Coalition government: compromise over National Insurance and capital gains tax
Parties agree over respective manifestos for business.
As a compromise between the Liberal Democrats and Conservatives, employees' are set to pay 1% more in National Insurance from April next year raising £3bn for the Treasury, but employers' will be exempt. The compromise over the so called jobs' tax is expected to have been made in order to help the Lib Dems achieve their tax goal of exempting income tax for those earning less than £10,000. This will be hard to achieve as it is estimated to cost £17bn.
In other agreements, there will be a rise in
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