Indirect Taxes
A temporary cut in VAT from 17.5% to 15% for a 13 month period from week commencing 1st December 2008
A rise in National Insurance contributions of 0.5% coming in to force in 2011 FOR ALL EARNING MORE THAN £40,000
Direct taxes
Income tax
A new top rate of income tax at 45% on income above £150,000 per year coming into force 2010 and on Discretionary Trusts with income of more than £150,000.
Perhaps of more significance is the phased removal of personal allowances for those earning upwards to £100,000.
Read more about PRE BUDGET REPORT 2008 – TAXATION OVERVIEW