Posted on 9 July 2015
Which of the announcements made in the Chancellors Budget on 7 July should owners of rural businesses take note of?
Direct costs - Living wage and fuel duty
The new compulsory “living wage” of £7.20 per hour from next year and £9 per hour from 2020 could impact small rural businesses but this will be offset by the rise in the Employment Allowance from £2,000 to £3,000 per year. Fuel duty remains frozen.
Annual Investment Allowance
The temporary increase in the 100% tax deduction available for purchases of plant and machinery to £500,000 was due to reduce from December to a mere £25,000. The announcement that this will now be set at £200,000 per annum permanently instead of changing each year will provide a stable basis for planning the purchase of equipment needed to invest in businesses and take them forward.
Click here to read our full summary.
You may also find our note on the Budget for Landlords and Owners of Residential Property relevant. Click here to read.