Draft tax legislation gives greater predictability and clarity
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06 December 2011 - HM Treasury
Following Budget 2011, the Government has today published
responses to a number of tax policy consultations, alongside draft
clauses for legislation to be included in Finance Bill 2012.
This fulfils the Government’s objective of confirming the
majority of intended tax changes at least three months ahead of
publication, making the tax system more open, predictable and stable.
The draft clauses are open to consultation, and taxpayers, businesses
and tax professionals are able to contribute to this until 10 February
2012.
Finance Bill 2012 will include the next steps in the Government’s plans
to make the UK system the most competitive in the G20:
- cutting corporation tax to 24% in 2013, on its way to 23%
in 2014;
- reforming the controlled foreign companies regime; and
- introducing a patent box.
It also introduces measures to improve growth through more
generous R&D tax reliefs, enhanced capital allowances for
enterprise zones, and a new seed enterprise investment scheme.
The draft legislation also includes clauses to introduce the
VAT cost sharing exemption, and details of the Government’s proposals
to encourage charitable giving and philanthropy.
David Gauke, Exchequer Secretary to the Treasury, said:
“This is the second year we have published draft tax
legislation, and the Government’s more open, predictable and simple
approach to tax policy making is working well. By confirming
intended tax changes ahead of publication, we are giving greater
certainty and stability to taxpayers and businesses than they have had
in the past. Furthermore, the consultation responses we are publishing
today demonstrate the Government’s commitment to listening to the views
of those affected by changes to the tax system.”
Government responses to consultations on a range of tax policies have
been published today by HM Treasury and HM Revenue & Customs
(HMRC). These include responses on:
All consultation responses being published today are
available on the HM
Treasury website.
Notes
1. Details of the clauses published today are set
out in the Overview of Draft Legislation document, which also includes
Tax Information and Impact Notes for each measure. All
publications will be available via the HM Treasury website.
2. A written ministerial statement made today sets
out further information on the legislation being published, including
details of the measures that come into effect from today. A further
statement provides an update on the Government’s plans for introducing
a statutory residence test.
Non-media enquiries should be addressed to the Treasury Correspondence
and Enquiry Unit on
020 7270 4558 or by e-mail to public.enquiries@hm-treasury.gov.uk
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