Forum of Private Business calls for tax breaks for small business exporters
Proposals to encourage export activity coincides with start of National Export Week
The Forum of Private Business (FPB) has today announced proposals calling on chancellor George Osborne to introduce tax breaks to encourage small business exporters.
Released to coincide with the start of National Export week today, the proposals urge Osborne to consider introducing a scheme that would offer tax relief for exports activity by reducing an eligible entrepreneur’s tax bill or by providing export tax credits in the form of a cash sum.
Outlined as a scheme that would operate in a similar fashion to the existing research and development relief for corporation tax, the business support group said that the larger the entrepreneur’s proportion of overseas trade sales, the higher their tax credits would be.
By providing an incentive for small firms, the FPB claimed that the scheme “would go some way” to helping government achieve its target of doubling UK exports to £1tn by 2020.
FPB chief executive, Phil Orford MBE, discussed the proposals:
“Meeting the government target of £1tn by 2020 will be no mean feat. What has become all too clear is that we will not achieve this by shipping out ever more Jaguars and JCBs!
“The answer lies in encouraging our wealth of small business talent to look to foreign shores. However most small firms we talk to still see their growth coming from the UK, and there’s still a limited appetite and few incentives to move into exports.
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“The research and development relief has proved both popular and effective, and a similar relief for export activity could be the carrot to encourage small business owners to consider overseas trade.”