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The CBI has called on the Treasury to delay changes to capital gains tax legislation, with the organisation's head demanding an end to 'Budget theatricals'.
The move follows the CBI's plea for a 12-month deferral to planned reforms to residence and domicile legislation.
In an 'alternative Budget speech' suggested for 12 March, the CBI said that now was not 'a time to be making… complex changes to the tax system or to constrain consumer demand'.
The industry body urged the Chancellor to postpone his plans for CGT for a year.
Director general Richard Lambert insisted that Alistair Darling should 'set aside the normal Budget theatricals in favour of a slimmed down, practical statement'.
Mr Lambert added: 'The only worthwhile tax changes Mr Darling could make would be to postpone for a year ill-considered and rushed changes to capital gains and non-doms tax, to give the many affected individuals a decent period to plan.
'Beyond that slight relaxation of the fiscal position he has virtually no room for manoeuvre, either to raise taxes to repair the gaping hole in the public finances, or to cut them to stimulate the economy as it faces a sharp slowdown.'
The CBI's position on planned CGT changes has been backed by ifs ProShare, the not-for-profit body that represents the employee share ownership industry.
ifs ProShare boss Fiona Downes said: 'The Chancellor's recent concessions did nothing to mitigate the effects on those participating in all-employee share plans.
'This, coupled with the uncertainty and repeated delays in confirming a decision, mean many employee shareholders will now have to make very quick decisions about whether or not to sell or hold some of their shares.'
She continued: 'ifs ProShare agrees with the CBI that more time is needed to enable employers and employees to plan how they will deal with CGT changes — a delay would certainly be in many employee shareholders best interests.'
