Lobby groups have welcomed proposals by the conservatives that would ease the tax burden for millions of small businesses across the UK.
The proposals, set out by the Shadow of the Exchequer George Osborne, committed a future Conservative government to simplifying the tax system.
This would include the setting up of an Office of Tax Simplification, an initiative the British Chambers of Commerce (BCC) argued is needed “to free businesses from an overly complex system”.
The measures will also mean giving advance warning and increased scrutiny of any proposed legal changes.
“Small businesses in particular are not only paying an increasing amount of tax, they are also being expected to administer the system on behalf of government. This is burdensome and unfair,” said Brian Sloan, policy advisor at the BCC.
In his speech, Osborne criticised the current government’s handling of tax issues as “short term” and “partisan”. “They have served to undermine the UK’s reputation as [a] stable environment in which to work, save and invest,” he continued.
“At a time of deep economic difficulty, the last thing the Treasury should be doing is creating yet more uncertainty and instability,” he added.
The Forum of Private Businesses (FPB) agreed the measures were “a step in the right direction” but said the onus was ensuring “these proposals are backed by real action”.
© Crimson Business Ltd.
