Phil Bates, Principal of leading Cheshire accountants Phillip Bates & Co, said: “I am surprised the Chancellor did not seek to be bolder with his last Budget before the General Election.
“Among the initiatives announced, I am not sure about the practicality of the proposed move towards digital tax returns. There will still be a lot of information regarding self-employed, limited company and property income that is not readily available and is dependent upon the current manual input. I look forward to delving into the detail of the proposed changes to ensure that our clients’ tax position is protected.”
Bates, whose offices are in Neston, also labelled the further reduction in the lifetime pension allowance saving to £1million as “pension apartheid” penalising those who have worked hard to build their pension pots. The allowance has been repeatedly cut from a figure of £1.8million four years ago.
Bates added: “The system has become increasingly inequitable. The Government needs to decide whether it is in favour of encouraging pension saving or not.”
On a more positive note, Bates declared his support for the new
help-to-buy ISA which will see the Government add £50 to every £200 first-time buyers put away towards a deposit.
Bates commented: “This is an attractive policy which will help couples trying to save for a home. Even if they don’t buy a home they will still have their ISA.”