That this Council notes that Small Business, are spending more of their time delivering statutory tax obligations & compliance which can be absorbed easier by larger entities without impact to their bottom line. Small Business in West Lancashire are spending increasing time with red tape rather than productive time managing their businesses. Small businesses are experiencing more leakage in direct and indirect taxation than larger corporations and Multi Nationals, and this Council recognises the struggles and risks taken by Small Business here in West Lancashire.
That this Council believes that the tax burden placed on Small Business coupled with an increasing burden of red tape is stifling growth of fledgling business looking to grow here in West Lancashire.
That the Chief Executive writes to the Chancellor of the Exchequer to ask:
(i) Why have Small Business (Self employed/life style businesses and/or Micro Entities), been targeted with unfair tax schemes and not large corporations?
(ii) What consideration, if any, was given to making all the changes tax neutral? For example, offsetting one tax for another? For reducing red tape for businesses with less than 50 employees?
By way of example;
· Auto enrolment
· SSP paid by the employer not government from the Employer NI paid
· Increase in the Flat Rate of Vat
· Restriction on MIR
· Reduction in Fees from government for FREE childcare
(iii) How do you think it will impact Small Business here in West Lancashire?
(iv) Will the Chancellor/Treasury/Government consider redressing the balance of taxation & compliance for Small Business against that of their Multi National counterparts in its Autumn Statement?
Minutes:
The following Motion was moved and seconded:
"That this Council notes that Small Business, are spending more of their time delivering statutory tax obligations & compliance which can be absorbed easier by larger entities without impact to their bottom line. Small Business in West Lancashire are spending increasing time with red tape rather than productive time managing their businesses. Small businesses are experiencing more leakage in direct and indirect taxation than larger corporations and Multi Nationals, and this Council recognises the struggles and risks taken by Small Business here in West Lancashire.
That this Council believes that the tax burden placed on Small Business coupled with an increasing burden of red tape is stifling growth of fledgling business looking to grow here in West Lancashire.
That the Chief Executive writes to the Chancellor of the Exchequer to ask:
(i) Why have Small Business (Self employed/life style businesses and/or Micro Entities), been targeted with unfair tax schemes and not large corporations?
(ii) What consideration, if any, was given to making all the changes tax neutral? For example, offsetting one tax for another? For reducing red tape for businesses with less than 50 employees?
By way of example;
· Auto enrolment
· SSP paid by the employer not government from the Employer NI paid
· Increase in the Flat Rate of Vat
· Restriction on MIR
· Reduction in Fees from government for FREE childcare
(iii) How do you think it will impact Small Business here in West Lancashire?
(iv) Will the Chancellor/Treasury/Government consider redressing the balance of taxation & compliance for Small Business against that of their Multi National counterparts in its Autumn Statement?"
RESOLVED: A. That this Council notes that Small Business, are spending more of their time delivering statutory tax obligations & compliance which can be absorbed easier by larger entities without impact to their bottom line. Small Business in West Lancashire are spending increasing time with red tape rather than productive time managing their businesses. Small businesses are experiencing more leakage in direct and indirect taxation than larger corporations and Multi Nationals, and this Council recognises the struggles and risks taken by Small Business here in West Lancashire.
B. That this Council believes that the tax burden placed on Small Business coupled with an increasing burden of red tape is stifling growth of fledgling business looking to grow here in West Lancashire.
C. That the Chief Executive writes to the Chancellor of the Exchequer to ask:
(i) Why have Small Business (Self employed/life style businesses and/or Micro Entities), been targeted with unfair tax schemes and not large corporations?
(ii) What consideration, if any, was given to making all the changes tax neutral? For example, offsetting one tax for another? For reducing red tape for businesses with less than 50 employees?
By way of example;
· Auto enrolment
· SSP paid by the employer not government from the Employer NI paid
· Increase in the Flat Rate of Vat
· Restriction on MIR
· Reduction in Fees from government for FREE childcare
(iii) How do you think it will impact Small Business here in West Lancashire?
(iv) Will the Chancellor/Treasury/Government consider redressing the balance of taxation & compliance for Small Business against that of their Multi National counterparts in its Autumn Statement?
(Note: (i) Councillor Savage left the room whilst this item was under consideration.
(ii) Councillors Ashcroft, Barron, Mrs Baybutt, Mrs Blake, Blane, Cairns, Currie, Gordon, Kay, C Marshall, Mrs Marshall, Mee, Ms Melling, Moon, O'Toole, Pope, Mrs Stephenson, D Westley, Mrs Westley and Whittington left the meeting during consideration of this item.)