How will the Budget affect your business?

From Business Link
The Chancellor gave his Budget Report on 22 April 2009
Read the report and further information on the HM Treasury website - Opens in a new window.

The Business Payment Support Service which helps businesses that are having difficulty meeting payments due to the existing economic conditions, has now been extended to support businesses currently making losses. The extension applies to corporation and income tax.

The Three Line Account Limit is being increased from the current amount of £30,000 for trading or self employment income and £15,000 for property income to permanently align it with the VAT registration threshold to £68,000 from the tax year 2009/10.

This is relevant to small businesses who can restrict the information they provide in their tax return to just their turnover, total allowable business expenses, and net profit or loss, rather than having to provide a detailed breakdown of their expenses.

There is a new temporary rate of 40 per cent for capital allowances - first year allowance for expenditure on general plant and machinery.

Corporation Tax rates for the financial year 2010-11 will remain unchanged with the main rate at 28 per cent and for the financial year 2009-10 the small companies rate will be 21 per cent.

For more information go to Business Link