Here are some changes to expect in business tax in 2014/2015.
Social investment tax relief
The government will introduce a new tax relief for equity and certain debt investments in social enterprises with effect from April 2014. Charities, community interest companies and community benefit societies will be eligible.
Venture capital trusts (VCTs) changes
VCT investments will not qualify for new tax relief if they are conditionally linked to a VCT share buy-back or have been made within six months of a disposal of shares in the same VCT. This change will take effect from April 2014.
There will be a cap of 2% on the increase in business rates from 1 April 2014. A business rates discount of £1,000 will apply to retail and food and drink premises with a rateable value below£50,000 and up to the state aid limits for two years from 1 April 2014. A 50% business rates relief will apply for 18 months up to the state aid limits for businesses that move into retail premises that have been empty for a year or more. Businesses that move into empty premises between 1 April 2014 and 31 March 2016 will be eligible for the relief.
The doubling of the small business rate relief (SBRR) will be extended for a further year from 1 April 2014. The SBRR rules will be relaxed with effect from 1 April 2014. Businesses receiving SBRR and taking on an additional property will be allowed to retain SBRR on the first property for a year.
With effect from 1 April 2014, businesses will be allowed to pay their business rates over 12 months rather than ten months.