The Chancellor has announced his Autumn Budget 2023 Statement.
Here Ascentant Accountancy take a glance at the headline announcements for Businesses and Individuals.
Self Employed
The abolishment of Class 2 National Insurance for the Self Employed to qualify for state benefits.
Class 4 National Insurance will be reduced from 9% to 8% on earnings between £12,570 and £50,270, reducing tax for employees. This will save those earning £35,000, more than £450 a year.
Personal Tax
Employee National Insurance will be cut from 12% to 10%, affecting 28 million people and saving someone on the average salary £450 a year.
Business Rates
The Business Rates multiplier for small businesses will be frozen, ensuring no increase in Business Rates.
The Hospitality, retail and leisure discount on rates will be extended.
R&D
A new simplified tax relief scheme will be launched, combining existing schemes, allowing loss making companies to receive a cut tax rate of 19% rather than 25%.
Capital Allowances
Full expensing of capital allowances to be made permanent, allowing firms to write off the entire cost of spending on new machinery and equipment.
State Pensions
Payments wll rise 8.5% to £221.0 a week, worth almost an extra £900 a year.
Pensions
Pension Savers will have the right to one pension pot for life, meaning where employees move role, they will be able to request their pension is paid into another scheme to that of their current employer.
Wages
The National Living Wage to rise to £11.44 an hour and extended to 21 year olds. This increases from £10.42 an hour in April. 18-20 year olds will receive a £1.11 hourly rise to £8.60 an hour from April.
Need Help?
If you need help with your Tax or Accountancy needs, get in touch with Ascentant Accountancy on 01332 981920 or 01773 424009 to see how we can assist.
