HMRC have released an updated version of the Tax Residence Indicator tool, which helps individuals check whether they are likely to be treated as resident in the UK for income tax and capital gains tax purposes from 2013/14 onwards. This is available on the HMRC website. From 6 April 2013 new statutory tests were introduced […]
The current £5,000 limit for cheap or interest free loans to directors and employees will increase to £10,000 from 6 April 2014. This means that such loans will not need to be reported on P11D forms and there will be no income tax or national insurance liability on loans up to the new limit. However, […]
HMRC’s local compliance teams’ investigations of the transfer pricing arrangements of medium-sized firms has brought in a record breaking £235m of extra tax in the past year. This is the first time that HMRC’s local compliance teams have taken more tax from transfer pricing investigations than HMRC’s Large Business Service, which deals with the UK’s 770 largest businesses. […]
Make your investments before 6 April 2014 to make the most of your 2013/14 ISA allowances. Your maximum annual investment in ISAs for 2013/14 is £11,520 (up to £5,760 of which can be saved in a cash ISA). On top of that, have you thought about investing for your children or grandchildren by setting up […]
Accountancy firms should be prepared for HMRC to ramp up significantly its efforts to close the VAT gap, following the release of new figures that show that the UK’s VAT gap has grown by 25% in the year to April. The VAT gap – the difference between the amount of value added tax HM Revenue […]
The annual pension allowance reduces to £40,000 from 6 April 2014. Take advantage now of the pension carry forward rules in order to benefit from any unused allowances from the previous three tax years. This can generally be calculated as the difference between £50,000 and the pension input each year and can be added to […]
The statutory sick pay (SSP) compensation scheme will be withdrawn from April 2014. As things stand, the scheme compensates employers with a low wages bill with a government contribution towards the cost of paying employees while they’re off work due to illness. The change shouldn’t lead to a major cost for most employers. Currently, where […]
1 March – Corporation tax for year to 31 May 2015 19 March – PAYE & NIC deductions, and CIS return and tax, for month to 5/3/14 (due 22 March if you pay electronically)
Single Premium Insurance Bonds can be a very tax efficient investment product as the tax rules allow up to 5% of the capital value to be withdrawn tax free each year. If no withdrawals are made that year the 5% tax free amounts accumulate so that after say 6 years 30% could be withdrawn from […]
Real Time Information (RTI), the requirement for employers to submit payroll data to HMRC on or before wages and salaries are paid to employees, was introduced from 6 April 2013. However during the 2013/14 tax year this general rule is relaxed for employers with fewer than 50 employees who may submit their payroll data by […]
HMRC is targeting tax evasion by residential landlords. They will use information they have about property rental in the UK and abroad and other information they hold on customers to identify people who might not have paid what they owe. Landlords who have not reported rental profits from properties in the UK and abroad do […]
Single Premium Insurance Bonds can be a very tax efficient investment product as the tax rules allow up to 5% of the capital value to be withdrawn tax free each year. If no withdrawals are made that year the 5% tax free amounts accumulate so that after say 6 years 30% could be withdrawn from […]
Without any prior warning HMRC removed the concession that allowed a tax deduction for the replacement of free standing equipment that does not qualify for capital allowances in unfurnished buy to let properties with effect from 6 April 2013. Previously there was no tax deduction when the asset was originally acquired but a deduction was […]
1 February – Corporation tax for year to 30 April 2013. 19 February – PAYE & NIC deductions, and CIS return and tax, for month to 5/2/14 (due 22 February if you pay electronically). 28 February – Surcharge of 5% on 2012/13 self-assessment tax still unpaid.
