Category: Tax

Chancellor Jeremy Hunt announced several measures in this year’s Autumn Statement in an attempt to plug the £55 billion ‘black hole’ in public finances. The statement, delivered to the House of Commons on 17 November, included several tax threshold freezes and cuts in annual allowances. One of the most important changes was the announcement that … Continued

HMRC is reminding taxpayers to declare their self-employed income support scheme (SEISS) payments in their self-assessment return for the 2021/22 tax year. The Government paid SEISS grants to eligible businesses adversely affected by the Covid-19 pandemic, with over 2.9 million people claiming at least one SEISS payment in the 2021/22 tax year. The grants are … Continued

HMRC has announced that penalties will be issued to those not completing VAT returns through Making Tax Digital (MTD) from 1 November 2022. Anyone who files a VAT return via a non-electric submission will face penalties of up to £400. These changes will apply to VAT customers for accounting periods on or after 1 April … Continued

The additional tax rate has been scrapped completely by the new Chancellor. Kwasi Kwarteng has announced the biggest bundle of tax cuts since 1972 in his first fiscal statement as Chancellor. Income tax, corporation tax and stamp duty make up the majority of the most significant cuts in a bid to promote growth within the … Continued

The Government has announced plans to relax capital gains tax (CGT) rules in divorce settlements, giving spouses and civil partners more time to transfer assets without incurring CGT charges. If the new rules are approved, they will come into effect from 6 April 2023. Newly separated couples are currently given until the end of the … Continued

Self-employed individuals are having difficulties completing their self-assessment tax return, according to a new report commissioned by HMRC. A lot of people have trouble with their tax reporting duties because of “confusing terminology, ambiguity around allowable business expenses and uncertainty transferring figures to HMRC’s system,” according to the report. Undertaken by Kantar on behalf of … Continued

Smaller businesses don’t believe that Making Tax Digital (MTD) applies to them, according to a study carried out by Yonder Consulting for HMRC. While businesses indicated they were aware of MTD for VAT, many still do not understand the process of the scheme and whether their business needs to comply with the rules. In a … Continued

More than half of cryptocurrency investors have limited or no understanding of capital gains tax (CGT) and the associated tax liability on crypto transactions. Understanding of CGT was mixed, with 34% of owners stating they had a good understanding, compared to 37% who knew little or nothing and 22% who were not familiar with it … Continued

People are unprepared and unenthusiastic for Making Tax Digital (MTD), according to a survey commissioned by HMRC. Global market research group Ipsos recently released data suggesting “awareness of MTD in general, and MTD for income tax self-assessment (ITSA) specifically was low”. MTD ITSA will require people with annual business or property income above £10,000 to … Continued

Employees who claimed tax relief for working from home during the pandemic may no longer qualify in the 2022/23 tax year as HMRC changes its guidance for the scheme. During the COVID-19 pandemic, people who could do their normal job at home were required to do so at various times and were allowed to apply … Continued