"It is welcome that the Government has recognised the concerns we raised about the damaging nature of the CGT reforms on small business. Keeping the 10% rate on gains up to £1 million will be a great relief for many small business owners, allowing them to gain from the risks they have taken over their career. "What can not be ignored however, is that the ultimate impact of these changes is going to be a £700 million tax take from business. It is also clear that this has done nothing to simplify the taxation system, the original stated aims of the changes.
"At a time when the economy is facing a downturn the Government is taking yet more money from business. The Government should not have changed a Capital Gains Tax system that was working well and helped to foster an entrepreneurial spirit in the UK."
Hertfordshire Chamber of Commerce & Industry Chief Executive, Tim Hutchings said, “Whilst I am delighted that the collective voice of the chamber movement has played a key role in mitigating this government attack on entrepreneurship I am still disappointed that it wasn’t fully rescinded. In challenging times we need to do all we can to support and encourage entrepreneurs”.
For more information contact the Hertfordshire Chamber of Commerce & Industry on 01707 398400