Posted by on 23 June 2010 | 143 Comments

The ‘headline’ rates of corporation tax remain the same as last year, the small company rate will stay at 21% and the main rate will remain at 28% for 2010/11.

If you’re investing in plant and machinery… 

The annual investment allowance has been doubled from £50,000 to £100,000. This means that 100% First Year Allowance is available for expenditure incurred on plant and machinery on or after 1 April 2010 for company’s of any size and 6 April 2010 for sole traders and partnerships. 

If you’re a small business occupying property… 

Small businesses occupying properties with rateable values of up to £6,000 will pay no business rates for one year from October. In addition small businesses occupying premises with rateable values up to £12,000 will benefit from taper relief.  

If the recession is affecting your business’s cash flow… 

It is welcome news that the Business Payments Support Service will continue for the foreseeable future. This is one of the Government’s support success stories. It is good news for business that in this year’s Budget the Chancellor extended financial support for the term of the next parliament.

We are already working hard on developing planning strategies to help you following the Budget announcement. The content of this briefing is intended to highlight a few topical issues arising from the Budget 2010. You should not act upon this information without taking proper professional advice after a thorough examination of your situation. It should not be regarded as a basis for ascertaining liability to tax or determining investment strategy in specific circumstances.