Payroll departments within Small and Medium sized enterprises are faced with the prospect of phasing in of ‘Automatic enrolment’; the scheme requiring all employers to provide a pension scheme for their employees. Between 1 October 2012 and 1 February 2014 this has been a requirement for larger firms (those with 250 or more employees). The […]
As we move into 2014, many businesses and their management teams are taking a step back, looking at the business, considering how the market will develop over the next 12 months and creating plans to grow the firm and take advantage of changes in the business environment. A typical approach to planning suggests multiplying last […]
1 January Payment of corporation tax for companies that have accounting periods ended 31 March 2013. 7 January Filing and paying electronically November 2013 VAT returns 19 January Payment of PAYE/construction industry scheme (CIS) liabilities for December payroll. Payment of PAYE liability for quarter October, November, December 2013 if average monthly liability is less than […]
If you buy the goodwill of a business you will often be able to claim corporation tax relief on the amount of the purchase price which is amortised in the accounts. The question then is at what rate can goodwill be amortised? There are new developments on this. It is now understood that ordinarily HMRC […]
From 5 April 2014 every employer (business or charity or club but not domestic) will not have to pay the first £2k of employers NI (13.8%). Effectively the relief is worth the lower of £2k and employers NIC for the year. There will be only one £2,000 for each collection of associated. We will be […]
In September 2013 that the Prime Minister announced that from April 2015 spouses and civil partners would be allowed to transfer £1,000 of their own allowance to their partner – provided neither of them were higher rate taxpayers. This measure was confirmed on 5 December 2013 and but will not apply until 6 April 2015. […]
A new tax relief for investment in social enterprise will begin in April 2014. Currently investors in “for profit” businesses (limited by shares) can potentially benefit from tax relief under the Enterprise Investment Scheme (EIS). As many social enterprises are “not for distributable profit” (limited by guarantee) and don’t have shares, EIS cannot apply to […]
From 6 April 2015 employers will no longer be required to pay Employers National Insurance on earnings paid up to the upper earnings limit to any employee under the age of 21. This limit currently stands at £41,450 per year. It is not yet clear how this will interact with age discrimination law which prevents […]
There is a tax rule regarding “pool cars”. In simplest terms Pool cars must meet the following conditions: used by more than one employee not ordinarily used by one employee to the exclusion of others not normally kept at or near employees’ homes used only for business journeys – private use is only permitted if […]
If you move out of a house and continue to own it (perhaps to rent it out) then currently the last three years of ownership is normally counted as exempt from capital gains tax. This is the final period exemption for only or main residence relief. This is to be reduced from three years to […]
As a reminder never to open emails or attachments that are not expected see this article published 15 November 2013 by the National Crime Agency. http://nationalcrimeagency.gov.uk/news/256-alert-mass-spamming-event-targeting-uk-computer-users
HMRC have initiated a campaign aimed at chiropodists, psychologists and homeopaths who might not have declared all of their income, offering the standard time-limited disclosure opportunity in which to bring tax affairs up to date. However, the campaign does not cater for doctors and dentists, who were covered by a previous disclosure scheme, nor does […]
When your turnover level reaches the VAT threshold or you apply for voluntary VAT registration Application for registration for VAT is taking at least 3 weeks from the date of application to provide a VAT registration number. Ensure your invoicing procedure takes the date of supply into account when you have a gap between date […]
HMRC have reminded sole trader taxpayers some interesting points: Simplified expenses Fixed rate deductions rather than actual expenses:- business mileage, use of home, private use of business premises. Business mileage – you can claim actual costs and capital allowances or fixed rate per mile for the lifetime of the vehicle. Car 45p first 10,000 […]
Businesses that have incurred VAT in other EU member states should now be thinking about making their claims under the EU VAT refund provisions. VAT incurred during 2012 must be claimed by 30 September 2013 or will be lost. Claims can be made by businesses that: • are VAT registered in the UK; • are […]
Following on from our previous post, HMRC have announced a further four new taskforces whose remit will be to investigate tax evasion in specific commercial and geographical sectors. The new taskforces will investigate the following sectors and regions: Construction industry in London (expecting to raise £3 million) Security guards, bouncers and their employers in London […]
HMRC has announced four new taskforces to investigate tax evasion in specific commercial and geographical sectors, bringing together various compliance and enforcement teams for ‘intensive bursts of targeted activity’. The new taskforces are localised and cover the following regions: Holiday industry in Blackpool, Lake District, North Wales, Devon and Cornwall Restaurants in Yorkshire and Humber […]
HMRC have highlighted the contents of their guidance on claiming Gift Aid on donations of goods to charity which are then sold by the charity, which perhaps suggests that the correct procedures have not always been followed. You must get the procedures correct, and as an example Gift Aid applies only to gifts of money […]
These are reviewed each quarter on 1 March, 1 June, 1 September and 1 December. They have shown very little change in recent times, but the new rates from 1 June 2013 do show a reduction in some situations with the previous rates in brackets where a change applies: engine size petrol diesel LPG 1,400 […]
This has always been an important distinction, as only furnished lettings entitle you to the valuable annual wear and tear allowance of 10% of the rents. Now it is definitely worth reviewing whether you could show the property is furnished given that the renewals basis for replacing items in commercial or residential properties let unfurnished […]
Please take a look at David’s interview with The Good Folk
We now have a new telephone number: 01865 582064 If you ever have any problems getting through to us, please let us know.
