The Spring Statement on 13 March 2018 did not give any significant points for interim managers. However, amongst the various normal quips of how wonderful the government is doing, there were 3 points of interest.
There may be a glimmer of hope that the extension to the private sector in April 2019 might be deferred, as no mention was made of it, but don’t hold your breath ! Government is running out of time if it is to legislate change in April 2019. Realistically, a consultation needs to be launched within a matter of weeks to guarantee enough time for full consideration.
There is to be a consultation on lowering the VAT Threshold which is currently at £85,000. It is set to stay at this level until Aril 2020 as part of the introduction of Making Tax Digital. However, it is currently much higher than the other EU and OECD countries.
Taxation of Self-Funded Work-related Training
This is currently allowable of the employer (ie the personal service company of the interim) incurs the cost of reimburses the interim. So there is no change here. However, if an employee pays for their own training, there is no tax relief. If a self-employed individual claims then this is allowable if it is ongoing for an existing skill but not for the introduction of a new skill. The government announced a consultation to review this.
David Pugh, IIM