The Chancellor gave his Budget on 24th March 2010 and the changes announced will affect all franchise businesses.
50% Tax
It was confirmed that the new 50% rate of income tax will come into effect from 6th April 2010 for those with income over £150,000. Personal allowances will also be restricted for individuals with income over £100,000.Capital Gains Tax
Capital Gains Tax rates have remained the same. However, the lifetime limit for Entrepreneurs’ Relief has doubled to £2m for disposals made from 6th April 2010. The Inheritance Tax nil rate band has been frozen at £325,000 until 2014/15.Stamp Duty
It was announced that no Stamp Duty Land Tax will be payable by first time buyers on completion of the purchase of homes below £250,000. This takes effect immediately for 2 years until 25th March 2012. The rate of Stamp Duty Land Tax charged on purchases of properties over £1m will be increased to 5% with effect from 6th April 2011. Read full article.