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All news by: Mike Wakeford

Super Deductions on new plant and machinery assets from 1 April 2021

Starting 1 April 2021 and ending 31 March 2023, most companies that invest in qualifying new plant and machinery assets will be able to claim new super-deductions and allowances.

Are you aware of the tax implications when taking on a second job?

Have you thought about taking on an extra job during the COVID – 19 pandemic? Perhaps you have been put on furlough and have spent time thinking of innovative ways to start a side business, to pass some time and inevitably save up some money, for when life returns to normal. 

Will you be affected by the National Living wage and National Minimum wage rises in April 2021?

Following recommendations made by the Low pay commission (LPC) at the end of October 2020 the government has confirmed that the National minimum wage (NMW) and National Living Wage (NLW) will both be increasing from the 1 April 2021. 

HMRC ARE CONTINUING TO STRESS NO EXTENSION TO SELF ASSESSMENT DEADLINE (BUT ARE THEY SECRETLY YIELDING TO PRESSURE?)

HMRC have issued a letter addressed to the main accountancy bodies on the extension of the filing deadline and waiving of late filing penalties after 31 January 2021.  

How to stop the Taxman from attending your Virtual Christmas Party

This tax exemption is going to be applied in the same way that it would normally apply for traditionally held parties, thus meaning that food, entertainment, equipment and any other expenses that may come with holding a virtual Christmas Party will be exempt from being taxed. This is subject to the normal conditions that would normally apply being met. 

Airbnb Landlords Income and HMRC

You may have seen recent headlines about the tax affairs of Airbnb in the UK and that HMRC have charged them with an additional £1.8 million of tax following an investigation. If you are a UK citizen, or a general fan of tax payments you may think that sounds good as the company didn’t seem to be paying enough tax. But how will this change affect Airbnb hosts? 

How much of your estate will be taxed?

The present rate of Inheritance Tax (IHT) that is payable by your executors on your taxable estate is 40%.

TEMPORARY VAT EXTENSION ON PPE TO END

The decision has been made to charge full VAT on PPE despite the current VAT exemptions for other essential zero rated items including motorcycle helmets, cycle helmets and protective boots.  

Tax Diary October/November 2020

1 October 2020 - Due date for Corporation Tax due for the year ended 31 December 2019.  

The deadline for paper tax returns is looming...Avoid these common mistakes

The countdown has begun for this years’ paper tax return, a crucial time for around 400,000 taxpayers who are self employed or those that receive other income that requires the submission of a tax return, which is normally rental income, or interest and dividend income that is liable to income tax at more than the basic rate.

The Winter Economy Plan

The Chancellor has made a series of announcements about ongoing support for businesses suffering because of the coronavirus, intended to help them through the winter.

Tax Diary September/October 2020

1 September 2020 - Due date for corporation tax due for the year ended 30 November 2019.  

VAT Changes for the Hospitality sector

In an attempt to address the financial difficulties of businesses in the hospitality and tourism industries, Rishi Sunak also announced a range of VAT reductions on selected supplies for these sectors. Summary of the changes are set out below:

Keep an eye on the numbers!

Recent economic forecasts for 2020 published by H M Treasury will do little to inspire business confidence. In their comparison of independent forecasts published last month, the unemployment rate is estimated to rise to 8% and in the same period, GDP falls by 9%.

Are changes to capital gains tax underway?

The Chancellor has written to the OTS (Office of Tax Simplification), to ask the OTS to undertake a review of Capital Gains Tax and aspects of the taxation of chargeable gains, in relation to individuals and smaller businesses.  

MAKING TAX DIGITAL EXTENDED

HMRC’s flagship Making Tax Digital online quarterly reporting is being significantly extended with legislation proposed in the Finance Bill 2020-21 bringing all VAT registered businesses into the system from April 2022 and extending it to include income tax self assessment from April 2023. 

MAKING TAX DIGITAL EXTENDED

HMRC’s flagship Making Tax Digital online quarterly reporting is being significantly extended with legislation proposed in the Finance Bill 2020-21 bringing all VAT registered businesses into the system from April 2022 and extending it to include income tax self assessment from April 2023. 

SUMMER STATEMENT: A PLAN FOR JOBS

Yesterday, the Chancellor of the Exchequer Rishi Sunak delivered a speech to Parliament that he called a plan for jobs.  Describing the Covid-19 pandemic as the biggest threat to this country in decades he announced a number of measures intended to support jobs and boost the economy.

SUMMER STATEMENT: A PLAN FOR JOBS

Yesterday, the Chancellor of the Exchequer Rishi Sunak delivered a speech to Parliament that he called a plan for jobs.  Describing the Covid-19 pandemic as the biggest threat to this country in decades he announced a number of measures intended to support jobs and boost the economy.

Payment of Self Assessment tax in July 2020

Most taxpayers who are within self-assessment and who have an annual tax liability in excess of £1,000 will expect to have to pay tax at the end of January and July each year, and HMRC are currently in the process of sending out statements for the payment due at the end of July.

Payment of Self Assessment tax in July 2020

Most taxpayers who are within self-assessment and who have an annual tax liability in excess of £1,000 will expect to have to pay tax at the end of January and July each year, and HMRC are currently in the process of sending out statements for the payment due at the end of July.

Self Employed Income Support Sheme Extended for 3 Further Months

No doubt due to recent lobbying by the press and other interested support groups, the Chancellor has extended the SEISS for a final three-month period to 31 August 2020.

Self Employed Income Support Sheme Extended for 3 Further Months

No doubt due to recent lobbying by the press and other interested support groups, the Chancellor has extended the SEISS for a final three-month period to 31 August 2020.

Claiming child benefit for newborns

General Register Offices are currently operating with reduced capacity and with government guidance to social distance and stay at home, new parents are advised not to visit them. They can however still claim Child Benefit without having to register their child’s birth first to ensure that they do not miss out.

Claiming child benefit for newborns

General Register Offices are currently operating with reduced capacity and with government guidance to social distance and stay at home, new parents are advised not to visit them. They can however still claim Child Benefit without having to register their child’s birth first to ensure that they do not miss out.

Deferring VAT and Income Tax payments

Government has announced that HMRC will allow you to defer Value Added Tax (VAT) payments for 3 months. The deferral period will apply from 20 March 2020 until 30 June 2020.

Deferring VAT and Income Tax payments

Government has announced that HMRC will allow you to defer Value Added Tax (VAT) payments for 3 months. The deferral period will apply from 20 March 2020 until 30 June 2020.

The Budget 2020 Overview

This was a budget delivered by a new Chancellor against the backdrop of a worsening COVID-19 crisis and recent economic shocks, and as a result the speech was probably very different to the one that was being prepared only a few weeks ago.

