If you make a mistake on a VAT return it is important to put it right as quickly as possible. If the mistake is less than £10,000 net effect of VAT, the correction can be on your next VAT return. However that method of correction does not “notify HMRC of the mistake” and hence could […]
HMRC has several tips to pass to employers and agents for the successful processing of the payroll. Submit the payroll’s full payment submission (FPS) to HMRC on or before payday. Make sure the payday recorded really is the day you actually pay the employees. Ensure the pay date for the employee is always used – […]
HMRC recently investigated a company (and won a substantial case against the company) when they noticed that the VAT returns submitted had different figures from the accounts. Completing VAT returns correctly involves more work than simply clicking submit within an online bookkeeping system. The figures in the VAT return should always be checked to the […]
This is only relevant if you have a property which has been used as your main residence at some time and has been let at some time. If you sell such a property by 5 April 2020 you have two generous tax reliefs: Private Residence Relief (PPR) for the last 18 months that you owned […]
The extension of the “off-payroll” working rules to the private sector is planned for April 2020 but in the meantime tax tribunal decisions are still being decided against HMRC. In a recent case involving a radio presenter working for TalkSport, it was decided that the presenter would not have been an employee if directly engaged. […]
Only one in four people making financial gifts are aware of the risks of inheritance tax (IHT), highlighting the threat of unexpected tax bills for gifters for non-compliance. Gifts valued at less than £250 individually, totalling less than £3,000 per year, or to help with certain people’s living costs are exempt from IHT. Most other […]
Subcontractor to Contractor supplies within the construction industry will be subject to Reverse Charge VAT from 1 October 2020. This applies to a subcontractor supplying services to a contractor (not supplies to an individual or end user business such as an office or hotel). The subcontractor will continue to raise an invoice but will not […]
Where large or medium-sized organisations are paying workers via personal service companies or agencies they will need to operate new procedures from 6 April 2020. The new rules will apply to partnerships, LLPs and larger charities as well as limited companies. Only those organisations that would be classed as “small” under the Companies Act criteria […]
The Chancellor, Sajid Javid has commissioned a review of the Loan Charge to consider whether the policy is an appropriate way of dealing with disguised remuneration loan schemes used by individuals who entered directly into these schemes to avoid paying tax. The disguised remuneration Loan Charge was introduced to tackle contrived schemes where a person’s […]
It is informative to reflect that “when I were a lad” (a trainee accountant) the letter of the law was all that seemed to matter. If we could find “a way” of saving tax then ‘yuppie’ smiles all round. These days context, intention and substance are more important than raw legal documentation. And quite rightly […]