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Small Businesses Would Pay To Simplify Tax FPB Says

2011-01-19 08:53:24

Published on 2011-01-19 08:53:24

Over half of business owners, that may use ink cartridges in the workplace, are so frustrated by the UK's intricate tax laws they would willingly pay for them to be simplified.

Some 57 per cent of owners surveyed by the Forum of Private Business (FPB) said they would happily pay more tax in exchange for a clearer system, as long as it led to greater rewards.

Half would pay more under a simplified system if that system had rules that cut down on their competitors' tax avoidance – often carried out by large firms which have the resources to exploit geographic loopholes.

Some 45 per cent would even tolerate a higher tax bill as part of a simplified system if there was a reduction in red tape.

The government created the Office for Tax Simplification last summer; it is working on proposals to simplify tax ahead of the Budget in March.

"The cost of complying with Britain's hugely complex tax system is such that, if simplification and profitability result, most businesses believe a little more tax would be a price worth paying," said FPB chief executive Phil Orford.

"Clearly, if the government is serious about stimulating small business growth, streamlining tax administration must be a priority.

Posted by Johnny McMaster.

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