Tax Diary February/March 2020

February 2020 - Due date for Corporation Tax payable for the year ended 30 April 2019.

Pay-back to save tax

At first sight, company car drivers whose private fuel costs are met by their employers may seem to be onto a good thing, but there is a nasty tax. Enter, the Car Fuel Benefit charge.

Tax warning: Late submission of self-assessment could lead to £100 fine

Taxpayers should take note of an important upcoming deadline – the 31 January 2020. This date marks the self-assessment tax return deadline for last year’s tax year (6 April 2018 – 5 April 2019). 

Keeping business records if self-employed

Now that we are approaching the end of the 2019-20 tax year it’s worth noting that you are required to keep your self-employed business records – that underpin your self-assessment tax return for 2019-20 - for 5 years after the 31 January 2021 submission deadline.

What now?

Even though many of the uncertainties that have plagued UK politics during 2019 are still to be decided, at least the hiatus in parliament has been resolved; the Conservatives now have a working majority and we can expect action on a number of fronts. 

What tax allowances can employees claim when working from home?

It is a common trend to see companies offer their employees flexible working hours, including the option to work from home. 

What tax allowances can self-employed claim when working from home?

Being self-employed and working from home offers numerous benefits such as unlimited income potential, savings on transportation, clothing and tax deductions.

Christmas gifts

You don’t have to pay tax on a benefit (gift) to your employee if all of the following apply.  

Four methods to reduce your IHT liabilities

Dubbed ‘the most hated tax in the UK’, inheritance tax (IHT) is a tax paid by a person who inherits money, property or any form of possessions from a person who is deceased. The government earned more than £5bn in 2018 from IHT. 

SDLT - Have you paid the right amount?

Stamp Duty Land Tax or “SDLT” is due when someone buys a property, or land, over a certain price in England and Northern Ireland. 

Don't be tricked this Halloween

When most people think of October 31st, ghosts, goblins and ghouls spring to mind.  

Don't be tricked this Halloween

When most people think of October 31st, ghosts, goblins and ghouls spring to mind.  

Selling shares?

As a general rule, if you sell shares for more than you paid for them, any profit you make will be chargeable to Capital Gains Tax (CGT).

Working after State Pension age

It is fine to keep working past your State Retirement Age unless your employment is subject to retirement at a compulsory retirement age.

The “loan charge” controversy continues

The following press release was published by HMRC last month. Extracts are reproduced below:

Tax Diary September 2019

Here are some important dates for your diary. 

Why you may need an EORI number

The end of next month, 31 October 2019, is the latest deadline for our exit from the EU and the recent hiatus seems to be pushing the UK ever closer to a no-deal outcome.  

Employment allowance set to change for April 2020

In the UK, certain businesses are eligible to claim an Employment Allowance. This allowance permits businesses to reduce their annual employer’s National Insurance Contributions by up to £3,000. 

Tax Diary August 2019

Here are some important dates for your August calendar. 

Internet giants face tax-hike

It has been confirmed that from April 2020, the government will introduce a new 2% Digital Services Tax (DST) on the revenues of search engines, social media platforms and online marketplaces which derive value from UK users.  

Electric cars to be exempt from company car tax in 2020

When an employee or director has use of a company car, they are subject to benefit in kind tax. The amount of tax payable depends on the car’s value when new, and the CO2 emissions it produces. Therefore, an employee with a 1.2l petrol Toyota will pay much less tax than one with a 2.0l diesel Audi. 

HMRC prevents phone fraudsters

New defensive controls recently deployed by HMRC have put an end to fraudsters spoofing the tax authority’s most recognisable helpline numbers.

Brexit risk assessment

It looks increasingly likely that we are heading for a no-deal Brexit. Taken literally, this means that our present relaxed trading relationship with customers and suppliers in the EU will cease at the end of October this year.

Reconsider cycle to work scheme

The government have recently announced that they are to extend the criteria for an approved, and therefore tax-effective, cycle-to-work scheme as part of their drive to reduce pollution and CO2 emissions in urban environments.

Your Personal Tax Account

Have you checked your personal tax account recently? If at all?  Latest research from the Post Office shows that 46% of UK workers have never checked their personal tax account.  

Employing students in the summer break

If you employ students to manage your staff needs over the summer break period, you will need to add them to your payroll and apply PAYE and NIC rules.

Tax-free perk before annual leave

It is possible to make small tax-free payments to employees, including directors, and this might be an appropriate time to make a small tax-free bonus in advance of the annual holidays.

Holiday entitlements

As we are approaching the annual holiday season it would seem to be a suitable time to set out employees’ rights to receive holiday pay.

Five tax changes buy-to-let landlords should be aware of in 2019

The 2019/20 tax year started on the 6th April and contains a number of changes which buy-to-let landlords should be aware of for the year ahead. 

Maximum age and term increases will benefit ‘older’ buy-to-let investors

Typically, those who are older and have applied for a buy-to-let mortgage have faced barriers due to the limited options available to them. 

Tax Diary May 2019

Important tax dates for your May diary

The new tax year is here: did you use up all your allowances?

With the new tax year now upon us, any allowances that you used up in full during 2018/19 have been reset and you can now begin using them again.    

The new tax year is here: did you use up all your allowances?

With the new tax year now upon us, any allowances that you used up in full during 2018/19 have been reset and you can now begin using them again.    

The new tax year is here: did you use up all your allowances?

With the new tax year now upon us, any allowances that you used up in full during 2018/19 have been reset and you can now begin using them again.    

Income Tax – regional differences

You will pay Scottish Income Tax if you live in Scotland, Income Tax if you live in England or Northern Ireland and the Welsh Income Tax if you live in Wales.

Expenses you can set-off against rental income

The expenses you claim against your property income will need to follow the usual HMRC ruling that the costs must be incurred wholly and exclusively for the purpose of renting out the property.

Personal service company changes from April 2020

In the Autumn Budget the Chancellor announced that the “off payroll” workers rules that currently apply in the public sector would be rolled out to the private sector in 2020. The government have now issued a consultation paper that sets out proposed tax and national insurance changes that will impact on those supplying their services through personal service companies.

Tax Diary April 2019

Important tax dates for your calendar this April. 

Tax Diary April 2019

Important tax dates for your calendar this April. 

Retaining business records

Retaining business records is an important process, and care should be taken to ensure you are retaining the correct records and for the right length of time.

Retaining business records

Retaining business records is an important process, and care should be taken to ensure you are retaining the correct records and for the right length of time.

Spring Statement 2019: What you need to know

Against a backdrop of continuing uncertainty over Brexit, the Chancellor’s speech today was mainly concerned with economic matters and the government finances, which are very much dependent on what finally happens regarding Brexit.

