The Brexit Party has not issued a manifesto but has instead published a ‘Contract with the People’ that sets out its main policies. The Contract includes a ‘targeted set of deliverable pledges’ centred around the Party’s key policy: withdrawing from the EU. There is a lesser focus on tax than in the manifestos of other major political parties. The most significant proposals include the abolition of inheritance tax, the introduction of a tax-free profit threshold for businesses and the implementation of an online sales tax.
Key tax proposals include introducing a tax-free threshold for companies and providing tax incentives to encourage apprenticeships. An online sales tax is mentioned in the Contract, but no detail is provided. The Contract also promises to reduce VAT on fuel, which would be made possible by the Party’s principal promise to withdraw from the EU.
- Reduce corporation tax to 0% on the first £10,000 of pre-tax profits.
- Introduce an online sales tax, which would fund the replacement of business rates with a simpler system aimed at supporting small high street retailers and leisure operators outside the M25.
- Zero-rate VAT on domestic fuel.
- Reduce import tariffs on certain foods footwear and clothing.
- Reduce import tariffs to nil on certain foods, footwear and clothing items.
- Abolish the apprenticeship levy and improve tax incentives for employers to hire apprentices.
- Abolish inheritance tax.
By necessity, this briefing can only provide a short overview and it is essential to seek professional advice before applying the contents of this article. This briefing does not constitute advice nor a recommendation relating to the acquisition or disposal of investments. No responsibility can be taken for any loss arising from action taken or refrained from on the basis of this publication. Details correct at time of writing.
This article was previously published on www.smithandwilliamson.com prior to the launch of Evelyn Partners.