Category Taxation in UK

Brexit May Spoil Your Next Holiday

August 8, 2018 Taxation in UK

Travel Company Taxes After BrexitLONDON – If the UK follows through with Brexit, it may spoil people’s holiday plans.

In a press release issued earlier this week, Seasonal Businesses in Travel (SBIT), a UK-based travel industry advocacy group, claimed that the cost of holidays will increase following Brexit.

The cost increases were attributed to the fact that following an exit, UK companies with staff overseas will no longer be able to use UK staff during peak seasons.

The need to employ EY staff will mean that employers will need to pay local employment taxes, which are in many cases more onerous than their UK equivalents.

SBIT claims that following an exit, the costs felt by holiday companies will rise by as much as 58 per cent.

In addition to the increasing costs, the companies will reduce the number of UK workers ...

Read More

UK Tax Burden Reaches Historic High

July 30, 2018 Taxation in UK

tax burdens in the UKLONDON – Taxpayers in the UK are paying the highest taxes in since the 60s, and the government looks keen to raise tax burdens even further.

Last week the UK think-tank the Taxpayers Alliance issued a new report which showed that the tax burden faced by individuals in the country is now higher than it has been in decades.

Currently, the amount of taxes collected by tax authorities in the UK is equivalent to approximately 34.3 percent of the national GDP.

The current tax burden level is the highest since 1969-70 when the tax burden reached a level of 35 percent.

The increased tax burden is a product of increased funding needs in key areas such as the national health system, along with mounting pressure from areas such as education and military spending.

The Taxpayers Alliance notes that ...

Read More

UK Launches 9 Major Taxes in 10 Years

July 10, 2018 Taxation in UK

Taxes in the UKLONDON – Over the last decade, the UK has decreased its appeal as an investment destination by enacting a series of new taxes.

Earlier this week the UK accounting firm, UHY Hacker Young, issued a new statement which detailed the taxes enacted by the national government over the last 10 years.

Since the 2008 Global Financial Crisis, the government of the UK enacted 9 new taxes, consisting of the apprenticeship levy, the bank levy, the bank surcharge, diverted profits tax, bank payroll tax, enveloped dwellings tax, Swiss capital tax, and the tax on sugar-sweetened beverages.

Cumulatively, the new taxes raised an extra GBP 27.9 billion in tax revenues, over and above what the government already collected from previously enacted taxes.

Commenting on the new taxes, Darren Grimes, Partner at ...

Read More

UK Urged to Legalise Marijuana, and Enjoy Tax Revenues

June 5, 2018 Taxation in UK

marijuana legalisationLONDON – If the UK legalized and taxed marijuana, it could use its new tax revenues to cover some of the significant costs of the national healthcare system.

A new report released by the international development organization Health Poverty Action (HPA) is calling on the government of the UK to legalize and regulate the market for recreational and medical marijuana and to use the ensuing tax revenues to fund the national healthcare system.

The researchers at the HPA claimed that many countries in the world are turning towards legalization, and that “…prohibition has failed”.

If legalization and regulation were to take place, and the taxation of marijuana sales was similar to the taxation of alcohol or tobacco, the estimate for the arising tax revenues is between GBP 1...

Read More

Tax Freedom Day Has Fallen in the UK

May 30, 2018 Taxation in UK

Tax Freedom Day UKLONDON – The time it takes the average taxpayer to cover their tax bill has shrunk since last year, however, the government is still outspending its own incomes.

Each year the UK think-tank, the Adam Smith Institute, calculates and publicizes the date of Tax Freedom Day, which will fall on May 29th in 2018.

Tax Freedom Day is a commonly used theoretical measure aimed at illustrating the extent of the tax burden in a country.

The date is calculated through examination of total tax receipts expected to be seen in a country and the total production in the same country, all over the course of the same year.

Tax Freedom Day is commonly described as the date at which taxpayers will have earned enough to pay their annual tax obligations, and will be able to start working for themselves.

In thi...

Read More