Spring Statement 2019: What you need to know

Against a backdrop of continuing uncertainty over Brexit, the Chancellor’s speech today was mainly concerned with economic matters and the government finances, which are very much dependent on what finally happens regarding Brexit.

Spring Statement 2019: What you need to know

Against a backdrop of continuing uncertainty over Brexit, the Chancellor’s speech today was mainly concerned with economic matters and the government finances, which are very much dependent on what finally happens regarding Brexit.

Advisory Fuel Rates from 1 March 2019

The advisory fuel rates are changing from the 1st March 2019.

Advisory Fuel Rates from 1 March 2019

The advisory fuel rates are changing from the 1st March 2019.

Tax Diary March 2019

Important tax dates for March.

Tax Diary March 2019

Important tax dates for March.

Advisory Fuel Rates from 1 March 2019

The advisory fuel rates are changing from the 1st March 2019. These rates apply to employees who claim back fuel expenses when using a company car. The previous rates can be used for up to 1 month from the date the new rates apply.

Would a digital services tax do more bad than good?

In the autumn budget, Chancellor of the Exchequer, Philip Hammond proposed the UK implement a ‘digital services tax’ on sales by technology giants. 

Are you ready for the VAT filing changes?

A reminder that from 1 April 2019, VAT registered traders with turnover in excess of the current VAT registration limit, £85,000, will need to file returns after 1 April 2019 linked to HMRC’s Making Tax Digital (MTD) systems.

Are you ready for the VAT filing changes?

A reminder that from 1 April 2019, VAT registered traders with turnover in excess of the current VAT registration limit, £85,000, will need to file returns after 1 April 2019 linked to HMRC’s Making Tax Digital (MTD) systems.  

Are you ready for the VAT filing changes?

A reminder that from 1 April 2019, VAT registered traders with turnover in excess of the current VAT registration limit, £85,000, will need to file returns after 1 April 2019 linked to HMRC’s Making Tax Digital (MTD) systems.  

Tax Diary February 2019

Important tax dates for February.

Tax Diary February 2019

Important tax dates for February.

What is the government doing to prepare us for Brexit?

According to a recent announcement on the GOV.UK website, preparations include: • Recruitment of 700 new staff to work on EU Exit policy using additional funding allocated by HM Treasury for Brexit preparedness.  

What is the government doing to prepare us for Brexit?

According to a recent announcement on the GOV.UK website, preparations include: • Recruitment of 700 new staff to work on EU Exit policy using additional funding allocated by HM Treasury for Brexit preparedness.  

Plan your money 2019

2019 is set to be a year of changes for finances, with everything from council tax, state pension payments and inheritance tax set to change. Find out about the changes below and how your finances could be affected.

Plan your money 2019

2019 is set to be a year of changes for finances, with everything from council tax, state pension payments and inheritance tax set to change. Find out about the changes below and how your finances could be affected.

Would a digital services tax do more bad than good?

In the autumn budget, Chancellor of the Exchequer, Philip Hammond proposed the UK implement a ‘digital services tax’ on sales by technology giants. 

Would a digital services tax do more bad than good?

In the autumn budget, Chancellor of the Exchequer, Philip Hammond proposed the UK implement a ‘digital services tax’ on sales by technology giants. 

Ministers considering over 40’s tax

Ministers in the United Kingdom are considering new ways to fund the increasing cost of social care.  One of the suggested methods has been successfully used in Germany for nearly two decades and involves placing a 2.5% levy onto the income and earnings of those aged over 40.

Ministers considering over 40’s tax

Ministers in the United Kingdom are considering new ways to fund the increasing cost of social care.  One of the suggested methods has been successfully used in Germany for nearly two decades and involves placing a 2.5% levy onto the income and earnings of those aged over 40.

CGT planning for married couples

This article is also relevant to couples who have entered into a civil partnership. For the tax year 2018-19, taxpayers can make tax-free capital gains of up to £11,700. This allowance is available on a per person basis and so married couples (and those in a civil partnership) have a combined CGT allowance of £23,400.

CGT planning for married couples

This article is also relevant to couples who have entered into a civil partnership. For the tax year 2018-19, taxpayers can make tax-free capital gains of up to £11,700. This allowance is available on a per person basis and so married couples (and those in a civil partnership) have a combined CGT allowance of £23,400.

Tax Diary January 2019

See important tax dates for January here.

Tax Diary January 2019

See important tax dates for January here.

January is here - completing your self assessment tax return

As the year draws to a close, the thought of your tax return is there, at the back of your mind. But with so much time before the deadline, you decide not to worry about it for now.

January is here - completing your self assessment tax return

As the year draws to a close, the thought of your tax return is there, at the back of your mind. But with so much time before the deadline, you decide not to worry about it for now.

Changes to Capital Gains Tax

Currently a capital gain that is made by an individual UK resident is reported through the self-assessment tax return regime. This means that if an individual disposes of a property during the year ended 5 April 2019, it will be notified on the individuals 2018-19 tax return, which does  not need to be submitted until January 31, 2020 with the tax due on that same day. 

Changes to Capital Gains Tax

Currently a capital gain that is made by an individual UK resident is reported through the self-assessment tax return regime. This means that if an individual disposes of a property during the year ended 5 April 2019, it will be notified on the individuals 2018-19 tax return, which does  not need to be submitted until January 31, 2020 with the tax due on that same day. 

How to spot a HMRC scam

Fraudsters will disguise themselves as HMRC and other government departments/professional bodies to: •    Obtain personal details which they will sell or use for identity theft, •    Coax victims into handing over money, •    Use victims’ details to steal money from their accounts.   

How to spot a HMRC scam

Fraudsters will disguise themselves as HMRC and other government departments/professional bodies to: •    Obtain personal details which they will sell or use for identity theft, •    Coax victims into handing over money, •    Use victims’ details to steal money from their accounts.   

EU council gives e-books VAT-free status

In early October, the EU’s Economic and Financial Affairs Council (Ecofin) decided to green-light a proposal for e-books to have the same VAT-free status as their printed counterparts. 

EU council gives e-books VAT-free status

In early October, the EU’s Economic and Financial Affairs Council (Ecofin) decided to green-light a proposal for e-books to have the same VAT-free status as their printed counterparts. 

Tax-free perks at Christmas time

This article is our usual reminder of the tax breaks available if you are organising a Christmas party for your staff.  

Tax-free perks at Christmas time

This article is our usual reminder of the tax breaks available if you are organising a Christmas party for your staff.  

Tax Diary December 2018

See important tax dates for December here.

Tax Diary December 2018

See important tax dates for December here.

Tax diary for November 2018

November is a very busy time for returns and tax payments. Below are the important dates coming up over the next month. 

