Budget 2009 Seminar

Our annual Budget presentation was held this year on Friday 24 April at Cluny Clays near Kirkcaldy. An audience of 70 invited clients and business contacts listened to our Tax Partner, Stephen Taylor, run through a myriad of topics that had largely been buried in the detailed HMRC Press Releases.

We now have a Budget announcement system that works very much in two complimentary parts with the earlier Pre Budget report making a lot of the detailed changes about rates and bandings which had largely escaped the attention of most people. The Chancellor, Alistair Darling, has adopted the same tactics as his predecessor with many changes not scheduled to take effect until April 2011 or beyond which also means people tend to forget that they will be facing substantially higher National Insurance Contributions in a couple of years time.

The introduction of the new 50% Income Tax rate for higher earners over £150,000 merited a lot of discussion after the formal presentation. The additional first year writing down allowance at 40% on plant and machinery which is in addition to the existing Annual Investment Allowance was welcomed but it was difficult to spot any other measures that were going to help small and medium sized businesses through this difficult trading period. There was disappointment that pension contributions were to be capped for higher earners which does seem a little at odds with Government policy when they have been trying to encourage people to make provision for their retirement.

At least one client was happy to learn that his 15 year old car had jumped up in value to £2,000 with the Vehicle Scrappage Scheme!

As usual, the offer is open to all our clients that if they would like a “post Budget review” to look at the measures that will directly affect them and their business to contact your usual Carters partner or manager or speak with Stephen Taylor or e-mail stephen.taylor@cartersca.co.uk.