Released 12 October 2021
The Chartered Institute of Taxation (CIOT) is calling on the Government to review the tax regime for Employee Ownership Trusts to encourage take-up and discourage their abuse.
In a representation ahead of the Autumn Budget on 27 October 2021, the CIOT is calling on the Government to consult on options for changes to the tax regime to:
•eliminate unnecessary costs in transferring to employee ownership;
•remove a potential exchequer risk where the tax breaks are used to save tax without real commitment to employee ownership; and
•to achieve the policy objectives of promoting employee engagement more effectively.
Further details can be found at https://www.tax.org.uk/tax-institute-calls-for-action-to-improve-effectiveness-of-employee-ownership-regime.