Tax diary for November 2018

November is a very busy time for returns and tax payments. Below are the important dates coming up over the next month. 

Making Tax Digital timeline

You will be aware that HMRC is moving forward with their digitisation of taxpayer VAT and Income Tax reporting requirements, under their much publicised Making Tax Digital (MTD) initiative. Below you will find the most recent announcements made by HMRC on this issue.  

Making Tax Digital timeline

You will be aware that HMRC is moving forward with their digitisation of taxpayer VAT and Income Tax reporting requirements, under their much publicised Making Tax Digital (MTD) initiative. Below you will find the most recent announcements made by HMRC on this issue.  

Budget 2018 overview

Philip Hammond’s third budget, and the last one scheduled to take place before Brexit next year, did not contain many big headline grabbing tax changes as it concentrated more on increased government spending in what the Chancellor claimed was recognition that the days of austerity are now over, as the state of the economy continues to improve.

Budget 2018 overview

Philip Hammond’s third budget, and the last one scheduled to take place before Brexit next year, did not contain many big headline grabbing tax changes as it concentrated more on increased government spending in what the Chancellor claimed was recognition that the days of austerity are now over, as the state of the economy continues to improve.

Do you accept contactless?

This week, payment technology giant Worldpay announced that contactless payments are now more popular than traditional chip and pin payments in UK stores.

Do you accept contactless?

This week, payment technology giant Worldpay announced that contactless payments are now more popular than traditional chip and pin payments in UK stores.

The hidden 60% tax rate

Most people think the highest rate of income tax in the UK is 45%. But in fact there are two situations where you could be paying much more. 

The hidden 60% tax rate

Most people think the highest rate of income tax in the UK is 45%. But in fact there are two situations where you could be paying much more. 

Tax diary

Tax Diary September/October 2019

Tax diary

Tax Diary September/October 2019

Making tax digital - you can use spreadsheets

HMRC has about-faced regarding the ban on using spreadsheets to work out your VAT return data from 1 April 2019, when the new requirement to file VAT returns using Making Tax Digital (MTD) format is introduced.

Making tax digital - you can use spreadsheets

HMRC has about-faced regarding the ban on using spreadsheets to work out your VAT return data from 1 April 2019, when the new requirement to file VAT returns using Making Tax Digital (MTD) format is introduced.

Tax diary

September is a very busy time in the tax calendar with critical filing dates: 

Tax diary

September is a very busy time in the tax calendar with critical filing dates: 

Tax diary August

1 August 2018 - Due date for Corporation Tax due for the year ended 31 October 2017.

Tax diary August

1 August 2018 - Due date for Corporation Tax due for the year ended 31 October 2017.

Tax diary

1 July 2018 - Due date for corporation tax due for the year ended 30 September 2017.

Tax diary

1 July 2018 - Due date for corporation tax due for the year ended 30 September 2017.

Construction drawn into VAT reverse charge process

It would seem, that HMRC is keen to plug the apparent drain from VAT receipts when contractors and sub-contractors charge their customers VAT and then go missing, keeping the VAT for themselves. This is described in legislation as “missing trader fraud”.  

Construction drawn into VAT reverse charge process

It would seem, that HMRC is keen to plug the apparent drain from VAT receipts when contractors and sub-contractors charge their customers VAT and then go missing, keeping the VAT for themselves. This is described in legislation as “missing trader fraud”.  

Tax Diary May

May is a very busy time in the tax calendar, with critical filing dates.

Tax Diary May

May is a very busy time in the tax calendar, with critical filing dates.

Payments in lieu of notice

Up to 5 April 2018, certain payments in lieu of notice were not taxable, primarily, those not contractually required to be made.

Payments in lieu of notice

Up to 5 April 2018, certain payments in lieu of notice were not taxable, primarily, those not contractually required to be made.

Tax and making loans to employees

A reminder that making loans to your employees or their relatives can create tax problems for employees and employers. For example, the employer will have an obligation to report a beneficial loan to HMRC and the deemed benefit would be a taxable benefit in kind for the relevant employee.  

Tax and making loans to employees

A reminder that making loans to your employees or their relatives can create tax problems for employees and employers. For example, the employer will have an obligation to report a beneficial loan to HMRC and the deemed benefit would be a taxable benefit in kind for the relevant employee.  

Spring Statement - Financing growth in innovative firms: allowing Entrepreneurs' Relief on gains before dilution

As announced in Budget 2017, the Government has today issued a document consulting on how access might be given to entrepreneurs whose holding in their company is reduced below the normal 5% qualifying level as a result of raising capital for commercial purposes by means of issues of new shares.

Spring Statement - Financing growth in innovative firms: allowing Entrepreneurs' Relief on gains before dilution

As announced in Budget 2017, the Government has today issued a document consulting on how access might be given to entrepreneurs whose holding in their company is reduced below the normal 5% qualifying level as a result of raising capital for commercial purposes by means of issues of new shares.

Unexpected VAT charge for UK importers

With no agreement on tariffs, the UK will be treated as any other non-EU trading nation post Brexit. Consequently, UK importers would be required to make an up-front VAT payment in addition to any customs duties. This VAT payment will rank as input VAT that can be reclaimed from HMRC. 

Unexpected VAT charge for UK importers

With no agreement on tariffs, the UK will be treated as any other non-EU trading nation post Brexit. Consequently, UK importers would be required to make an up-front VAT payment in addition to any customs duties. This VAT payment will rank as input VAT that can be reclaimed from HMRC. 

HMRC guidance defines grants and contracts for VAT purposes

HM Revenue & Customs has published updated guidance on the VAT treatment of grants and contracts to clarify which grants are outside the scope of VAT and which are subject to VAT.  

HMRC guidance defines grants and contracts for VAT purposes

HM Revenue & Customs has published updated guidance on the VAT treatment of grants and contracts to clarify which grants are outside the scope of VAT and which are subject to VAT.  

Chancellor calls for a simplification on Inheritance Tax

The Office of Tax Simplification (OTS) has already highlighted inheritance tax (IHT) as an area ripe for an overhaul and now the Chancellor, Philip Hammond, has asked the body to conduct a system-wide review of the current tax regime, and wants to see proposals for simplification, ‘to ensure that the system is fit for purpose and makes the experience of those who interact with it as smooth as possible’.

Chancellor calls for a simplification on Inheritance Tax

The Office of Tax Simplification (OTS) has already highlighted inheritance tax (IHT) as an area ripe for an overhaul and now the Chancellor, Philip Hammond, has asked the body to conduct a system-wide review of the current tax regime, and wants to see proposals for simplification, ‘to ensure that the system is fit for purpose and makes the experience of those who interact with it as smooth as possible’.