In the last tax year 2012/13 it was possible to eliminate CGT on a gain if you reinvested at least the amount of the gain into a risk investment under the Seed Enterprise Investment Scheme (SEIS). This valuable CGT relief has been continued into the current tax year, but with a restriction in that only […]
HMRC have written to 110,000 charities and Community Amateur Sports Clubs (CASCs) informing them that from 22 April 2013 they can enrol to make repayment claims online through the HMRC website. The new service, called Charities Online, is being introduced in response to feedback from charities. They will be able to get information on how […]
There is a gradual withdrawal of the personal allowance if your taxable income exceeds £100,000. This is via a reduction of £1 of allowance for every £2 of excess taxable income. For 2013/14 Taxable income Marginal rate £100,000 to £118,880 60% £118,881 to £149,999 40% £150,000 + 45% For 2014/15 Taxable income Marginal rate £100,000 […]
You may be interested in applying for a grant from http://www.sustainableroutes.co.uk/. It is an easy process and they are offering match funded grants of up to £1,000. You must apply and get acceptance before spending the money, and the expenditure must be designed to reduce travel, thereby reducing the carbon pollution associated with travel.
Green Giving is looking for to fund environmentally friendly projects. They are offering grants of up to £1,000 for small projects and organisations. They want you to overwhelm them with your applications, so get inspired and let them know about your green project idea! You must be a non-profit organisation to qualify. Contact Email: greengrants@greeninsurancecompany.co.uk […]
Our notes on the 2013 Budget As widely publicised, the tax free personal allowance for most UK taxpayers will increase to £10,000 from 6 April 2014 (up 5.9% from £9440 in 2013/14). Also the VAT registration threshold increases to £79,000 from 1 April 2013 (was £77,000). Also starting from April 2014 employers will be exempt […]
A recent tax case (J P Whitter (Waterwell Engineers) Ltd TC2316) found in favour of the tax payer. HMRC had cancelled the company’s CIS gross payments status due to compliance failures including late payments. The First-tier Tribunal found that HMRC had discretion to not cancel the gross payment status even where there was no reasonable […]
The Small Charitable Donations Bill received royal assent on 19 December 2012. This implements the Gift Aid Small Donations Scheme. From 6 April 2013 eligible charities and Community Amateur Sports Clubs will be able to claim Gift Aid style top-up payments on small cash donations without requiring the donor to provide a Gift Aid declaration. […]
SEIS provides tax incentives to investors taking up new equity investment in trading companies that have been trading for two years or less. There are very detailed rules around SEIS and many ways in which HMRC can deny relief. If you think SEIS may be suitable for you or your company, please contact us to […]
AIA allows the company 100% tax relief in the first year that capital equipment has been purchased. The initial limit was £50,000 The limit was increased in April 2010 to £100,000 The limit was reduced in April 2012 to £25,000 The limit is now to be increased from 1 January 2013 to £250,000 If you […]
From 7 January 2013 child benefit for those with income of £50,000 or above will be reduced or withdrawn. For this purpose “income” is all taxable income, less any charity donations and less any gross pension. This figure cannot be reliably calculated until after the end of the tax year. For couples, the relevant income […]
When you send a payment to HMRC for your tax and national insurance on payroll, you should include a reference number which tells HMRC who the payment is from and to which month and year the payment relates to. The reference number consists of your account reference number which you will have received when registering […]
All Green Accountancy clients are entitled to two free phone calls to: Complementary Employment Law and Health and Safety Advice Line Contact: Steve Killick Phone: 0161 827 9915 ext. 6891 Email: steve.killick@peninsula-uk.com Nick Babington Phone: 07896 036 993 Email: nick.babington@peninsula-uk.com
The Patent Box allows companies to elect to apply a 10 percent rate of corporation tax from 1 April 2013 to all profits attributable to qualifying patents, whether paid separately as royalties or embedded in the sales price of products. The regime will also apply to other qualifying intellectual property rights such as regulatory data […]
VACANCY NOW FILLED – THANK YOU FOR ALL INTERESTED RESPONSES Due to our continued success and growth we have a further vacancy for a qualified accountant. This managerial role is varied and technically interesting. The role includes study support for the CTA exams. If you are interested in this vacancy please download the […]
In general VAT rules the input VAT on customer entertainment is not reclaimable by the company. However, you should note that if customer entertainment is relating to overseas customers, and is reasonable, then the input VAT is reclaimable.
