The suggested content of the Finance Bill 2013 has now been published. If it obtains Royal Assent then the new rules it contains will form part of UK tax legislation from 6 April 2013. As ever, it is a long document and briefly here are some of the highlights:-
- The proposed statutory residency test is included in the Finance Bill 2013. It has been changed from the draft published under the last consultation and it is therefore worth reviewing these new rules in more detail if they apply to you or your clients.
- Income tax reliefs are to be limited to £50,000 or 25% of total income
- Shares acquired through an EMI share option scheme could qualify for Entrepreneurs relief after 1 year from the date of the option’s grant (as opposed to the current rules where the shares had to be owned for a year before a sale). The 5% shareholding requirement is also removed from shares acquired under EMI options.
- Pension payments made by employers will only be an exempt benefit to an employee, not the family of an employee.
As ever there are a number of changes. If you would like advice on any of these please contact Eaves and Co for further details on how the Finance Bill 2013 could affect you.