Tax Diary

1 February 2018 - Due date for corporation tax payable for the year ended 30 April 2016.  

Tax Diary

1 February 2018 - Due date for corporation tax payable for the year ended 30 April 2016.  

CGT Opportunities?

This is also an appropriate time of the year to consider your capital gains tax position if you have already disposed (or are considering a disposal) of an asset subject to CGT before 6 April 2018.

CGT Opportunities?

This is also an appropriate time of the year to consider your capital gains tax position if you have already disposed (or are considering a disposal) of an asset subject to CGT before 6 April 2018.

Credit and debit card surcharges to be banned next week

A new law will come into force from 13th January 2018, banning businesses from charging any fees for credit or debit card payments. 

Credit and debit card surcharges to be banned next week

A new law will come into force from 13th January 2018, banning businesses from charging any fees for credit or debit card payments. 

Tax Diary January

1 January 2018 - Due date for corporation tax due for the year ended 31 March 2017.

Tax Diary January

1 January 2018 - Due date for corporation tax due for the year ended 31 March 2017.

Staff Christmas parties & gifts

​There has, for many years, been an exemption for small and seasonal gifts made by an employer to its employees such as a turkey, an ordinary bottle of wine or a box of chocolates at Christmas.

Staff Christmas parties & gifts

​There has, for many years, been an exemption for small and seasonal gifts made by an employer to its employees such as a turkey, an ordinary bottle of wine or a box of chocolates at Christmas.

What will be in the Budget on 22 November?

Philip Hammond will present his second Budget on 22 November. What principles will guide his decisions, and what tax measures will be the result?  

What will be in the Budget on 22 November?

Philip Hammond will present his second Budget on 22 November. What principles will guide his decisions, and what tax measures will be the result?  

A true Halloween horror!

For many, when they think of what occurs on 31st October they think of Frankenstein, trick or treating, ghosts and pumpkins….. but for some the answer is PAPER TAX RETURN DEADLINE!

A true Halloween horror!

For many, when they think of what occurs on 31st October they think of Frankenstein, trick or treating, ghosts and pumpkins….. but for some the answer is PAPER TAX RETURN DEADLINE!

4 common mistakes to avoid when submitting your paper tax return

The countdown has begun for this years’ paper tax return, a crucial time for around 10 miilion taxpayers who are either self employed or  receive other income that requires the submission of a tax return, which is normally rental income,  interest or dividend income. It is also necessary to submit a tax return if you have realized capital gains on which a tax liability arises, or if you have made a loss on the disposal of a capital asset that you want to carry forward to set against future gains.

4 common mistakes to avoid when submitting your paper tax return

The countdown has begun for this years’ paper tax return, a crucial time for around 10 miilion taxpayers who are either self employed or  receive other income that requires the submission of a tax return, which is normally rental income,  interest or dividend income. It is also necessary to submit a tax return if you have realized capital gains on which a tax liability arises, or if you have made a loss on the disposal of a capital asset that you want to carry forward to set against future gains.

Tax Diary

October is a very busy times in the tax calendar, with critical filing dates.  

Tax Diary

October is a very busy times in the tax calendar, with critical filing dates.  

Tax diary October

October is a very busy time in the tax calendar, with critical filing dates.

Tax diary October

October is a very busy time in the tax calendar, with critical filing dates.

Common misconceptions abut tax and letting property

HMRC has published a list of popular misconceptions that taxpayers have about letting property. We have listed below a summary of situations where you will need to declare rental earnings to HMRC:

Common misconceptions abut tax and letting property

HMRC has published a list of popular misconceptions that taxpayers have about letting property. We have listed below a summary of situations where you will need to declare rental earnings to HMRC:

Is your tax code correct?

Taxpayers are being urged to check their tax codes after HM Revenue & Customs introduced a new “dynamic coding” system in July. 

Is your tax code correct?

Taxpayers are being urged to check their tax codes after HM Revenue & Customs introduced a new “dynamic coding” system in July. 

Tax Diary September

September is a very busy time in the tax calendar, with critical filing dates. Please check out the link below for dates that may be relevant to your business throughout the year.

Tax Diary September

September is a very busy time in the tax calendar, with critical filing dates. Please check out the link below for dates that may be relevant to your business throughout the year.

Second finance bill this Autumn

It has been announced that the second Finance Bill will legislate for all policies that were included in the pre-election Finance Bill but had to be dropped in order to rush through the Finance Act 2017 before the snap general election in June.

Second finance bill this Autumn

It has been announced that the second Finance Bill will legislate for all policies that were included in the pre-election Finance Bill but had to be dropped in order to rush through the Finance Act 2017 before the snap general election in June.

New Government childcare schemes

Working parents can start applying for two new Government childcare schemes launching this year – Tax-Free Childcare which begins immediately and 30 hours free childcare which starts in September.

New Government childcare schemes

Working parents can start applying for two new Government childcare schemes launching this year – Tax-Free Childcare which begins immediately and 30 hours free childcare which starts in September.

Director minimum salary levels 2017-18

Many director shareholders take a minimum salary and any balance of remuneration as dividends. This tends to reduce NIC, and, in some cases, Income Tax.

Director minimum salary levels 2017-18

Many director shareholders take a minimum salary and any balance of remuneration as dividends. This tends to reduce NIC, and, in some cases, Income Tax.

Trading and property allowances

From 6 April 2017 (subject to the passage of the Autumn Finance Bill, when Parliament returns after the summer break), individuals will be able to claim up to £1,000 a year in tax-free allowances for property or trading income.  If you have both types of income, you may claim a £1,000 allowance for each.  

Trading and property allowances

From 6 April 2017 (subject to the passage of the Autumn Finance Bill, when Parliament returns after the summer break), individuals will be able to claim up to £1,000 a year in tax-free allowances for property or trading income.  If you have both types of income, you may claim a £1,000 allowance for each.  

Tax diary July/August

July & August are very busy times in the tax calendar, with critical filing dates. Please check out the link below for dates that may be relevant to your business throughout the year. July & August are very busy times in the tax calendar, with critical filing dates.   .

Tax diary July/August

July & August are very busy times in the tax calendar, with critical filing dates. Please check out the link below for dates that may be relevant to your business throughout the year. July & August are very busy times in the tax calendar, with critical filing dates.   .

What is dementia tax?

The Conservative Party Manifesto announcement and subsequent U-Turn on the requirement to pay for social care may have caused many voters to switch their allegiance in the June Election. Although this so-called “Dementia tax” is not strictly a tax, paying for social care has become more important than Inheritance Tax for many families.

What is dementia tax?

The Conservative Party Manifesto announcement and subsequent U-Turn on the requirement to pay for social care may have caused many voters to switch their allegiance in the June Election. Although this so-called “Dementia tax” is not strictly a tax, paying for social care has become more important than Inheritance Tax for many families.

