Readers will be interested, and gratified to hear that HMRC will always treat you as honest. The following is an extract from HMRC’s “Your Charter” which states: Your rights - What you can expect from us: Respect you Help and support you to get things right Treat you as honest Treat you even-handedly Be professional and act with integrity Tackle people who deliberately break the rules...
Tax Diary September/October 2014
1 September 2014 - Due date for Corporation Tax due for the year ended 30 November 2013. 19 September 2014 - PAYE and NIC deductions due for month ended 5 September 2014. (If you pay your tax electronically the due date is 22 September 2014.) 19 September 2014 - Filing deadline for the CIS300 monthly return for the month ended 5 September...
HMRC business record checks
According to insurers PFP, HMRC business record checks are on the increase. In the tax year 2013/14 HMRC checked 5,515 sets of business records compared to just 3,431 checks in 2011/12, an increase of 60%. Interestingly, of the records checked 73% were found to have no significant errors. Since November 2012, HMRC have adopted a fresh approach to their business record check...
Employment Allowance uptake
Data released by HM Treasury at the end of July reveals that 725,000 employers across the UK are benefitting from the Employment Allowance. The allowance reduces the amount of employer National Insurance by up to £2,000 in a full tax year. The deduction is automatically made by most payroll software products including HMRC’s online service. It is estimated that up to 1.25...
Entrepreneurs get greater freedom to start a business from their home
Budding entrepreneurs will be given greater freedom to start and grow a business from their home under new measures announced by the government on 15 August 2014. Around 70% of new businesses start off in the home, and they contribute £300 billion to the economy. As part of its long-term economic plan to back businesses, the government wants to make it...
Transfer tax allowances to your spouse
The Finance Act 2014 has introduced limited flexibility for married couples, or couples in a civil partnership, to transfer a part of their personal allowance to their partner. The amounts involved are not substantial and there are a number of conditions that must be met. These include: The spouse receiving the transferred allowance must not be a higher rate tax payer. The receiving...
Car clubs get cash boost from Department of Transport
Car clubs are set to receive a £500,000 boost to drive forward their work, Transport Minister Baroness Kramer has announced. As part of a wider visit to Norfolk, 28 July 2014, the minister announced that the Department for Transport will provide the funding to support two pilot programmes which will promote much wider access to car clubs. Baroness Kramer said: “Car clubs...
When should you contact HMRC?
A cynic might say that you are required to contact HMRC when you are likely to owe them more money. Realistically, the opposite is also true: you should advise HMRC of any changes that could reduce your tax position. The following notes are extracted from HMRC’s website and set out their requirements. You'll need to tell HMRC if you: get married or...
UK economy recovers
Its official, in the second quarter April – June 2014 the UK gross domestic product grew by 0.8% and is now bigger than it was before the financial crisis that began six years ago. The state of the economy always attracts politically biased commentary, but reading between the lines it would appear that we are making steady progress. Interestingly, most of the...
Why management accounts are helpful
Management accounts, produced on a regular basis, will give you and your professional advisor the information you need to manage your business and keep your planned profit growth on-track. They also provide the basic data that you will need to minimise your tax payments and keep your business on track to produce sustainable profits. Additionally, management accounts can be used...