Responding to Treasury Select Committee Chair Nicky Morgan MP’s letter to the Valuation Office Agency (VOA) regarding the staircase tax, Mike Cherry, Federation of Small Businesses (FSB) National Chairman, said:
“This significant escalation of cross-party scrutiny of the staircase tax will be hugely welcomed by the thousands of firms set to be stung by this ridiculous levy. The Treasury Committee Chair’s letter to Melissa Tatton rightly describes the ‘unfairness’ of the staircase tax and the ‘particularly harsh’ decision to backdate bills.”
“No small business should receive a sudden tax hike of five thousand per cent simply because a workspace has been separated, for years, by a communal area, stairway or lift. Some small business owners are discussing whether to knock holes in their walls or stick a staircase on the outside of their premises.
“This is no way to run a tax system in the 20th century, let alone the 21st. Ministers have the power to provide relief, and they should do this urgently – to correct this defect in the UK tax system.”