Draft Finance Bill 2016 - Corporation Tax, Income Tax and Capital Gains Tax: Company Distributions

The latest changes to the treatment of capital and income is our Government's latest and, from their perspective obvious attempt to cut the burgeoning one man consultancy businesses down to size.

And on the face of it, it makes perfect sense. If you look like an employee, effectively take the same risks as an employee (ie none) then why should you benefit from a tax rate of 10% as opposed to 40%.

This is an over-simplification, but I remain concerned about a number of things:

  • There is now an entire industry focused on this community, which by definition is cash rich and used to taking professional advice. They are dynamic and fast moving. The archetypal child of Margaret Thatcher. So just how long will it be before products come to market which get us back to where we were. I suspect not long.
  • The corollary of this is the small business to which the 10% rate was designed. They are generally under capitalised family orientated businesses. They are not naturally advice takers and are so often where the buck stops. And for this change happens slowly and deliberately.
Back to all news
Get in touch
Thank you for your getting in touch with us, a member of our team will be in touch shortly.
Something went wrong while submitting the form, please get in touch with us using the phone number above to deal with your enquiry.
Operating nationwide throughout the UK

At Frost Group, we want to make things as easy as possible for you. That is why, if you can’t come to us, we’ll come to you. We operate face to face, nationwide meetings, wherever is most convenient for you.


Clockwise, Old Town Hall
30 Tweedy Road
Bromley BR1 3FE


Court House,
Old Police Station South Street,
Ashby de la Zouch LE65 1BR


86-90 Paul Street

Proud members of

Authorised by

Frost Group Limited is authorised by the Financial Conduct Authority. Authorisation number 669247.