Government to gather evidence on salary sacrifice

27 November 2015

The Spending Review and Autumn Statement 2015 includes a small paragraph saying that the Government remains concerned about the growth of salary sacrifice arrangements and is considering what action, if any, is necessary.

It goes on to say that the Government will “…gather further evidence, including from employers, on salary sacrifice arrangements to inform its approach.”

We knew from the Summer Budget 2015 that salary sacrifice was on the agenda as it included a small paragraph, mentioning that salary sacrifice arrangements are becoming increasingly popular and the cost to the taxpayer is rising so the Government “will actively monitor the growth of these schemes and their effect on tax receipts.”

It is safe to assume that a consultation is most definitely in the pipeline so watch out for this next year as we will certainly require your input.

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