Tax Journal's 2026 Budget coverage

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From the editor

The Chancellor promised ‘breathing space’, while making ‘£20.9bn of tax rises look like picks and nibbles’ (Julian Feiner). Banks face a temporary doubling of the surcharge, but the largest sums come from HMRC’s tax administration and closing the tax gap package, capital allowance changes and higher taxes on savings and property income.

At least ‘there are no CGT horrors’ (Helen McGhee), although BADR is squeezed again. The new Founders’ Relief will be ‘for the few, not the many’ (David Whiscombe). 

There is welcome news on share incentives, with EMI and EMI2 potentially offering employees £370,000 of tax-advantaged options (Louise Jenkins).

One surprise was how quickly the Government has confirmed it will proceed with all seven distributions reform proposals, albeit with some welcome concessions (Emily Szasz). Another was the revivial of sovereign immunity reform (‘not simply a reheating of the 2022 proposals’, Michael Graham).

Meanwhile, the compliance burden rises, and Kate Ison reminds us that the duty to correct errors creates ‘obvious risks’. We still await a response on extending uncertain tax treatment reporting and HMRC’s updated Litigation and Settlement Strategy.

Corporate tax simplification offers some hope, although Eloise Walker fears ‘simplification leading to even greater complexity’.

Analysis

A Brownite Budget?

David Whiscombe

Bank surcharge: different banks, different consequences

Modernising corporation tax: where next?

Sovereign immunity: a more considered reform

Real estate: a sovereign surprise

Private client: a vanilla Budget with a few sharp edges

Penny Cogher (Irwin Mitchell)

VAT: breathing space, social housing and online marketplaces

Nick Hart (Saffery)

What happens to the VAT reverse charge in 2027?

Etienne Wong (Old Square Tax Chambers)

Tax compliance: little breathing space

Economics view: breathing space today, big decisions tomorrow

Duncan Weldon