Duty on beer and cider up 1p, Wine up 5p and Cigarettes up 11p.
A further increase in the nil rate band for 2010/11 was announced to £350,000.
The annual investment limit for ISAs will increase to £7,200 from April 2008 with the annual cash ISA limit increasing to £3,600.
There will be increases in all of the categories for the NMW from October 2007 to £5.52 per hour for adults, £4.60 for 18-21 year olds and £3.40 for 16 and 17 year olds.
The increased Personal Allowance for individuals aged 65 or over will be increased by £1,180 above indexation in April 2008.
By April 2011 no pensioner aged 75 or over will pay tax until their income reaches £10,000.
From April 2008 the child element of CTC will be increased to £2,080 and the threshold for WTC will be increased to £6,420. The withdrawal rate on tax credits will be increased to 39% to ensure they are better targeted towards lower income families.
The weekly rate of child benefit for the eldest child will be increased to £20 in April 2010.
This scheme will be extended in the current pilot areas to June 2008 and the weekly credit amount increased from £40 to £60 in London to reflect the higher cost of living.
An initial 100% allowance will be available on capital expenditure incurred on or after 11 April 2007 in designated disadvantaged areas on bringing an owned or leased property that has been vacant for a year or more back into business use.
For EIS and VCT new rules will limit the number of employees that a qualifying company can have to 50 and the amount of capital a company can raise in a 12 month period to £2m. The meaning of "90% Subsidiary" will also be extended. For EIS the period in which 90% of the capital raised must be employed in the company will be extended from 6 months to 12 months
From 1 April 2007 the VAT registration threshold has been increased from £61,000 to £64,000.
The turnover threshold at which a business can apply for de-registration has been increased from £59,000 to £62,000.
For businesses who recover input VAT on fuel used for private motoring using the fuel scale charges from the start of their next accounting period starting on or after 1 May 2007 a revised set of fuel scale charges based on CO 2 emissions must be used.
The VAT rate on smoking cessation products eg nicoteine patches will be reduced from 17.5% to 5%.
For Income Tax Self-Assessment returns the changes will apply from 2007/08 onwards and for CTSA for periods ending after 31 March 2008 legislation will be introduced in Finance Bill 2007 to link the enquiry window with the date the return is received.
For all tax returns issued on or after 6 April 2008 and relating to 2007/08 onwards the filing deadline for paper returns will be the 31 October following the tax year ie 31 October 2008 for 2007/08 and for electronically submitted returns the filing deadline will remain the 31 January following the tax year ie 31 January 2009 for 2007/08. Note the date by which paper returns must be submitted for HMRC to calculate the tax the filing deadline will be moved to 31 October to align with the overall deadline for paper returns.
Those clients with complicated tax returns with many sources of income (especially if they include foreign sources of income) should be aware that it may not be possible for us to file their returns electronically due to limitations in the current filing by internet software. Therefore it will now be more critical to obtain tax return information as soon as possible after the end of the tax year to ensure that we can meet the filing deadline for your return.
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Duty on Beer, Wine and Cigarettes