Tax revenues rise as small and medium-size businesses profit from stronger economy

HMRC’s tax receipts rose to £567bn for the year to March 2017. This is an increase of £33bn compared with the previous year said Blick Rothenberg.

These statistics published by HMRC indicate the rise is equivalent to 6.2% with self-assessment income tax National Insurance and corporation tax showing annual rises of 18% 8% and 12% respectively.

Frank Nash partner at Blick Rothenberg said: ‘This points to a strengthening economy and higher profits in the small and medium-size business sector. It is estimated that approximately 10% of the rise in tax revenues was through smaller companies paying increased dividends in the first quarter of 2016.

‘The challenge will be to retain this level of receipts over the next two years if economic growth slows during the Brexit negotiations.

‘New tax-raising measures coming into force that will affect larger corporate businesses buy-to-let landlords and the consumer...