Government extends the deadline for digital tax returns and exempts small businesses from the plans

Small firms will be experiencing a sense of relief this morning, as changes are announced to the controversial and revolutionary new digital tax system.

Government extends the deadline for digital tax returns and exempts small businesses from the plans

Small firms will be experiencing a sense of relief this morning, as changes are announced to the controversial and revolutionary new digital tax system.

Tax Diary July

July is a very busy time in the tax calendar, with critical filing dates.

Tax Diary July

July is a very busy time in the tax calendar, with critical filing dates.

How to reduce your tax payments

Are you self-employed? If you are, or if you are someone who doesn't pay all their tax at source, you may need to make your second payment on account for 2016-17, due date for payment is 31 July 2017.  

How to reduce your tax payments

Are you self-employed? If you are, or if you are someone who doesn't pay all their tax at source, you may need to make your second payment on account for 2016-17, due date for payment is 31 July 2017.  

Higher rate tax payers may be better off paying interest on the loan account rather than dividends

Ever since the introduction of the 7.5% increase in the rate of tax on dividends recently, it has been more tax efficient for owner managed business shareholders to pay interest on their loans to the company rather than pay themselves dividends.

Better to pay interest on your loan account than dividends if higher rate taxpayer

Ever since the introduction of the 7.5% increase in the rate of tax on dividends in April 2016, it has been more tax efficient for owner managed business shareholders to pay interest on their loans to the company rather than pay themselves dividends.

Better to pay interest on your loan account than dividends if higher rate taxpayer

Ever since the introduction of the 7.5% increase in the rate of tax on dividends in April 2016, it has been more tax efficient for owner managed business shareholders to pay interest on their loans to the company rather than pay themselves dividends.

Expenses and benefits for employees

Until 2015-16, it was possible to apply for a dispensation to exclude certain expenses and benefits provided to employees from the year end returns to HMRC: primarily the submission of forms P11D. These dispensations ceased to be effective from 6 April 2016. From this date many of the expenses covered by dispensations were exempted from the benefits legislation. The sorts of expenses covered include:  

Expenses and benefits for employees

Until 2015-16, it was possible to apply for a dispensation to exclude certain expenses and benefits provided to employees from the year end returns to HMRC: primarily the submission of forms P11D. These dispensations ceased to be effective from 6 April 2016. From this date many of the expenses covered by dispensations were exempted from the benefits legislation. The sorts of expenses covered include:  

Beneficial loans to employees

In many cases, making loans to your employees or their relatives can create an obligation to report a beneficial loan to HMRC. The deemed benefit would be a taxable benefit in kind for the relevant employee, and would increase the employer’s Class 1A NIC bill at the end of the tax year.

Beneficial loans to employees

In many cases, making loans to your employees or their relatives can create an obligation to report a beneficial loan to HMRC. The deemed benefit would be a taxable benefit in kind for the relevant employee, and would increase the employer’s Class 1A NIC bill at the end of the tax year.

Simplified cash basis

For some time now, unincorporated businesses have been able to submit simplified accounts in order to settle their tax liabilities. The main advantage of using this system is that income and expenditure is based on money received from customers and money paid to suppliers. In other words, the accruals basis, where income and outgoings are based on the value of invoices sent and received, is not applied.

Simplified cash basis

For some time now, unincorporated businesses have been able to submit simplified accounts in order to settle their tax liabilities. The main advantage of using this system is that income and expenditure is based on money received from customers and money paid to suppliers. In other words, the accruals basis, where income and outgoings are based on the value of invoices sent and received, is not applied.

Looking to minimise inheritance tax?

Planning to minimise Inheritance Tax (IHT) is something that many of us put off until it is too late. IHT is charged on a person’s estate when they die and on certain gifts made during their lifetime. The rate of tax on death is 40%.

Looking to minimise inheritance tax?

Planning to minimise Inheritance Tax (IHT) is something that many of us put off until it is too late. IHT is charged on a person’s estate when they die and on certain gifts made during their lifetime. The rate of tax on death is 40%.

Tax diary

April is a very busy time in the tax calendar, with critical filing dates. Please check out the link below for dates that may be relevant to your business throughout the year.

Tax diary

April is a very busy time in the tax calendar, with critical filing dates. Please check out the link below for dates that may be relevant to your business throughout the year.

Buy-to-let property owners - time to start saving for tax changes

Property business owners, particularly buy-to-let landlords, have been hit with a number of quite dramatic changes in their tax status. One of the most draconian is the gradual disallowance of tax relief for finance payments that starts April 2017.

Buy-to-let property owners - time to start saving for tax changes

Property business owners, particularly buy-to-let landlords, have been hit with a number of quite dramatic changes in their tax status. One of the most draconian is the gradual disallowance of tax relief for finance payments that starts April 2017.

New rules for IR35 workers in the public sector start 6th April 2017

There are significant changes that commence on 6 April 2017 for workers in the public sector supplying their services via their own personal service companies or other intermediaries.

New rules for IR35 workers in the public sector start 6th April 2017

There are significant changes that commence on 6 April 2017 for workers in the public sector supplying their services via their own personal service companies or other intermediaries.

Tax diary March 2017

February and March are very busy times in the tax calendar, with critical filing dates.

Tax diary March 2017

February and March are very busy times in the tax calendar, with critical filing dates.

New Government Savings Scheme Starts in April 2017

From April 2017,adults under the age of 40 will be able to open a Lifetime ISA (LISA) and pay in up to £4,000 each tax year. They will be able to continue making contributions up to the age of 50. The government will add a 25% bonus to these contributions. This means that individuals who save the maximum will receive a £1,000 bonus each year from the Government.  

New Government Savings Scheme Starts in April 2017

From April 2017,adults under the age of 40 will be able to open a Lifetime ISA (LISA) and pay in up to £4,000 each tax year. They will be able to continue making contributions up to the age of 50. The government will add a 25% bonus to these contributions. This means that individuals who save the maximum will receive a £1,000 bonus each year from the Government.  

Tax Diary January/February

​1 January 2017 - Due date for Corporation Tax due for the year ended 31 March 2016.

Tax Diary January/February

​1 January 2017 - Due date for Corporation Tax due for the year ended 31 March 2016.

Two Months To Go!

​All UK taxpayers may benefit from pausing, taking a deep breath, and considering their planning options as we approach the run-down to yet another tax year end.

Two Months To Go!

​All UK taxpayers may benefit from pausing, taking a deep breath, and considering their planning options as we approach the run-down to yet another tax year end.

