Comment from ACCA on income tax rate changes
Chas Roy-Chowdhury, head of taxation at ACCA (the Association of Chartered Certified Accountants), offers the following comments in response to the Chancellor's statement today about income tax changes:
"The Chancellor's increase in the individual tax allowance by £600 is to be welcomed. Tax payers have been demanding certainty and clarity about this issue, and this is a step in the right direction.
"But the downside to this income tax change is that business’ systems and processes will have to be updated half way through the tax year in September. SMEs represent over 99% of UK businesses and they will have to change their PAYE codes and tax systems. This is the administrative knock-on effect which happens when policy decisions are altered because they were not clearly thought through in the first instance."
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Notes to Editors
1. ACCA is the largest and fastest-growing global professional accountancy body and has 325,606 students and 122,426 members in 170 countries.
2. ACCA experts are available for media comment on all aspects of UK and international accounting, auditing, tax, small business, environmental reporting, corporate governance, business law and public sector finance.
For further information please contact:
Chas Roy-Chowdhury, ACCA Head of Taxation phone: +44 (0)20 7059 5976 / + 44(0)7710 707 516 e mail: chas.roy-chowdury@accaglobal.com