Tax no April Fool
Soaring tax on businesses is no April Fool
Businesses across England are being hit with an extra £1.5 billion rates bill following a revaluation of commercial properties, the Conservatives have warned.A new analysis, published by the party, shows that the business rates revaluation is equivalent to a hike of 10 per cent - despite claims by the Blair government that the revaluation would be "revenue neutral".As almost two million bills are sent out to businesses across England as the new rates become payable from April 1, the analysis has identified a series of 'stealth' measures being used to hike business rates.
These include the ending of central government subsidies for the transitional relief provided to compensate firms hit by large increase in bills; smaller reductions to bills for struggling businesses whose yearly rent value has fallen; no support for property hotspots outside London; the increase in business rates for medium and larger firms; the low take-up of small business rate relief; the clawing back of cash from revaluation appeals; and the tightening of grounds for appeal. Philip Hammond, the Conservatives Shadow Local Government Minister said: "Business rates, like council tax, are being used as a stealth tax by Labour.
Since 1997, the business rate tax take has already risen by almost three times the rate of inflation. Now, the Government is fiddling the revaluation to hike revenues by £1.5 billion, despite their claim that the revaluation would be revenue neutral. Soaring taxes on businesses are no April Fool - they will undermine local firms and increase prices in shops."And warning of the rising council tax bills likely to result from the revaluation of domestic properties across the country, Mr Hammond told conservatives.com: "Labour's rigged revaluations are ticking tax time bombs, primed to explode in taxpayers' faces when the weighty new bills land on the doorstep. Businesses in England and local residents in Wales are being stung first - hard working families and pensioners in England are next."
Meanwhile, Shadow Local Government Secretary Caroline Spelman warned that Liberal Democrat plans for a local income tax would mean a return to a 1970s style level of income tax, with a typical working family ending up worse off and hit by 19 other local taxes proposed by Charles Kennedy's party. "
This isn't fairness- this means punishing families and pensioners who have saved hard for their security," she said. It is clear that if Mr Blair gains a third term, Labour will hike up council tax through fiddling revaluation and introducing new higher council tax bands. The Liberal Democrats actually joined Labour in voting for revaluation - it was only the Conservatives who warned that the Government would use it to snatch extra millions from the wallets of hard-pressed tax payers."
Businesses across England are being hit with an extra £1.5 billion rates bill following a revaluation of commercial properties, the Conservatives have warned.A new analysis, published by the party, shows that the business rates revaluation is equivalent to a hike of 10 per cent - despite claims by the Blair government that the revaluation would be "revenue neutral".As almost two million bills are sent out to businesses across England as the new rates become payable from April 1, the analysis has identified a series of 'stealth' measures being used to hike business rates.
These include the ending of central government subsidies for the transitional relief provided to compensate firms hit by large increase in bills; smaller reductions to bills for struggling businesses whose yearly rent value has fallen; no support for property hotspots outside London; the increase in business rates for medium and larger firms; the low take-up of small business rate relief; the clawing back of cash from revaluation appeals; and the tightening of grounds for appeal. Philip Hammond, the Conservatives Shadow Local Government Minister said: "Business rates, like council tax, are being used as a stealth tax by Labour.
Since 1997, the business rate tax take has already risen by almost three times the rate of inflation. Now, the Government is fiddling the revaluation to hike revenues by £1.5 billion, despite their claim that the revaluation would be revenue neutral. Soaring taxes on businesses are no April Fool - they will undermine local firms and increase prices in shops."And warning of the rising council tax bills likely to result from the revaluation of domestic properties across the country, Mr Hammond told conservatives.com: "Labour's rigged revaluations are ticking tax time bombs, primed to explode in taxpayers' faces when the weighty new bills land on the doorstep. Businesses in England and local residents in Wales are being stung first - hard working families and pensioners in England are next."
Meanwhile, Shadow Local Government Secretary Caroline Spelman warned that Liberal Democrat plans for a local income tax would mean a return to a 1970s style level of income tax, with a typical working family ending up worse off and hit by 19 other local taxes proposed by Charles Kennedy's party. "
This isn't fairness- this means punishing families and pensioners who have saved hard for their security," she said. It is clear that if Mr Blair gains a third term, Labour will hike up council tax through fiddling revaluation and introducing new higher council tax bands. The Liberal Democrats actually joined Labour in voting for revaluation - it was only the Conservatives who warned that the Government would use it to snatch extra millions from the wallets of hard-pressed tax payers."
posted by Carolyn @ 8:43 PM
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