TEN thoughts on how the Summer Budget may affect startups – Glen Christie

Last night I pored through analysis and government documentation to summarise ten thoughts on how George Osborne’s first budget in the new parliament may affect the startup scene.  Let me know what you think:

1. The increase in the employment allowance to £3k is good news!
2. Lowering the corporate tax rate to 19% and then 18% is welcome and sends a clear message: base your HoldCo in the UK!
3. No more tax relief for acquired goodwill – will this affect valuations of startups seeking a trade exit?
4. The increased living wage will be a challenge but doesn’t affect employees aged under 25!
5. Property tax reforms good for AirBnB hosts but less so for crowdfunded property buy to let platforms
6. SEIS/EIS joint rounds will finally be allowed without the need for structuring (once Finance Bill has Royal Assent)!
7. P2P bad debt relief will be allowed so you can offset losses against other P2P income!
8. P2P loans allowed within ISAs from 6 April 2016 and may extend to equity!
9. Government to consult on tax treatment of redundancy payments…
10. Government also to consult on tax treatment of travel and subsistence expenses…