Hacked by Loard Mahdi

Read more...

Breaking news from the BBC Paper tax returns to be replaced by digital by 2020

Read more...

The Electricians Tax Safe Plan

Read more...

Tax planning for 5 April 2015

Read more...

Starbucks Pays Tax For First Time Since 2008

Read more...


Call us now on 023 8083 6900 ABDS Home

Tax Tip

Demand for Tax Incentives to boost private lending. 06/10/11

The Forum of Private Business (FPB) has urged the government to cut taxes for private lenders as well as equity investors to boost credit conditions for small businesses.

This call follows the chancellor George Osborne and the Treasury’s latest plan to introduce a new 'credit easing' scheme to help small businesses gain access to finance.

Although the final details are yet to be published, the scheme is likely to involve creating bond markets from mixed SME debt packages.

The FPB is calling for further measures to allow alternative lenders to compete with mainstream banks, in addition to a plan to boost equity investment via tax breaks for venture capitalists. The lobby group has also outlined proposals to reform the existing Enterprise Investment Scheme (EIS) to private lenders paying the top rate of income tax.
Its recommendations include giving a 20% income tax relief on loans. It claims this would mean a loan of £100,000 would effectively cost a lender paying the top rate of tax £80,000.
It also proposes reducing to 20% the tax on interest received during the lifetime of a loan, as well providing an additional tax relief if a business fails before the loan is repaid.
 

Stuart Coleman, Manager of the Tax Department of ABDS says:

“It’s not just about giving Incentives to investors but on giving private lenders the tax breaks they need to compete against the major banks.”

If you need any help and advice for your business or financial planning don’t hesitate, contact Lavinia Newman, Stuart Coleman or Tonmoy Kumar to discuss how ABDS can help.

ABDS Chartered Certified Accountants of Southampton.
Tel: 023 8083 6900  E-mail: abds@netaccountants.net

« Back to Tax Tips