UK TO REFORM LIMITED LIABILITY PARTNERSHIPS

Would you like a feature examining the UK Treasury’s reported plan to reform how Limited Liability Partnerships (LLPs) are taxed – a move that could reshape the financial landscape for accountants, besides law firms and healthcare professionals? With a GBP 30 billion fiscal gap looming ahead of the November budget, Britain’s finance minister Rachel Reeves is said to be considering making LLPs – currently treated as self-employed – being made subject to employer national insurance contributions. Experts suggest that while this may help boost revenue, it could also reshape the tax landscape for nearly 200,000 professionals across the UK. We would explore how accountants can help clients prepare for this shift and how this move might affect their profession too. Will this reform level the playing field between self-employed and incorporated entities, or will it stifle growth in sectors vital to the UK’s economy? What exemptions might apply?? And how can accountants guide firms through the uncertainty?