The stated intention of the proposals is to prevent wealthy individuals using reliefs year after year and to reduce their income tax bills to zero. But they would not be the only ones affected by these measures.
Friday 13 is perhaps not the most auspicious day to issue a consultation document but Friday 13 July was the day chosen to publish Delivering a cap on income tax relief: a technical consultation.
The proposal to cap some reliefs at the greater of £50 000 or 25% of an individual’s income was heralded in the Chancellor’s 2012 Budget speech (picking up on a theme from the March 2011 paper Tackling tax avoidance). While the charity sector executed some swift and effective...
