News

HMRC publishes more strange excuses
23/01/2019 - More...
A recent press release by HMRC revealed some of the oddest excuses for submitting a late tax return. The excuses ranged from the sublime to the ridiculous and included: My mother-in-law is a witch and put a curse on me. I’m too short to reach the post box. I was just too busy – my first maid left, my second maid stole from me, and my

Avoid car-fuel benefit charge for 2018-19
23/01/2019 - More...
The easiest way to ensure that no car-fuel benefit charge (for private journeys in a company car) is payable, is to use the advisory fuel rates published by HMRC to repay any private fuel costs to your employer. The advisory fuel rates are intended to reflect actual average fuel costs and are updated quarterly. However, the car-fuel

On your bike – Cycle to Work schemes
23/01/2019 - More...
There are special rules involving bicycles usually referred to as 'Cycle to Work' arrangements. The Cycle to Work scheme was introduced almost 20 years ago to help promote the use of healthy ways to commute to work using an environmentally friendly mode of transport. Employers of all sizes across the public, private and voluntary

Lifetime transfers where estate of another individual is increased
23/01/2019 - More...
Most gifts made during a person's life are not subject to tax at the time of the gift. These lifetime transfers are known as 'potentially exempt transfers' or 'PETs'. These gifts or transfers achieve their potential of becoming exempt if the taxpayer survives for more than seven years after making the gift. If the taxpayer dies within 3

Changes to lettings relief and other exemptions April 2020
23/01/2019 - More...
Two changes to the way Private Residence Relief works are due to come into effect from April 2020. These changes could reduce the amount of CGT relief available on the sale of a private residence. The changes are: Home owners that let all or part of their house may not benefit from the full Private Residence Relief, but can benefit

CGT relief for two dwellings for the same period
23/01/2019 - More...
As a general rule, there is no Capital Gains Tax (CGT) on a property which has been used wholly as a main family residence. This relief from CGT is commonly known as Private Residence Relief. Conversely, an investment property that has never been used as a main residence will not qualify. It is not uncommon for taxpayers to own more

Welsh rates of Income Tax
23/01/2019 - More...
The Welsh Government has confirmed that the proposed Welsh Government Budget has been ratified and that the new Welsh rates of Income Tax (WRIT) will be set at 10p for 2019-20. This means that the rates of Income Tax paid by Welsh taxpayers will continue to be the same as those paid by English and Northern Irish taxpayers when the WRIT is

Auto-enrolment qualifying earnings band figures for tax year 2019/20 confirmed
22/01/2019 - More...
The draft Automatic Enrolment (Earnings Trigger and Qualifying Earnings Band) Order 2019 has now been published. As expected, it freezes the earnings trigger, which determines when an eligible worker is entitled to be automatically enrolled into a qualifying workplace pension scheme, at £10,000 from 6 April 2019. It also continues to

Statutory payment rates for tax year 2019/20 confirmed
22/01/2019 - More...
The following statutory payment rates are confirmed: The standard weekly rates of Statutory Adoption Pay (SAP), Statutory Paternity Pay (SPP) and Statutory Shared Parental Pay (ShPP) will increase from £145.18 to £148.68 from 1 April 2019. The weekly rate of Statutory Sick Pay (SSP) will increase from £92.05 to £94.25 from 6 April 2019

EU Settlement Scheme fee is to be scrapped
22/01/2019 - More...
The Prime Minister has announced in a speech to the House of Commons that the £65 fee for applications made by EU citizens under the EU Settlement Scheme is to be waived. The scheme is due to be rolled out in full on 30 March 2019 and at that stage there will be no fee charged. Currently, the scheme is in a public pilot test phase

Don’t overclaim for equipment purchases
16/01/2019 - More...
You can use the Annual Investment Allowance (AIA) to claim a very generous 100% first year tax relief for qualifying expenditure on plant and machinery. The allowance is available for most assets purchased by a business but does not apply to cars. The AIA was set at £200,000 per calendar year for all qualifying expenditure on or after 1

Reducing payments on account
16/01/2019 - More...
Taxpayers are usually required to pay their Income Tax liabilities in three instalments each year. The first two payments are due on: 31 January during the tax year e.g. for 2018-19 the first payment on account is due on 31 January 2019. 31 July following the tax year e.g. for 2018-19 the second payment on account is due on 31 July

Could you claim the Marriage Allowance?
16/01/2019 - More...
If you or your partner are a low earner or not working, then you may be eligible for the marriage allowance. The marriage allowance allows lower earning couples to share part of their personal tax-free allowance. The marriage allowance (MA) is available to married couples and those in a civil partnership where a spouse or civil partner

Carry back charitable contributions
16/01/2019 - More...
Donations to charity over the course of a tax year can add up and taxpayers must ensure they keep a proper record of all donations to backup tax return entries. Donations that are made through the Gift Aid scheme allow for the recipient charity to claim 25p worth of tax relief on every pound donated. Higher rate and additional rate

Remaining age related tax allowances
16/01/2019 - More...
Most age related tax allowances have been phased out. However, the Married Couple's Allowance (MCA) is available to elderly married couples or those in a civil partnership where at least one member of the couple were born before 6 April 1935. The allowance provides for tax relief by deducting 10% of the allowance from the amount of tax

Tax if clients leave the UK to live abroad
16/01/2019 - More...
The P85 form should be completed by individuals or their agents to advise HMRC that have left the UK to live or are going to work abroad for at least one full tax year. The completion of the P85 form will ensure that an individual leaving the UK can claim any tax refund they are entitled to and will also help HMRC decide how an

Automatic enrolment for the self-employed?
09/01/2019 - More...
The government has confirmed that they are to examine a number of different approaches to help encourage the self-employed to save for their retirement. The success of automatic enrolment for pension savings for the employed has helped highlight that pension savings for the self-employed are lagging behind those achieved for the employed.

New 'global' pound coin
09/01/2019 - More...
HM Treasury has confirmed that the £1 coin will be going global. This announcement means that the UK’s Overseas Territories and Crown Dependencies will be able to design and mint their own versions of the 12-sided £1 coin replacing the older coins. The coins are expected to feature images celebrating the heritage of these territories,

Check if your Holiday let property is qualifying
09/01/2019 - More...
The Furnished Holiday Let (FHL) rules, allow holiday lettings of properties that meet certain conditions to be treated as a trade for some specific tax purposes. In order to qualify as a furnished holiday letting, the following criteria need to be met: The property must be let on a commercial basis with a view to the realisation of

Register a company and register for tax
09/01/2019 - More...
A new one-stop service to register a company and register for tax at the same time has been used by more than 200,000 businesses since it was introduced. The introduction of the Streamlined Company Registration Service was announced as part of the Small Business, Enterprise and Employment Act 2015 to help reduce administrative burdens and