UK Announces Tax Changes

December 4, 2014 Taxation in UK

LONDON – George Osborne has delivered his Autumn Statement, announcing a wealth of tax changes.

On November 3rd the UK Chancellor of the Exchequer George Osborne issued the annual Autumn Statement, detailing the state of the national economy and describing a number of upcoming tax changes.

The most controversial change announced in the Autumn Statement was the introduction of the so-called “Google Tax” which will be levied at 25 percent on the profits of any business which use artificial means to shift profits out of the UK.

Personal taxes, on the other hand, will be decreased with tax free allowances rising to GBP 10 600 next year, and the highest personal tax band being raised to GBP 42 385.

Changes will also be implemented to exempt from inheritance taxes the inheritances from aid workers who die during humanitarian emergencies or those passing between spouses.

The contentious issues of tax devolution will also be addressed, with business taxes to be devolved in Wales and Scotland.

Photo By: mrgarethm