Shipping to Benefit from UK 2016 Budget?


Accountancy and shipping adviser Moore Stephens has issued a statement which articulates that the UK Budget 2016, which involves the abolition of a petroleum revenue tax, is conducive to growth in the sector.

In order to support the oil and gas sector, the abolition of petroleum revenue tax has been introduced by reducing the rate from 35% to 0% as well as reducing the supplementary charge from 20% to 10%, which will come into effect from January 1, 2016. 

The government intend to work with the UK Oil and Gas Authority to reduce overall decommissioning costs.

The government will also consider proposals for using the UK Guarantees Scheme for infrastructure to help secure new investment in assets may maximise economic recovery of oil and gas.

Other items in the Budget which may be of interest to the maritime sector includes a discussion document which will be issued in spring 2016 with options for changes to the tax treatment of leases of plant and machinery in response to the new accounting standard: IFRS16. 

Gill Smith, Tax Partner at Moore Stephens, said: “Significant changes to the treatment of long-term resident non-doms, to take effect from 6 April 2017, were originally announced in the 2015 Budget.

“For such a significant change to the taxation of this group of taxpayers, the lack of detail since the original announcement has been concerning.”

Daily Email Newsletter

Sign up to our daily email newsletter to receive the latest news from Port Technology International.

Supplier Directory

Find out how to get listed

Webinar Series

Find out how to attend

Latest Stories

Cookie Policy. This website uses cookies to ensure you get the best experience on our website.