Just What Does The 2012 Budget Mean For BWF Members?

The BWF asks tax expert James Abbott, of Baker Watkin, for an in-depth look at how the 2012 Budget is likely to affect your business decisions

You only need to look at newspaper headlines to decide what the papers thought the most interesting part of the Budget. Unfortunately arguing over the rights and wrongs of freezing Grandpa’s tax free personal allowance may be politically stimulating but that doesn’t help you one bit in deciding what business decisions to make going forward.

Having said that you can’t just look at business tax in isolation as there are indirect consequences of the Budget. For example, the increase in the tax free personal allowance for your lower paid employees should mean they see more in their pay packets. That may ease the implications of current wage freezes which are common place in many sectors.

Below are highlighted some of the key issues…