In his draft Budget, Derek Mackay, the Finance Secretary for Scotland, outlined his plans for Scottish taxation and spending.
Mr Mackay stated that he will 'not pass on' a tax break for higher earners, which was announced by Chancellor Philip Hammond in the UK government's Autumn Budget.
The Finance Secretary used the Budget to confirm that the Scottish higher rate income tax threshold will be frozen in 2019-20. Meanwhile, the starter and basic rate thresholds will increase by inflation, in order to 'protect the lowest and middle-earning' Scottish taxpayers.
Mr Mackay also made changes to Scotland's Land and Buildings Transaction Tax (LBTT) system by announcing an increase in the Additional Dwelling Supplement (ADS) rate from 3% to 4%.
Commenting on the Scottish Budget announcements made by Mr Mackay, Tracy Black, Director of the Confederation of British Industry in Scotland (CBI Scotland), said: 'Against a backdrop of Brexit uncertainty, and the fact that no deal remains a live concern, the Scottish government faces tough choices ahead.
'We welcome the fact that the Finance Secretary has listened to CBI Scotland and other stakeholders on business rates, scrapping the unhelpful out-of-town levy, capping the poundage rate and confirming the switch from RPI to CPI for the duration of this Parliament.'
The Scottish Budget announcements can be read in full here.