12 March 2008
Budget Notes contain technical information additional to the press notices issued by HMTreasury with the Budget. They are not the same as press notices, which are primarilyused as brief explanations of new policy for the media, but rather contain additional, moredetailed information on the changes to tax law announced in the Budget. As such they aredesigned to assist businesses that may be immediately affected by the changes, and toprovide more technical information to those with a specialist interest such as taxconsultants and advisers, City financial institutions and local HM Revenue and Customsoffices. This information is also published on the Treasury and HM Revenue and Customsinternet sites.
CONTENTS:BN Budget Note Page
1 Modernising the Personal Tax System 52 Corporation Tax Main Rates 73 Corporation Tax Small Companies’ Rates 94 Simplification of Associated Companies Rules 115 Amendments to the Research & Development andVaccine Research Relief Schemes136 Capital Allowances: Industrial Buildings Allowances,Enterprise Zone Allowances and Agricultural BuildingsAllowances157 Capital Allowances: Plant and Machinery Allowances:Integral Features and Thermal Insulation198 Capital Allowances: Plant and Machinery: Rate Changesand New Special Rate Pool219 North Sea Fiscal Regime 2510 100 Per Cent First-Year Capital Allowances for NaturalGas, Biogas and Hydrogen Refuelling Equipment2911 100 Per Cent First-Year Allowances for Expenditure onCars with Low Carbon Dioxide Emissions3112 Capital Allowances: Plant and Machinery: AnnualInvestment Allowance3313 Enhanced Capital Allowances for Energy Efficient andWater Saving (Environmentally-Beneficial) Technologies3714 Capital Allowances: Introduction of First-Year Tax Credits 3915 Capital Allowances: Small Plant and Machinery Pools 4116 Venture Capital Schemes 4317 Community Investment Tax Relief and Banking 4518 Enterprise Management Incentives 4719 Trading Stock 4920 Leased Plant or Machinery: Anti-Avoidance 5121 Financial Products Avoidance: Disguised Interest andTransferring Rights to Lease Rentals5522 Controlled Foreign Companies: Anti-Avoidance 59