Thompsons the Accountants based on the Isle of Man and headed by Liam Thompson, who is a fellow of the Institute of Chartered Accountants of Ireland has provided us with a quick summary and commentary on the budget:-
* Standard rate stays at 10 per cent and higher rate increased from 18
to 20 per cent, ouch!
* Income tax personal allowance increased by 1% to £9,300 for single
people and £18,600 for married couples.
* 10% rate band for resident individuals remains at £10,500 for single
person and £21,000 for married couple jointly assessed.
* Personal allowance credit increased to £650 for all eligible people
with income less than £9,200.
* Additional personal allowance increased to £2,020 for over 65s,
taking their allowance to £11,320 for single people and £22,640 for married
couples.
* Non-resident personal allowance credit withdrawn with effect from 6
April 2010.
* Mortgage and loan interest relief to be restricted to £10,000
previously £15,000. Relief is doubled for jointly assessed married couples.
* 1% increase in National Insurance contributions from April 2010.
* Legislative changes i.e. penalties to improve employer compliance.
* Corporate tax stays at 0%, zero ten strategy survives to fight
another day!
* Tax amnesty for three months during 2010/2011, watch this space.
* Tax cap on total income payable per person increased from £100,000
to £115,000, ‘Robin Bell’ stealing from the rich to give to the poor!
For full details:-
http://www.gov.im/lib/news/treasury/budgettakesfirst.xml
