Good afternoon
The Chancellor has delivered his March Budget, the last one before the forthcoming General Election
The headline tax measures are
- 2% cut to the main rate of national insurance from 10% to 8%
- Self employed national insurance cut from 8% to 6%
- Abolished multiple dwellings relief
- Reduced the higher rate of CGT on property sales from 28 to 24%
- VAT threshold increased to £90,000
- Reformed the High Income Child Benefit Charge
- Introduced brand new ISA which allows an additional £5,000 annual investment
- Abolished Furnished Holiday Lettings relief
- Abolished the non-dom status
- Introduced duty on vaping products from October 2026 plus one-off
- Frozen the fuel duty for the 14th year in a row for another 12 months, maintaining the 5p cut
- Extended the alcohol duty freeze until February 2025
- Made tax reliefs for orchestral productions permanent
- £1bn in additional tax relief for creative industries over the next five years
dal sito governativo
Replacing Non-UK Domicile tax rules with a residence-based regime – This measure abolishes the remittance basis of taxation for non-UK domiciled individuals and replaces it with a simpler residence-based regime. Individuals who opt into the new regime will not pay UK tax on any foreign income and gains arising in their first four years of tax residence, provided they have been non-tax resident for the last 10 years. This new regime will commence on 6 April 2025 and applies UK-wide. The government will introduce the following transitional arrangements for existing non-doms claiming the remittance basis:
- an option to rebase the value of capital assets to 5 April 2019
- a temporary 50% exemption for the taxation of foreign income for the first year of the new regime (2025-26)
- a two-year Temporary Repatriation Facility to bring previously accrued foreign income and gains into the UK at a 12% rate of tax.
The government will also reform Overseas Workday Relief (OWR). Eligible employees will be able to claim OWR for the first three years of tax residence, benefitting from income tax relief on earnings for employment duties carried out overseas but with current restrictions on remitting these earnings removed. Further detail on eligibility criteria will be set out in due course following engagement with stakeholders.
The government is also announcing the intention to move to a residence-based regime for Inheritance Tax (IHT) and will consult in due course on the best way to achieve this, including consulting on a 10-year exemption period for new arrivals and a 10-year ‘tail-provision’ for those who leave the UK and become non-resident. No changes to IHT will take effect before 6 April 2025.
Sarebbe interessante avere un periodo di esenzione dalla tassa di successione per 10 anni per i nuovi arrivati!
