The Institute of Chartered Accountants in England and Wales (ICAEW) is calling upon chancellor of the exchequer George Osborne to simplify the tax code in his forthcoming summer Budget.
With the Conservative Budget just three weeks away, the ICAEW said today that the government’s previously-announced plans to cut red tape and reduce costs to British businesses by £10bn will fail “unless they take steps to tackle the complexity and length of the tax code.”
In a letter to Osborne, ICAEW chief executive Michael Izza said: “With a slim majority, the government will have to work hard to make significant inroads to reduce the regulatory burden and this target will be missed if tax complexity is ignored.”
The ICAEW is also suggesting that the government simplifies the pension auto-enrolment process for small businesses with fewer than 25 employees, saying the current cost is “totally disproportionate” for SMEs.
The group has also recommended that the Treasury look into exempting apprentices from National Insurance Contributions.