This year the budget is combined with Covid-19 and hence it should be considered together to see the full effect.
The main points are given for simpler understanding.
- Small firms will be refunded Sick Pay for Staff for 2 weeks.
- Sick leave will also be available from day 1.
- No Insurance till you earn £9,500 pa.
- No tax till you earn £12,500 pa.
- The tax will be 40% if you earn more than £50,000.
- You pay Capital Gains Tax above £12,300.
- Residential property sale CGT payable within 30 days of sale.
- Corporation tax rate is still 19%.
- Employment allowance is increased to £4,000 for small businesses.
- R & D expenditure tax credit is increased from 12% to 13%.
- Business rate discounts for pubs will be £5,000.
- VAT registration threshold remains at £85,000.
- Business rates abolished for one year for small businesses.
- Firms Eligible for small business rates relief will get £3,000 cash grant.
- The lifetime limit for entrepreneur’s relief is limited to £1m.
- Foreign buyers of UK properties will have 2% stamp duty surcharge.
- Loan scheme to support SME and 80% guaranteed by the Government.
- £130m to extent Start-up loans.
- VAT abolished for Books, Newspapers & Magazines.
