Background The Structures and Buildings Allowance (“SBA”) for new non-residential structures and buildings, announced by the Chancellor during the 2018 Budget, has recently been formally incorporated into the capital allowances legislation and claims can be backdated. Prior to the legislation being introduced, capital allowances were not available on the construction costs of buildings, although they have been available for plant and machinery that form an integral feature...
Enhanced redundancy cover for parents
The present legal protections against redundancy is to be extended by six months for new mothers returning to work. Parents returning from adoption and shared parental leave will also be protected. The move comes in response to a government consultation which found that new parents continue to face unfair discrimination. Research estimates that up to 54,000 women a year felt they...
Changes to private residence relief
If you rent out all or part of your home this may create a Capital Gains Tax (CGT) charge when you sell the property. Presently, HMRC excludes the last 18 months of your ownership – even if the property is let for this time – when assessing any CGT liability. In a draft of the Finance Bill released last month, HMRC...
Internet giants face tax-hike
It has been confirmed that from April 2020, the government will introduce a new 2% Digital Services Tax (DST) on the revenues of search engines, social media platforms and online marketplaces which derive value from UK users. This is an attempt to tax, in the UK, revenues earned by these social media platforms from customers resident in the UK. At present,...
New homes to have car charge-points
In a bid to accommodate yet more electric vehicles on our roads, the government has launched a consultation aimed at increasing the number of homes with electric car charge-points. In a recent press release they said: “All new-build homes could soon be fitted with an electric car charge-point, the government has outlined today (15 July 2019) in a public consultation on...
Low paid workers to qualify for sick-pay
The government has started a consultation to transform support for sick and disabled staff and remove barriers for employees. The Department for Work and Pensions has recently set out new measures to transform how employers support and retain disabled staff and those with a health condition. Under the new measures the lowest paid employees would be eligible for Statutory Sick Pay (SSP)...
Tax Diary August/September 2019
1 August 2019 - Due date for Corporation Tax due for the year ended 31 October 2018. 19 August 2019 - PAYE and NIC deductions due for month ended 5 August 2019. (If you pay your tax electronically the due date is 22 August 2019) 19 August 2019 - Filing deadline for the CIS300 monthly return for the month ended 5 August...
Muras Matters: VAT Reverse Charge for Building and Construction Services
Background HM Revenue & Customs (HMRC) are introducing new VAT procedures for construction services with effect from 1 October 2019. A VAT reverse charge on certain building and construction services will apply from 1 October 2019, and this will see a major change in the way VAT is collected in the industry. With effect from 1 October 2019, the rules will change between VAT-registered construction businesses. Under...
A new business, have you considered your options?
If you are setting up a new business one of the options, you will need to consider is your business structure. There are two basic choices: Be self-employed, or Incorporate your business, be a limited company. There is a world of difference between the two options. Self-employed Self-employed suggests that you work on your own, and this is certainly one self-employed option, but there are...
Why invest in tax planning?
The way we organise our business and personal financial affairs determines the amount of taxes we pay. Most of us are focussed on outcomes, outcomes that on the face of it increase our profits or income without due regard for the effect these transactions have on our tax position. A classic example is the rule that removes your entitlement to the...