Draft legislation published for some Spring Budget measures

Finance (No. 2) Bill 2024 has been introduced into Parliament. The Bill sets the rates of income tax for 2024/25 and the rates of corporation tax for financial year 2025 (no changes have been made).  

Additionally, the Bill provides for a number of measures announced at the Spring Budget 2024, including legislation which: 

• increases the thresholds for the high income child benefit charge (HICBC) for 2024/25 and subsequent tax years. The lower threshold is increased from £50,000 to £60,000 and the higher threshold from £60,000 to £80,000;
• reduces the higher rate of capital gains tax for residential property gains from 28% to 24% with effect for disposals made on or after 6 April 2024;
• abolishes multiple dwellings relief for stamp duty land tax (SDLT). This measure applies to land transactions where the effective date falls on or after 1 June 2024, subject to transitional arrangements;
• introduces a new tax relief for a low budget British film where principal photography begins on or after 1 April 2024; and
• ensures that individuals cannot bypass the transfer of assets abroad anti-avoidance legislation by using a closely-held company to transfer assets offshore. This measure applies to income arising on or after 6 April 2024. 

It is not yet clear when legislation will be published for other key changes announced at the Spring Budget 2024. The Budget 2024 overview of tax legislation and rates (OOTLAR) simply indicates that the abolition of the furnished holiday lettings regime and the introduction of a foreign income and gains regime to replace the non-dom rules will be legislated in future Finance Bills.   

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