|SIMPLER INCOME TAX FOR SMALLER TRADERS
April 16 2012.
The government has launched a consultation to make it easier for small businesses - that is, most self-employed sole traders and those in partnership with other individuals - to calculate their taxable income.
From April 2013, the government proposes to introduce a voluntary cash basis for small businesses to calculate their income tax along with simplified arrangements for some business expenses.
What are the proposals?
The proposals are relevant to individuals carrying on a trade or profession as a self-employed sole trader, or in partnership with other individuals. HMRC wishes to consult on the proposed design of the cash basis and simplified expenses.
Who should read it?
Self-employed individuals carrying on a trade, profession or vocation, their advisers, and representative organisations.
27 March 2012 to 22 June 2012.
How to respond or enquire
Responses or enquiries about the content or scope of the consultation should be sent to:
HM Revenue & Customs, 100 Parliament Street, London SW1A 2BQ
Tel: 020 7147 2544
Additional ways to be involved
HMRC intends to meet with interested parties during the consultation period.
After the consultation
Subject to the outcome of the consultation, the government intends to publish draft legislation in autumn 2012, for introduction in the 2013 Finance Bill.
For further information and to download the full consultation proposal, visit www.businesslink.gov.uk