No Budget tax levied on British legal LLPs
The Law Society of England and Wales has said it is pleased that its Budget concerns have been listened to, and that there will not be a “damaging” tax on limited liability partnerships (LLP).
“The Law Society has been lobbying the government on behalf of our members to ensure that firms using LLPs will not face a new tax in the Budget,” said Law Society president Mark Evans (26 November).
“Leaders from across the professional services sector came together this month to write to the Chancellor to warn against such a measure and how damaging it would be for the economy.
“Leaders from across the professional-services sector came together this month to write to the Chancellor to warn against such a measure and how damaging it would be for the economy.
“The legal sector is already contending with major regulatory changes in anti-money-laundering and compliance. Any additional burdens would have created a perfect storm on firms’ ability to invest, hire, and contribute to growth, which could prove damaging to the wider economy.”
Global powerhouse
The legal sector is a global powerhouse that connects every part of the economy from the high street, regions and to the City. It is worth almost £60 billion, employing more than half a million people and exporting more than £9.8 billion in services, the statement added.
On funding the justice system, Mark Evans concluded: “Decades of neglect in the court system have resulted in huge court backlogs and chronic staff shortages. It is vital that investment is provided to tackle these issues and the government needs to go further and faster so that we have a functioning justice system.”