Author Archives: bwmwp

If you are facing an open tax enquiry, a prudent approach to minimise any future interest costs could be to obtain a certificate of tax deposit. Under the Certificate of Tax Deposit scheme an individual can deposit money with HMRC and use it later to pay any future tax liabilities which may arise. Tax liabilities … Continued

Disincorporation relief was introduced from 1 April 2013 and removes certain tax barriers that previously existed when companies transferred from incorporated status to sole trader or partnership status. This relief provides a time-limited opportunity for small companies and their shareholders to make a joint claim for qualifying business assets to be transferred from the company … Continued

Earlier this year, HMRC announced that the penalties for late returns of payroll information (RTI) would start from October 2014 instead of April 2014. If you operate your own payroll, make sure that your RTI submissions are made on time to avoid an automatic penalty. Remember that the RTI submission should normally be made on … Continued

The National Insurance Contributions Bill was published on 18 July 2014. It will introduce legislation (which was consulted on last year) to reform the collection of Class 2 NICs by enabling the self-employed to pay their Class 2 contributions through self-assessment alongside their income tax and Class 4 NICs. Liability for Class 2 NICs will … Continued

Following a recent case in front of the Upper Tier Tax Tribunal involving a doctor with a private practice (Dr Samadian), HMRC are applying the rules for business travel much more strictly. The “wholly and exclusive” principle states that where there is both a business and a personal reason or benefit in meeting an expense, … Continued

Many employees and employers find the current tax rules for dealing with travelling and subsistence claims difficult to understand. This is an area that the Office of Tax Simplification is seeking to make more comprehensible.  Consequently, the treasury are consulting on possible changes to the rules, and the way that such expenses are reported. The … Continued

Anyone with an open enquiry (or appeal) concerning a tax avoidance scheme may be issued with follower notices and accelerated payment notices under new legislation in Finance Act 2014. It is understood that 43,000 payment notices will be issued by HMRC (33,000 to individuals and 10,000 to corporates) and will cover about £7.1 billion of … Continued