tax devolution tagged posts

Inaction on Devolution Will Cost N.Ireland

April 5, 2017 Taxation in UK

Tax in Norther IrelandBELFAST – Norther Ireland may be losing its greatest opportunity to attract investors, according to some economic experts.

Invest Northern Ireland, a regional development agency promoting investment into Northern Ireland, has dropped its suggestion that the country may gain devolved powers to set its own corporate tax rate by April 2018.

The group had previously attempted to entice investors into Ireland with the promise that in April 2018 the country would reduce its corporate tax rate to 12.5 percent.

It has now been revealed that the Department of Finance has admitted that there is a chance that the deadline for devolution of the tax powers “may slip”.

The cause of the delay has been attributed to a political stalemate which has led to a lack of agreement between political parties...

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Tax Powers Devolved to Scotland

December 1, 2016 Taxation in UK

Scottish devolutionDUBLIN – In a matter of month the government of Scotland will be able to adjust its own rates of personal income tax.

On November 30th the UK government approved the Scotland Act 2016 which devolves income tax powers to the government of Scotland.

Under the new rules, from April 6th 2017 the government of Scotland will have the power to independently set the rate of income tax in the country and to also adjust the income tax thresholds.

The current tax thresholds in the UK, and subsequently Scotland, are GBP 11 000, GBP 42 700, and GBP 150 000, with the respective tax rates set at 20 percent, 40 percent, and 45 percent.

However, Scotland will not be empowered to adjust the level of the personal allowance, below which individuals do not face tax obligations.

Commenting on the devolution,...

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Wales Establishes National Tax Authority

July 1, 2015 Taxation in UK

CARDIFF – Work has begun to establish an independent tax authority in Wales, in order to ensure that Wales can smoothly transition to collecting newly devolved taxes.

In a recent statement the Finance Minister of Wales Jane Hutt announced that a new tax collection body is now being established in the country to start collecting taxes from local taxpayers by the end of the year 2018.

The new body, to be called the Welsh Revenue Authority, will initially be charged with collecting the recently devolved landfill tax and the equivalent of stamp duty, to be called Welsh Land Transaction Tax.

It is estimated that the collection of the new landfill tax will result in revenues of GBP 51 million, while collection of the stamp duty will result in revenues GBP 168 million per year.

The Welsh Revenue...

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