increased to 0.21% from 0.156%
• Air Passenger Duty will abolish two of its expensive bands C( traveling over 4,000 miles) and D (over 6,000 miles) with the view for improving trade with emerging economic countries like China and Brazil.
• VAT Refunds will be eligible for hospice charities, blood bikes, search and rescue, and air ambulance charities
• The VAT registration threshold will be increased to £82,000 from £81,000. Similarly, the VAT deregistration threshold to £80,000 from £79,000
• The following business rates changes apply for England only:
• The business rates multiplier will increase to 49.3p from 48.2p including the 2% inflation cap
• The Small Business Rate Relief scheme will provide 100% relief for businesses with a single property with a rateable value of less than £6,000
• The business rates discount for shops, pubs, cafes and restaurants with a rateable value of £50k or low will be increased to £1,500 from £1,000
• Stamp Duty Land Tax in Scotland will be replaced by Scottish government’s Land and Buildings Transactions Tax (LBTT)
• The minimum UK expenditure requirement for all TV tax reliefs has reduced to 10% from 25%
• Two new bands for the Annual Tax on Enveloped Dwellings (ATED) have been introduced
• If the corporate selling the asset has used it in their own business, Capital Gains Tax exemption will apply
• An investment allowance for North Sea oil and gas has been introduced
• Fuels used for generating good quality electricity by CHP (combined heat and power) plants for onsite purposes are free from the Carbon Price Floor
• Climate Change Levy main rates and the standard and lower rates will be increased in line with RPI
This changes was published by HM Treasury & HM Revenue & Customs (HMRC).