SME Business News

The Professional Contractors Group (PCG) has urged Chancellor Alistair Darling, to pay as much attention to small business owners over his  proposed outlawing of “income shifting”, as he has done to those that forced a u turn on his Non Dom policy towards wealthy foreign workers.

The call came after pressure from the City forced Darling to water down his crackdown on wealthy foreigners living in the UK.

The Governments proposals over income shifting changes, mean that partners in small businesses will have to account for every contribution they make to the company, placing a heavy burden of red tape on SMEs.

PCG Managing Director John Brazier said:

“Hard working ordinary people will be forced to jump through yet more hoops and the burden on small businesses simply to justify their very existence to the tax man will be huge.”

The PCG believes that there is a glimmer of hope for the UK’s small business owners saying  “he’s prepared to listen to critics of the non-dom tax so we must assume that Mr Darling will give the same credence to critics of the family business tax.” And adding:

“It would be a terrible irony if Mr Darling was only willing to listen to the very wealthy at the expense of hard working UK families.”