Draft legislation for Finance Bill 2013 published

The Government has published draft legislation to be included in the 2013 Finance Bill, which will implement certain policies announced in the 2012 Budget and Autumn Statement.

Finance Bill 2013 will introduce measures to achieve the key government aims of supporting growth and making savings in a fair way, including:

  • a reduction in the main rate of corporation tax to 21 per cent in 2014
  • an increase in the annual investment allowance for plant and machinery to £250,000 for two years from 1 January 2013
  • tax reliefs for the video games, high-end TV and animation industries
  • an above-the-line tax credit for research and development
  • an increase in the Personal Allowance to £9,440 from April 2013.

The draft legislation also includes the General Anti-Abuse Rule (GAAR) and action to counter avoidance of Stamp Duty Land Tax (SDLT) - measures designed to tackle tax avoidance.

Exchequer secretary to the Treasury, David Gauke, said:

"The measures for which we are publishing draft legislation today are part of the Government's wide reaching reforms to deliver a progressive tax system that is simpler, affordable, fair and encourages growth. They demonstrate our commitment to listening to the views of those affected by changes to the tax system and this simple and transparent approach provides greater stability and certainty to taxpayers and businesses."

The technical consultation period for the draft legislation will run until 6 February 2013.