Just over a week since the Spring Budget on 3 March 2021, and looking back, it’s understandable that with the country still in the midst of the Covid-19 crisis, but hopefully with the roadmap to light at the end of the tunnel, it is not surpirising The Chancellor focused on announcing further support for jobs and businesses rather than bringing in any immediate increases across various taxes – acknowledging that the increase in Corporation Tax doesn’t come into effect until 1 April 2023.
Most notably on 3 March, there appeared no truth in the rumours of signficant changes to Capital Gains Tax nor Inheritance Tax.
The general feeling is still of course that more significant tax rises must be in the background for a future time.
However, what has received little press and which many people may be unaware of is what is being termed ‘Tax Day’.
Tax Day refers to 23 March 2021 when the Government have said they will publish a number of tax-related documents and consultations on possible tax changes, that would traditionally have been published on Budget day … but which appear to have been delayed to allow The Chancellor to have focused on the 3 March announcements largely on support.
The information that the Government will provide on 23 March is likely to give us much more of an indication of where further tax changes might fall in the coming years. The rumours about Capital Gains Tax and Inheritance Tax as well as other areas – Pension Tax Relief possibly being highlighted, will once again gather pace as the date approaches.
The Government’s announcement can be found at the following link and we will of course provide news and insight following 23 March – please therefore watch this space for details.
Government to publish range of tax consultations and calls for evidence on 23 March – GOV.UK (www.gov.uk)
If you have any questions, please don’t hesitate to contact us.
Director and Head of Tax