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Summer Newsletter - BUDGET UPDATE

The following changes affecting you announced in the recent budget took effect from 6 April 2007:

Inheritance tax:
Nil rate band threshold: £300,000.00

Capital Gains Tax:
Annual exemption for individuals: £9,200.00
Annual exemption for trustees of a settlement: £4,600.00

Income tax:
Cut from 22% to 20%

Corporation tax:
Cut from 30% to 28% but rising from 20% to 22% for small businesses from 2008/09

Miscellaneous:
Increase in research and development tax credit
New Annual Investment Allowance of £50,000
Inheritance threshold rising to £350,000 in 2010

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