Another 100% tax relief ends next year - act soon

Currently the business premises renovation allowance provides 100% tax relief for the cost of renovating a commercial property located in one of the 2,000 or so designated disadvantaged areas, provided it has been out of commercial use for at least 12 months.

Tax diary December 2016 - January 2017

December and January are very busy times in the tax calendar, with critical filing dates. Please check out the link below for dates that may be relevant to your business throughout the year.

Tax diary December 2016 - January 2017

December and January are very busy times in the tax calendar, with critical filing dates. Please check out the link below for dates that may be relevant to your business throughout the year.

Income tax not CGT on property sale

Finance Act 2016 brought in new rules to ensure that overseas property traders and developers are subject to UK income tax or corporation tax when they dispose of UK properties from 5 July 2016. However the way in which the legislation is drafted may catch some buy-to-let landlords.

Income tax not CGT on property sale

Finance Act 2016 brought in new rules to ensure that overseas property traders and developers are subject to UK income tax or corporation tax when they dispose of UK properties from 5 July 2016. However the way in which the legislation is drafted may catch some buy-to-let landlords.

Staff Christmas parties and gifts

There has, for many years, been an exemption for small and seasonal gifts made by an employer to its employees such as a turkey, an ordinary bottle of wine or a box of chocolates at Christmas. In addition, employers have always been able to rely on the annual staff function to exempt Christmas parties (provided the combined VAT inclusive cost of any such functions remains below £150 per head). But now, following the introduction by HM Revenue & Customs of new trivial benefit rules, from 6 April 2016, other staff gifts  might now qualify as a trivial benefit if the cost per head is below the specified VAT inclusive £50 limit. In order to qualify for the exemption, the gift cannot be part of any reward for services, nor can it be in the form of cash or vouchers capable of being converted into cash.

Staff Christmas parties and gifts

There has, for many years, been an exemption for small and seasonal gifts made by an employer to its employees such as a turkey, an ordinary bottle of wine or a box of chocolates at Christmas. In addition, employers have always been able to rely on the annual staff function to exempt Christmas parties (provided the combined VAT inclusive cost of any such functions remains below £150 per head). But now, following the introduction by HM Revenue & Customs of new trivial benefit rules, from 6 April 2016, other staff gifts  might now qualify as a trivial benefit if the cost per head is below the specified VAT inclusive £50 limit. In order to qualify for the exemption, the gift cannot be part of any reward for services, nor can it be in the form of cash or vouchers capable of being converted into cash.

Don't miss out on Tax Relief on R&D

​The government is concerned that many small companies are missing out on generous R&D tax credits.  For the last year HMRC have been offering companies an advance assurance scheme to check whether or not their activities qualify before they make a claim. So far over 200 applications for advance assurance have been made.

Don't miss out on Tax Relief on R&D

​The government is concerned that many small companies are missing out on generous R&D tax credits.  For the last year HMRC have been offering companies an advance assurance scheme to check whether or not their activities qualify before they make a claim. So far over 200 applications for advance assurance have been made.

Chancellor declares ban on ‘extortionate’ letting fees

The autumn statement addressed the current economic forecasts and projections, provided by the Office for Budget Responsibility (OBR).  

Chancellor declares ban on ‘extortionate’ letting fees

The autumn statement addressed the current economic forecasts and projections, provided by the Office for Budget Responsibility (OBR).  

Tax measures contained in 2016 Autumn Statement

This was the first and last Autumn Statement to be delivered by the new Chancellor, as he announced major changes to the timetable under which the annual Budget cycle will operate in future, the main thrust of which is that after  the Spring budget in March 2017 we will be moving to Autumn Budgets and Spring Statements!  In a change of policy from recent years, there were not as many new tax announcements in the speech or the supporting documents as has been the case in recent years, but the tax changes that were announced included the following:

Limits on certain claims for tax relief

From 6 April 2013, the total amount of certain Income Tax reliefs that can be used to reduce your total taxable income is limited to £50,000, or 25% of your adjusted total income, if higher.  

When is a hobby a trade?

We have received enquiries from a number of clients, concerned that HMRC is going to try and tax them for the small amounts of cash that they make from pursuing hobbies. For example, buying and selling on eBay or setting up stalls at their local drive in markets – car boot sales.

When is a hobby a trade?

We have received enquiries from a number of clients, concerned that HMRC is going to try and tax them for the small amounts of cash that they make from pursuing hobbies. For example, buying and selling on eBay or setting up stalls at their local drive in markets – car boot sales.

Multi-property buy-to-let landlords face mortgage headache

The buy-to-let property market continues to be affected by clampdowns backed by both the Government and Bank of England. This time, landlords are being warned of a major mortgage headache, when new rules come into play in 2017.

The UK has funeral debt close to £150m

The total amount borrowed by people living in the UK to pay for funerals, has hit close to £147 million, as it is revealed almost 95,000 have been slapped with a huge and unexpected funeral bill, with no other choice but to simply borrow, in order to be able to afford it. It is a startling number that demonstrates how unbelievably out of hand the cost of funerals has become. 

The UK has funeral debt close to £150m

The total amount borrowed by people living in the UK to pay for funerals, has hit close to £147 million, as it is revealed almost 95,000 have been slapped with a huge and unexpected funeral bill, with no other choice but to simply borrow, in order to be able to afford it. It is a startling number that demonstrates how unbelievably out of hand the cost of funerals has become. 

Making the most of your tax free allowances

On 6 April 2016 the Government introduced a number of changes that have consequences for your personal finances. Firstly, the tax-free personal allowance, the amount you are allowed to earn before income tax becomes payable increased to £11,000.  

Making the most of your tax free allowances

On 6 April 2016 the Government introduced a number of changes that have consequences for your personal finances. Firstly, the tax-free personal allowance, the amount you are allowed to earn before income tax becomes payable increased to £11,000.  

Tax and your home

If you use your home for business purposes, rent out parts of your home whilst you are still in residence or if you rent out your home while you are resident elsewhere, you may need to consider the tax consequences. This article covers some of the tax issues that you may need to consider:

Tax and your home

If you use your home for business purposes, rent out parts of your home whilst you are still in residence or if you rent out your home while you are resident elsewhere, you may need to consider the tax consequences. This article covers some of the tax issues that you may need to consider:

Tax diary October/November 2016

​1 October 2016 - Due date for Corporation Tax due for the year ended 31 December 2015.

The deadline for paper tax returns is looming.... avoid these common mistakes

The countdown has begun for this years’ paper tax return, a crucial time for around 400,000 taxpayers who are self employed or those that receive other income that requires the submission of a tax return, which is normally rental income, or interest and dividend income that is liable to income tax at more than the basic rate. It is also necessary to submit a tax return if you have realised capital gains on which a tax liability arises, or if you have made a loss on the disposal of a capital asset that you want to carry forward to set against future gains.

