There is one significant Budget announcement for professional firms trading as a partnership or LLP. The government is amending its proposed legislation on the allocation of taxable profits to more closely reflect commercial profit sharing arrangements.
In September, the government announced that the Finance Bill 2017/18 would include legislation specifying how a partnership or LLP's taxable profits would have to be allocated between partners. This was to be that a partner's individual share of the accounting profit of the period would determine their percentage share, which used to determine the allocation of the taxable profits of that period.
See our recent briefing: Changes to partnerships taxation coming into force.
Following a brief consultation period, the government has announced that they will be reviewing the draft legislation to align it more closely to provide sharing arrangements. This revised draft legislation will be published on 1 December 2017.