Latest News - October 2008
Extra Take Home Pay
For many employed individuals who are checking their payslip this month it should include a welcome bonus of a £60 reduction in their income tax deduction. The reason for this is the increase in the personal allowance which finally took effect for paydays from 7 September. Don’t expect the bonus each month as the effect for October onwards will be a reduction in tax of £10 a month!
CBI Forecast
A CBI forecast has predicted a ‘shallow recession’ during the final part of 2008 and that growth in the economy in 2009 will be the lowest since 1992.
Temporary Exemption on Stamp Duty Land Tax
In a move to help the property market and first time buyers, Alistair Darling has introduced a Stamp Duty Land Tax (SDLT) exemption or holiday for purchases of residential property from 3 September 2008 to 2 September 2009 (inclusive). The exemption effectively raises the current nil rate band of £125,000 (£150,000 in disadvantaged areas) to £175,000 for the period of one year only.
Fake HMRC Emails
HMRC are warning taxpayers that they are aware of a high number of emails being sent out offering a tax rebate. The warning confirms that HMRC do not email taxpayers advising them of tax rebates or invite them to complete an online form to receive a rebate.
Change to Benefits System
From 27 October 2008, in a change to the benefits system, Employment and Support Allowance (ESA) will replace the current state benefits (Incapacity Benefit and Income Support) which are paid to individuals on incapacity grounds. The new ESA will initially only be payable to new claimants.
NMW Rates to Rise
National Minimum Wage (NMW) rates are set to rise from 1 October 2008.
HSE Don’t Ban This, That and the Other
The Health and Safety Executive (HSE) are keen to dispel the myth that they are responsible for banning ‘this, that and the other’.
Proposed Strict New Jobs List
The UK Border Agency is proposing to introduce a new list of shortage jobs in order to better target migration at the needs of British businesses. The proposed list would reinforce the selective approach of the new points based system.
