Category: Tax

Don’t lose out, do it today. The Employment Allowance offers businesses and charities a reduction of up to £2,000 in the amount of employer Class 1 National Insurance contributions (NICs) they have to pay every year. You can claim the Employment Allowance after the start of the tax year as long as your business or … Continued

A recent case before the Court of Appeal has determined that a particular company was not allowed tax relief on their sponsorship of a rugby club, as there was “duality of purpose”. The payments in question were posted to “marketing and advertising” in the company’s accounts. In order to secure tax relief against trading profits, … Continued

As advised in earlier newsletters, automatic in-year RTI late filing penalties start on 6 October 2014. However, HM Revenue and Customs have recently announced that the start date for penalties on PAYE schemes that have fewer than 50 employees will now be delayed until 6 March 2015. HMRC have said that the extra time will … Continued

Have you exceeded the maximum annual pension limit? Pension providers will soon be sending annual allowance pension statements for the 2013/14 tax year to all pension scheme members contributing more than £50,000 per year to a pension scheme. The annual allowance has been reduced from £50,000 to £40,000 from 2014/15 onwards. On receipt you will … Continued

From April 2014, employers can help staff with tax-free loans of up to £10,000. No taxable benefit-in-kind arises on interest-free loans where the total of all beneficial loans made to an employee does not exceed £10,000 at any time in the tax year. Such loans can prove beneficial for example in assisting employees to purchase … Continued

HMRC’s Let Property Campaign is aimed at people renting out residential property who have not registered for tax or have not paid enough tax. It is open to all residential property landlords with undeclared income, and there is no date given as yet for when it will close. The Campaign is designed to give people … Continued

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