Author Archives: Anna Cummings

Comments Off on UK tax incentive ‘fails to deliver extra R&D spending’

UK tax incentive ‘fails to deliver extra R&D spending’

UK tax incentive ‘fails to deliver extra R&D spending’

The UK’s research and development (R&D) tax credit system is failing to prompt companies to increase spending and could prove a “costly failure”, a report claims.  The Centre for Business Research (CBR) said aggregate business expenditure on R&D in the UK is as much as 15% lower than it was before the scheme was introduced … Continued

Comments Off on OTS considers bringing the end of the tax year forward

OTS considers bringing the end of the tax year forward

OTS considers bringing the end of the tax year forward

The Office of Tax Simplification (OTS) is to explore changing the end of the tax year from 5 April to either 31 March or the end of the calendar year. The OTS published a document last month setting out the scope of a review into the benefits, costs and wider implications of changing the date. … Continued

Comments Off on Sweeping VAT reforms in the EU will affect the UK’s online retailers

Sweeping VAT reforms in the EU will affect the UK’s online retailers

Sweeping VAT reforms in the EU will affect the UK’s online retailers

Retailers that heavily rely on online sales to EU consumers need to comply with VAT reforms, which were introduced on 1 July 2021. The new rules were originally designed to stop an estimated €7 billion in annual VAT fraud by non-EU ecommerce sellers, mainly those in China. But after the UK left the EU at … Continued

Comments Off on Families hit with big bills after believing gifts would not be taxed

Families hit with big bills after believing gifts would not be taxed

Families hit with big bills after believing gifts would not be taxed

Almost 2,000 people who thought they’d reduced the values of their estates by making gifts have seen an inheritance tax break stripped away.  Inheritance tax is charged at 40% on individual estates worth more than £325,000, and this can double for married couples. Other allowances and exemptions are available to increase this threshold or taper … Continued

Comments Off on HMRC seeks to remove VAT repayment supplement

HMRC seeks to remove VAT repayment supplement

HMRC seeks to remove VAT repayment supplement

The 5% VAT repayment supplement is set to be replaced with the 0.5% repayment interest rate for accounting periods beginning on or after 1 April 2022.  VAT repayments are usually made within 30 days of HMRC receiving a business’s VAT return, but the tax authority can enquire into the VAT return before processing the repayment. … Continued

Comments Off on Directors back mandatory climate credential disclosure plan

Directors back mandatory climate credential disclosure plan

Directors back mandatory climate credential disclosure plan

Most large companies and limited liability partnerships (LLPs) back plans to introduce mandatory climate-related financial disclosures, according to a report.  The Government launched a consultation on 24 March 2021, seeking views on a plan to require mandatory climate-related financial disclosures from publicly-quoted companies, large private companies and LLPs. It aims to allow investors to compare … Continued

Comments Off on Employers told to issue childcare voucher reminder

Employers told to issue childcare voucher reminder

Employers told to issue childcare voucher reminder

Employers should remind working parents that they can reduce contributions into the childcare voucher scheme while they work from home.  Since the start of the COVID-19 pandemic, many employees have been working from home and have used less paid childcare due to lockdown restrictions forcing nurseries and after or before-schools clubs to close. Subsequently, HMRC … Continued

Comments Off on Deadline approaches for SME Brexit support grant

Deadline approaches for SME Brexit support grant

Deadline approaches for SME Brexit support grant

Smaller businesses have until the end of the month to apply for grants to help them adapt to new customs and tax rules when trading with the EU. The £20 million SME Brexit Support Fund offers eligible UK traders grants of up to £2,000 to access practical support, including training for new customs processes, rules … Continued