Start up & Small Business March 2017 Budget Summary

Build a UK Business has worked through the main points of the Start up & Small Business March 2017 Budget Summary and are pleased to provide the main points below for our Business Support and Training Clients

The Chancellor, Phillip Hammond’s budget has targeted Start up & Small Business much more than previous budgets, as a Business Support & Training company, we felt it was important to summarise the main points of the Start up & Small Business March 2017 Budget

Start up & Small Business March 2017 Budget Summary

 

For Small Business owners, we have found the mains which will affect you directly are National Insurance, Tax Free Allowance, Dividends and Business Rates

  • The main rate of Class 4 National Insurance (charged on net profits) contributions for the self-employed to increase from 9% to 10% in April 2018 and 11% in April 2019
  • All Class 4 earnings above £43,000 will continue to be taxed at 2% while those below £8,060 will pay nothing.
  • Class 2 National Insurance, a separate flat rate contribution paid by self-employed workers making a profit of more than £5,965 a year, is to be scrapped as planned in April 2018
  • Personal tax-free allowance to rise as planned to £11,500 this year and to £12,500 by 2020
  • For self-employed people who work via a personal service company and pay themselves via dividends. The tax free dividend allowance will be slashed from £5,000 to £2,000 from next year

Other Budget News:

  • £435m for firms affected by increases in business rates, including £300m hardship fund for worst hit
  • Rate rises for businesses losing existing relief will be capped at £50 a month
  • Privately-owned SMEs to get extra year to prepare for tax digitisation and quarterly reporting

Still need help to find out if the Start up & Small Business March 2017 Budget affects you and your business, if you have an accountant contact them and ask for a summary of how the above information will affect you and your business, alternatively contact Build a UK Business:

Contact us:

  • 0121 582 6119
  • info@buildaukbusiness.co.uk
Please follow and like us:

Leave a Reply