New UK tax laws could put 45,000 freelancers out of business
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New UK tax laws could put 45,000 freelancers out of business

New UK tax laws could put 45,000 freelancers out of business

Why restrictions on tax relief for travel may have disastrous repercussions for designers. Up to 45,000 freelancers in the UK could be driven out of business by restrictions on tax relief for work travel. That’s according to new research conducted by IPSE , the Association of Independent Professionals and the Self-Employed. IPSE’s findings show that tens of thousands of freelancers who operate their businesses through limited companies may be forced to stop taking on contracts if the Government pushes ahead with proposed limitations to tax relief. Illustrated assets by freelancer Ben Tallon for the launch of not-for-profit, crowd-funded eating, drinking and co-working space Honest Coffee Under the proposed limitations, freelancers using limited companies would no longer be able to offset costs incurred when travelling to and from clients’ premises, or costs of temporary accommodation and food where the premises are a long way from their own base. Dangerous repercussions The research paints a worrying future for the creative landscape. According to the IPSE, if tax relief on travel is restricted: Almost one in five (17 per cent) freelancers using limited companies would have to stop taking contracts altogether Three quarters (76 per cent) fear they won’t be able to […]

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