Partnership Taxation Changes from May 2013
Towards the end of May 2013, the government published its consultation paper on the taxation of partnerships. This new consultation, which came alongside the new 2013 budget, set out two specific areas to be reformed.
First of all, the government is intending to look at how under statutory footing, some members of a salaried partnership can be deemed to be employees for the purpose of tax. This means that members can be subject to the NICs. The LLP is also obliged in this instance to account for the PAYE.
The government is not only planning on tackling this problem, but is also aiming to close down any arrangements that seek to enter any kind of agreement like this.
The effects of clamping down on these issues and moving forward with the proposals will need to be assessed fully, in light of a number of changes that face the industry, including the CRD IV and AIFMD.
Stonehouse Accountants operate in the Peterborough, Kettering, Corby and Market Harborough area, call us now if you’re looking to change accountant or need a new one. 01733 26588.