A report on the reform of UK taxation was commissioned by the Institute for Fiscal Studies (IFS). The report was written by leading public finance economists, led by a Nobel Prize-winning Cambridge professor James Mirrlees. The report, published in 2012, takes a broad view of taxation taking into account the vast research which has been done in the area of public finance and taxation.. Small Business Taxation by Claire Crawford and Judith Freedman forms Chapter 11of this report. This chapter deals with aspects of individual taxation which are readily apparent to tax practitioners. For the purposes of this assessment you are required to read this chapter and answer the following questions: 1. What is the key structural question which is discussed in this chapter and why is this question important? 20 marks Proposed maximum word count 700 words. 2. What approaches have been tried or proposed to address the tax implications of the differential tax treatment. 30 marks Proposed maximum word count 800 words. 3. Assuming profits/income of £25,000 and £75,000 update Tables 11C.1 and 11C.2 using 2014-15 tax and NIC rates and discuss the implications of the historical trends for individuals who are employed or self-employed. 20 marks Proposed maximum word count 700 words. 4. In your opinion, is there a need to address the differential tax treatment referred to in this chapter. . 20 marks Proposed maximum word count 700 words.