The Budget will be debated on 15 December.
Income Tax…
– Standard exemption for marginal-rate payers goes up by 0.9% in line with inflation.
– Mortgage interest tax relief to be phased out over 12 years.
– Added exemption for pensioners to be phased out.
– Increase tax relief for child care from £12,000 to £14,000.
– For top earners at 20% rate allowances for children to be phased out.
– Reduction in relief for non-residents.
Duty increases…
– A bottle of spirits goes up 6.6% to a total of £13.83.
– A bottle of wine goes up 1.3% to a total of £1.47.
– A pint of beer goes up 0.9% to a total of 35 pence.
– A pint of strong beer goes up 4.9% to a total of 61 pence.
– 20 cigarettes goes up 6.7% to a total of £5.32.
– A litre of petrol goes up 2.1% to a total of 46 pence.
Vehicle Emissions Duty…
– Increase income from VED by hitting polluting vehicles.
– Discount for older vehicles cut.
– The 85% discount for hire car firms to be cut.
– VED to be worked out by emissions for commercial vehicles.
Plans for 2016…
– Options paper for independent taxation.
– Change Income Tax system for same-sex marriage.
– Continue work on Property Tax.
– Review 1(1)k tax system.
– Review Benefits in Kind.