In this article for Tax Journal, we comment on the Government's latest announcement in relation to carried interest and the next steps.

At the Autumn Budget 2024 the Government announced that the carried interest tax regime would be reformed so that from 6 April 2026 carried interest receipts will be exclusively taxed within the income tax and NICs regime as receipts of a deemed trade carried on by the relevant executive. Importantly, however, qualifying carried interest receipts will be subject to a multiplier of 72.5% so that additional rate taxpayers will pay an overall 34.1% effective rate of income tax and NICs. 

Read the article.