Key changes small businesses need to be aware of following The Budget
Chris Hopwood, Founder of Tidal Accounting
Yesterday’s Budget brought plenty of headlines, so we’ve put together a simple summary of the key changes for small businesses and landlords as well as information on previous announcements that are still due to come into force.
Two announcements didn’t make our graphic, and here’s why:
Founders’ Relief. A new 10% Capital Gains Tax rate on up to £10 million of lifetime gains sounds great on paper. In practice it’s aimed at founders and early investors in high-growth, innovative companies, with strict conditions that are still out for consultation until 30 November (so get your feedback in). For most owner-managed businesses, the more relevant change is Business Asset Disposal Relief halving to £500,000 from April 2027.
Payments on account. From April 2029, the familiar January and July payments are set to be replaced by smaller, more regular in-year payments. Details are thin for now, but this is expected to tie in closely with Making Tax Digital. That’s another reason to get your digital records in shape early.
If you’re unsure how any of it affects you, drop us a message and we’ll talk it through
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