PBR(8): Discussion paper on small business and tax

The Treasury has published its discussion document relating to 'Small companies, the self-employed and the tax system'.

Comments

It aims to open up a discussion on strategic issues relating to the taxation of small companies and the self-employed. Issues raised in the post-PBR discussion with interested parties will inform Government thinking on the strategic development of the personal and corporation tax regimes as they relate to small businesses.

The Treasury has requested comments on the paper. If members of UKTECH wish to comment below, I will summarise the responses and submit it to the Treasury as a submission from UKTECH network.

The Government has invited comments from interested parties 'to inform its thinking on the strategic development of the personal and corporation tax regimes as they relate to small businesses'.

In particular, the Government would welcome thoughts on the following issues arising from this paper:

• how the government can improve targeting of incentives for growth and enterprise – for instance by adjusting the balance of tax and non-tax incentives;
  
• whether the Government should consider segmenting owner-managers of companies from other company owners for tax purposes;
  
• how the trade offs between the different tax treatments for different types of business can be managed, including between meeting the objectives of minimising the economic costs of raising tax revenue, and of minimising compliance and administrative costs; and
  
• whether and to what extent businesses would value the benefits of certainty and simplicity over specific incentive structures.

To download the full document, click on

Small companies, the self-employed and the tax system