The UK government has published draft legislation to deliver more powers, including tax powers, to the Scottish parliament.
“Further work” is required and the new Scotland Bill will not be presented to parliament until after the general election. The draft legislation is in line with the Smith Commission recommendations, but some of the tax measures – for example, those required to deal with pension tax relief and gift aid – will be dealt with in secondary legislation.
The Corporation Tax (Northern Ireland) Bill will receive its second reading next Tuesday, 27 January.
My latest article for Taxation, published today (registration required) and written before today’s announcement, summarises recent developments in relation to devolution of tax powers to Scotland, Northern Ireland and Wales, and discusses some of the implications for tax advisers and their clients.