By Diana Flier, Compliance Analyst, Intuit UK
“The coalition Government has made strong pledges about supporting small business Britain and driving entrepreneurship in the UK. The Budget is the time for that rhetoric to be translated into practical measures that can really help small businesses grow.
These include tax relief initiatives such as a reversal of the rise in national insurance contributions by employers, reversal of the January 2011 fuel duty increase and further corporation tax and small companies’ tax rate reductions. Additional reform to the Entrepreneurs’ Relief will provide valuable respite to small business owners and start-ups too. In light of recent unemployment figures, the Budget presents an opportunity to engage an army of would-be entrepreneurs.
Following the raft of tax changes that have been introduced, a simpler tax framework for small and medium-sized businesses is also required to stimulate growth, as advocated by the office of tax simplification (OTS). Reducing red tape will go a long way in easing the weight off small businesses’ shoulders.
Small businesses play a big part in the UK economy and it is clear the government needs to do more to help. The upcoming Budget presents that opportunity to address small businesses most pressing needs.”
Catherine Hoff, a QuickBooks customer and owner of The Bedroom shop in Lewes said:
“The VAT increase that came into effect in January this year has had a big impact on my business, directly affecting the company’s cash flow which is the lifeblood of any small business. The government needs to introduce tax relief in other areas to help ease that hit.
“The main benefit of starting a business is the flexibility it gives you. The reality is that it is still extremely tough for start-ups. Financially there is a lot more that the government can do to make it easier for start ups as well as reduce red tape.”