Philip Hammond (aka Spreadsheet Phil) has delivered his first spring budget.
These are the key points Charterwells can see, which will impact Small Businesses, Contractors and Freelancers in the UK.
There will be extra relief available for smaller businesses that are struggling with business rates.
The tax free allowance for dividends will be reduced from £5,000.00 to £2,000.00, which will impact limited company shareholders and individuals with a substantial share portfolio.
£270m of funding is to be made available for the development and deployment of 5G, driverless car and robotics, this should create more opportunities for contractors in these fields.
The Class 4 National insurance to rise from 9% to 10% in 2018 and then 11% in 2019 for self employed business owners. This impacts self employed business owners who are making profits of more than £8,060.
However, Class 2 National Insurance will still be abolished from 2018.
The personal allowance, the amount you can earn before you pay income tax is increasing to £11,500.
The VAT registration threshold has been increased to £85,000.
There has also been a 12 month delay in the Making Tax Digital (MTD) for very small self-employed businesses and landlords
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