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Green and Co Accountants Budget Comment 2008
"Non-event", "Disappointing" and "An attempt to prove green credentials" – but do the Budget announcements affect Farmers and Landowners?

"Whilst the Budget may have contained little to affect landowners and farmers, it is important to note the few changes that will take place", said Nick Park, partner at Green & Co Accountants, specialist advisers to the farming community in West and Southern Wales.

The most important changes had already been announced in earlier budgets. These included the new Capital Gains Tax Regime and the £50,000 Annual Investment Allowance due to come into force on 6 April 2008. Agricultural and Industrial Buildings Allowances are being phased out over the next three years to 2010/11.

Rewritten VAT legislation will come into force from 1st June 2008 for the simplification of the option to tax land and buildings.  These changes could be very significant for property owners with planning permission for residential and commercial developments. Other minor changes will be introduced so that tax payers are able to revoke an option to tax after twenty years and also make a number of associated changes to improve practical administration of the option to tax.  The earliest that an option to tax will be revocable will be 1st August 2009.

Mr Park commented "The tax regime is changing significantly on 6 April 2008, if you feel that the changes are going to affect you it is important for you to contact your accountant or tax adviser who will be able to recommend and explore any avenues that may be available to mitigate tax."

For more information please contact Nick Park, Green and Co, 01633 871122, e-mail nick@greenandco.com.

Green and Co are a three partner practice based in Pontnewydd, providing specialised services to the agricultural and landowning sectors.  Their comprehensive general business services range from a new business advisory service, acquisitions and disposals, to tax planning, audit and accounting – go to www.greenandco.com