Budget report 2010 commentary

So, the chancellor has given his final Budget report before the next General Election.

In summary the key highlights are:

Pensions

The Chancellor confirmed that, from 6 April 2011, individuals with gross incomes of £150,000 or more will have their tax relief restricted.
From April 2011, those aged over 75 will pay no tax on anything under £10,000 and the Chancellor said that no pensioner would live on less than £132.60 a week.

Tax and Investment

As previously announced, the annual ISA limit will be raised from £7,200 to £10,200 next month. The annual ISA limit will increase in line with inflation from 2011.
The Inheritance tax threshold, which was frozen at £325,000 in the December 2009 Pre budget report until 2011, is now frozen for a further four years.

Should you have any queries please call Duncan direct on 0131 247 6745.

Duncan R Glassey
Senior Partner – Wealthflow LLP

duncan.glassey@wealthflow.com

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