The deadline for paper tax returns is looming.... avoid these common mistakes

The countdown has begun for this years’ paper tax return, a crucial time for around 400,000 taxpayers who are self employed or those that receive other income that requires the submission of a tax return, which is normally rental income, or interest and dividend income that is liable to income tax at more than the basic rate. It is also necessary to submit a tax return if you have realised capital gains on which a tax liability arises, or if you have made a loss on the disposal of a capital asset that you want to carry forward to set against future gains.

The deadline to register for Self Assessment Tax Returns is looming....

With the clampdown being tighter than ever and the deadline for registration on the 5th October is looming....here at Moore (South) LLP we have compiled an article packed with information, for those that are registering for their first Self Assessment Tax return, or for those that are just not too familiar with the process.

The deadline to register for Self Assessment Tax Returns is looming....

With the clampdown being tighter than ever and the deadline for registration on the 5th October is looming....here at Moore (South) LLP we have compiled an article packed with information, for those that are registering for their first Self Assessment Tax return, or for those that are just not too familiar with the process.

Government to replace EU funding

Thousands of British organisations will receive guarantees over EU funding in a new move by Chancellor Philip Hammond last month.

Government to replace EU funding

Thousands of British organisations will receive guarantees over EU funding in a new move by Chancellor Philip Hammond last month.

Tax Diary September/October

Keep up to date with the tax diary. 

Tax Diary September/October

Keep up to date with the tax diary. 

New successes for HMRC in the courts

HMRC seem to be making progress in their attempts to discourage, and recover unpaid tax, from participators in tax evasion schemes. 

New successes for HMRC in the courts

HMRC seem to be making progress in their attempts to discourage, and recover unpaid tax, from participators in tax evasion schemes. 

What does the interest rate cut mean for you?

At the beginning of August the Bank of England cut interest rates from 0.50% to 0.25%, reaching a new record low and introducing the first cut since way back in 2009, in order to counter the threat of a post Brexit recession. 

What does the interest rate cut mean for you?

At the beginning of August the Bank of England cut interest rates from 0.50% to 0.25%, reaching a new record low and introducing the first cut since way back in 2009, in order to counter the threat of a post Brexit recession. 

Tax Diary August/September 2016

1 August 2016 - Due date for Corporation Tax due for the year ended 31 October 2015.

Tax Diary August/September 2016

1 August 2016 - Due date for Corporation Tax due for the year ended 31 October 2015.

Buy-to-let landlords action required

Buy-to-let landlords need to start considering their options, in particular, those who have borrowed heavily in order to build their property portfolio.  

Buy-to-let landlords action required

Buy-to-let landlords need to start considering their options, in particular, those who have borrowed heavily in order to build their property portfolio.  

Landlords to be hit with 'Green Tax'

From April 2018 buy to let landlords will be hit with costs of up to £5,000 in order to comply with new government energy efficiency legislation, which will be introduced on rental properties.

Landlords to be hit with 'Green Tax'

From April 2018 buy to let landlords will be hit with costs of up to £5,000 in order to comply with new government energy efficiency legislation, which will be introduced on rental properties.

Tax Diary July/August 2016

1 July 2016 - Due date for Corporation Tax due for the year ended 30 September 2015.

Tax Diary July/August 2016

1 July 2016 - Due date for Corporation Tax due for the year ended 30 September 2015.

Business expenses you can claim

Basically, you can claim for most expenses that are incurred wholly and exclusively for the purposes of a trade. Unfortunately, most of the decision making by HMRC on this topic is guided by tax law, which has been inconsistent. 

Business expenses you can claim

Basically, you can claim for most expenses that are incurred wholly and exclusively for the purposes of a trade. Unfortunately, most of the decision making by HMRC on this topic is guided by tax law, which has been inconsistent. 

Transferring ISAs

ISA investors may be interested to read the following guidance issued by HMRC regarding the transfer of ISAs from one provider to another.

Transferring ISAs

ISA investors may be interested to read the following guidance issued by HMRC regarding the transfer of ISAs from one provider to another.

Tax Diary June/July

1 June 2016 - Due date for Corporation Tax due for the year ended 31 August 2015.

Tax Diary June/July

1 June 2016 - Due date for Corporation Tax due for the year ended 31 August 2015.

What is a CT61?

Although most banks and building societies do not have to deduct Income Tax from interest payments they make to depositors from April 2016, the same does not apply to others that pay interest.  

What is a CT61?

Although most banks and building societies do not have to deduct Income Tax from interest payments they make to depositors from April 2016, the same does not apply to others that pay interest.  

Expanding your income tax bands

For the tax year 2016-17, most taxpayers are entitled to claim a tax-free personal allowance of £11,000 from their taxable income. The maximum income that can be taxed at the basic rate of 20%, after the personal allowance has been deducted, is £32,000.

Expanding your income tax bands

For the tax year 2016-17, most taxpayers are entitled to claim a tax-free personal allowance of £11,000 from their taxable income. The maximum income that can be taxed at the basic rate of 20%, after the personal allowance has been deducted, is £32,000.

Supplying digital services to customers in other EU countries?

The VAT place of supply rules changed on 1 January 2015 where digital services are supplied to non-business customers. The place of supply changed from where the supplier was based to where the customer is located as some companies were avoiding UK VAT.

Supplying digital services to customers in other EU countries?

The VAT place of supply rules changed on 1 January 2015 where digital services are supplied to non-business customers. The place of supply changed from where the supplier was based to where the customer is located as some companies were avoiding UK VAT.

Paying interest on directors loans is better than dividends now?

The new 32.5% rate on dividends received by higher rate taxpayers means paying interest on directors’ loan account credit balances is now more tax efficient than paying dividends, once the new £5,000 dividend allowance has been used.

Paying interest on directors loans is better than dividends now?

The new 32.5% rate on dividends received by higher rate taxpayers means paying interest on directors’ loan account credit balances is now more tax efficient than paying dividends, once the new £5,000 dividend allowance has been used.

Making tax digital - too soon?

George Osborne announced the introduction of digital tax accounts in his 2015 Budget, with more information being sent online to HM Revenue and Customs (HRMC) by employers, pension funds, banks and other institutions. This information will  then be used to calculate individuals' tax liabilities which may be viewed by them online. All this sounds great in theory, but many accountants expressed concerns about the reliability of this data.

Making tax digital - too soon?

George Osborne announced the introduction of digital tax accounts in his 2015 Budget, with more information being sent online to HM Revenue and Customs (HRMC) by employers, pension funds, banks and other institutions. This information will  then be used to calculate individuals' tax liabilities which may be viewed by them online. All this sounds great in theory, but many accountants expressed concerns about the reliability of this data.