Diverted Profits Tax
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New Laws in 2017.
2017 sees the introduction of new laws that will affect us all, if you drive a car, have children and smoke you need to pay attention!
Some employees will see their earnings increase, changes to free childcare and, for younger people, an increase in apprentices. If you own a car you will see an increase in car tax and if you are a smoker, changes in the sale of cigarettes.
New laws on smoking.
With the governments drive to cut the number of smokers new Laws will take effect this year. In May 2016 retailers were given 12 months to stop selling packets of 10 cigarettes and all packaging will be the same, rolling tobacco will also not be sold in pouches smaller than 30g.
Changes to childcare.
From September of this year free childcare for working parents will double, at the moment the government pay working parents a contribution to childcare that should be equal to 15 hours per week; this will increase to 30 Hours per week, but will be means tested.
You will have to work more than 16 hours per week and your income must be lower than £100,000.
Those working less than the 16 hours a week will still be eligible for child care subsidy and should speak to the benefits agency to ensure they receive them.
Child Tax Credits.
In the new financial year parents, will not receive benefits for more than two children, if you are already claiming child tax credits you will not be effected, its only for parents who have a third child after the 6th of April 2017.
Good News for Apprenticeships.
Big businesses will be taxed to fund three million apprenticeships from April. If you are the owner of a business with a salary bill of more than £3 million you will be liable for the tax.
It is estimated that £3 billion will be raised from the tax and will be given to business to provide apprenticeships and training for the over 16s.
Car Tax.
Great news if you have an electric car - no more tax! Not so good if you own any other car, especially a small one, as your car tax may be increasing by as much as £100, that is if your car is new, older cars (registered before April 2017) will see no changes.
These are just a few of the law changes coming into place in 2017 following announcements made by the government in the last 2 years budgets.
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