Responding to proposals by the Office of Tax Simplification to bring Capital Gains Tax rates in line with income tax, Robert Colvile, Director of the CPS, said:
“As our Head of Tax, Tom Clougherty, pointed out in a recent CPS briefing note, aligning Capital Gains Tax and Income Tax rates, as suggested by the Office of Tax Simplification, would seriously impact the UK’s overall global tax competitiveness and leave us with the highest top rate on capital gains for shares in the OECD.
“Raising CGT will discourage people from starting businesses, make it harder for start-ups to scale up, impede entrepreneurship and damage economic dynamism and national prosperity just at the time we need it most.
“Instead, the government should look at reforming the UK’s tax system to attract investment and growth, without which there can be no sustainable economic recovery.”
Date Added: Friday 13th November 2020