Budget Day ended with most tax professionals warning their clients about March 23rd, the day when the Government and HMRC would finally reveal their true colours in relation to structural changes to our tax system, and in particular, Capital Gains Tax and Inheritance Tax.
So, forgive me for feeling slightly under-whelmed about the raft of consultations finally issued by the Government earlier today.
On the bright side – all the consultations are announced today, and on a day that’s not Budget Day.
This will begin the consultation phase, meaning that businesses and individuals will be free to comment and help define any potential changes. This should help to deliver administrative efficiencies and make it easier for businesses and individuals to deal with their tax affairs.
On the dark side – there is nothing in there in relation to Capital Gains Tax or Inheritance Tax, despite the work undertaken by the Office of Tax Simplification and All-Party Parliamentary Group. Disappointing and trust me, I have looked!
It would take a full Line of Duty AC12 interrogation to get a steer on this, and even then, you would probably find out who “H” was before getting any answers as to when and how Inheritance Tax and Capital Gains Tax were to change. Evidently, those involved in transaction work will face a difficult September and October as deals look to be completed before possible increases in the Autumn Budget.
But there is a final bright side – having been established in 2010, the Office of Tax Simplification is finally to be consulted into itself to determine its efficiency in setting the tone of our tax legislation.