The cost of hiring a room to entertain customers or prospects is normally not tax deductible. However, if there was a presentation involved (HMRC suggest that photographic evidence is obtained) then the cost of the hire of the room become tax deductible. The cost of any food and drink provided during this entertainment remains non […]
We have a job vacancy for a Computer Programmer (Part Time) The closing date for applications has now past – thank you to all interested responses. Details can be viewed here: [download id=”10″]
The Feed-in Tariffs (FITs) scheme was introduced on 1 April 2010, under powers in the Energy Act 2008. There are three financial benefits from FITs: Generation tariff – the electricity supplier of your choice will pay you for each unit (kilowatt) of electricity you generate. Export tariff – if you generate electricity that you don’t […]
We are looking for someone to help us with IT issues. We think we currently need about three to five days of work. We will be happy to pay market rates for an appropriate freelancer or IT contractor. The work will include specifying and setting up servers, desktop machines and networks; some programming; database work […]
A long running case based on whether individuals were self employed or employed has now been decided by the Supreme Court. In Autoclenz Ltd v Belcher & Ors [2011] UKSC 41 it was found that individuals providing work were workers and not self employed. In this case the reality of the situation has been found […]
VACANCY NOW FILLED – THANK YOU FOR ALL INTERESTED RESPONSES
We are holding a brand new event at Hub Kings Cross on Wednesday 24 August at 12.30pm. This is a talk by David Wilsdon about the following topics: 1 Sole traders and Partnerships 2 LLPs 3 Limited Companies 4 Limited by Guarantee (aka “not for profit”) 5 Community Interest Companies (CICs) 6 Charities 7 Industrial […]
We are collecting old mobile phones for recycling. Each phone that we collect will pay for one tree to be planted at a new woodland called OLLY-Wood. Land owners on Boars Hill, Oxford have kindly agreed to establish the OLLY-Wood on their land. The scheme is being run by FoneTwigs. Their charity partners are: Help […]
Green Accountancy took part in the UKCIP event. UKCIP funded by Oxfordshire County Council, developed an Oxfordshire-based project to engage SMEs in adaptation. Early work scoped the vulnerability of Oxfordshire SMEs, and the second phase worked with local accountants to raise awareness about adaptation to climate change to local SMEs. It also incorporated a trial […]
The GA SEVENS training session series is now well under way. The sessions so far have been held at Hub Kings Cross in London. Future events will be at other locations in London and Oxford. The sessions held so far have been Tax and Accounting part 1. These were held on 8 December 2010 and […]
As part of our new website we have moved the login for the online bookkeeping. This is now at the foot of the right hand column of our website. Nothing else has changed regarding the online bookkeeping system.
Welcome to our new website. This is the home page which will contain new posts. New pages will be added and information updated on a regular basis. We have also implemented a user registration process which is simple to use. Just click on register on the right hand panel and enter a user name and […]
We are not yet live with our new website, but hopefully not too far off. Peter Smith has made great efforts to ensure we will be live this week. Thank you Peter. We hope that the new website will bring us closer to our clients and contacts. Particularly that we will be able to provide […]