In this edition, our feature article covers one of the policies announced in the Autumn Statement being the freeze on a range of tax thresholds alongside a lower starting threshold for additional rate taxpayers.
The articles in this issue are:
- Changes to company share option plans Changes to company share option plans (CSOPs) from April 2023 will widen access and offer greater benefits to employees but for most smaller companies, enterprise management incentive options (EMI) will remain preferable.
- Insolvencies spike exposing fraud Company insolvencies are soaring, highlighting the impact of the energy crisis and inflation. The rise in such cases is also bringing a worryingly significant amount of fraud to light.
- What a drag: the impact of frozen tax thresholds Fiscal drag is created when governments freeze tax bands and pull more and more taxpayers into higher tax brackets. This stealth approach to increasing revenue tends to avoid the backlash that comes with overtly increased tax rates.
- Changing patterns of employment Working nine to five, five days a week is becoming less common, a trend accelerated by the Covid-19 pandemic when many employees worked at home on a flexible basis.
- R&D tax relief reforms to hit smaller firms Loss-making small or medium-sized enterprises (SMEs) can currently claim a 14.5% payable tax credit on qualifying R&D expenditure but this rate will be cut to 10% from 1 April 2023.
- Making the most of charitable giving Most charities depend heavily on support from individuals so it’s common sense to maximise the impact of your gifts and gift aid claims.
We hope you enjoy reading the newsletter. Please get in touch if you need help or advice on any of the topics covered.