Budget or a pre election broadcast?

The Chancellor, Alistair Darling gave his final budget before there is a general election on Wednesday 24th March. He made very few announcements as the majority of tax rates and allowances had already been released in previous Budgets and the Pre Budget Report given in December. The key announcements were:

• Annual Investment Allowance increased to £100,000 for capital expenditure by businesses
• Entrepreneurs Relief doubled to £2 million
• Relief for first time buyers from Stamp Duty Land Tax on residential transactions up to £250,000
• VAT Registration threshold increased to £70,000

Our commentary on the budget is available on The George Hay Chartered Accountants’ website at www.georgehay.co.uk which gives further information on announcements made.