Owners and directors commonly ask: “What’s the best way to extract profits from my limited company?” There isn’t a single answer – the right approach depends on your company’s profits, your personal tax position and whether you want to preserve company cash for growth. We find that the best answer is often a carefully planned […]
HMRC have been sending the following SMS message to some private hire drivers recently: Our records show you may have undeclared income as a driver who carries paying passengers. To tell us about this income go to GOV.UK and search ‘make a voluntary disclosure’. If you have already contacted HMRC, please ignore this message. What’s […]
From the 2022/23 tax year, the rate of National Insurance will increase by 1.25% for self-employed and employed individuals. The increase is due to extra funding required for health and social care.
The deadline for deferred VAT is fast approaching. Find out what your options are when you need to take action to avoid penatlies/interest.
Our clients often come to us and ask: what is the best option for leasing a car? There are two roads to take – lease the car personally or lease it via your limited company. Each option has its own set of benefits and drawbacks. Ultimately, the answer really depends on your own individual circumstances […]
Guidance for those looking to benefit from the stamp duty reduction One of the key measures announced by the Chancellor in July was the reduction in Stamp Duty Land Tax (SDLT) on residential property. The purpose of the reduction is to boost the housing market and support the construction industry. We are often asked by […]
With applications for the second Self-Employed Income Support grant now closed, The Chancellor has announced an extension to the scheme via a third and fourth grant. We now know that the third grant will be calculated as 80% of trading profits, capped at £7,500 and will cover the period November 2020-January 2021. For reference, the […]
In the 2019/20 and 2020/21 tax years, UK Companies must pay Corporation Tax on taxable profits at a rate of 19%. This means that a company with £50,000 of taxable profits will pay £9,500 in Corporation Tax. The UK tax system is known to be quite complex, so finding ways to legitimately reduce your Corporation […]
There will be further changes to the Coronavirus Job Retention Scheme (CJRS) before it comes to an end on 31st October 2020. The changes have been made to phase the scheme out before its closure. Find out more in our video below: Flexible furlough detail: From July employers can start to bring back staff for as many working […]
The government has announced financial help for the Self-Employed. Find out if you are eligible, how much you can get and how to apply.
In this extended post we dig into the facts and the finer details of the job retention scheme and how the furlough process will work.
Cash is king! Find out to defer VAT and how to obtain cash grants.
Has applying for Universal Credit left you confused and frustrated? Take a look at our guide for some useful tips to help the process go a bit smoother.
During the budget, the Chancellor announced tax rates and allowances for the new tax year – which starts on April 6th.
The budget is one of the most eagerly anticipated annual announcement for accountants and their clients alike. It can act as a key planning tool for the finances of individuals and businesses.
Get closer to the intricacies of company loans.
HMRC has announced that it intends to withdraw blank P60 & P45 forms from tax year 2020-21 onwards. This is part of its digitisation of communications project and should be applauded for being environmentally friendly. Requests for P60 forms can be made until June 2020 whereas P45 forms will be withdrawn indefinitely in April 2020. […]
Entrepreneurs’ relief is a form of tax relief that could be available for individuals with chargeable gains. If elgible, gains would be taxed at 10%.
Entrepreneurs’ relief is a form of tax relief that could be available for individuals with chargeable gains. If elgible, gains would be taxed at 10%.
If you sell a UK based residential property after 1st April 2020, you will be subject to the new rules UPDATE: HMRC announced it would not charge late filing penalties on reports of CGT on disposals of UK residential property by UK residents made by 31 July 2020. This will allow individuals a period of […]
Fraudsters frequently send phishing text messages claiming to be from HMRC (see below) detailing that you are eligible for a tax refund.
The following is for guidance purposes only and should not to be taken as exhaustive. Register your business for importingMost businesses will require an EORI number to import goods into the UK. You do not have to be VAT registered to obtain an EORI number. Decide who will make customs declarations and transport the goodsMost […]
If you’re registered for VAT, your VAT return must include figures for EU purchases and sales, but you might also be required to provide EC sales list or intrastate reports. When do these apply?
Limited companies, must include specific information such as the company’s name on all company stationery, documents, publicity and letters. Companies House regulations say that the company’s letters must have the following contents: The company’s registered name This is the name as it appears on the certificate of incorporation and includes the word “Ltd” or “Limited”. […]
Tax planning plays a key role when extracting profits from a company, therefore, careful thought should be given to a strategy which is tax efficient. Salaries This is the simplest and obvious way of extracting money from the company. By taking a salary between the lower earnings limit (£6,136) and the primary threshold limit (£8,632) […]
Tax does not have to be Taxing! Many sellers on Amazon, who are registered for VAT usually register for the Flat Rate Scheme to benefit from the reduced VAT percentage of 7.5% instead of the default 20%. Although the Flat Rate Scheme allows you to pay VAT at a lower rate than the default 20%, […]
Director’s Loan Accounts Transactions between a director and a personal/family company are recorded through the director’s account for accounting purposes. If the director(s) owes the company any money, there will be tax consequences which need to be considered. A tax charge will arise under s455, CTA 2009 where a director’s loan account is over drawn […]
In the event that the UK leaves the EU without a deal – non-UK based Businesses that sell to UK customers with parcel contents of less than £135 or less, will be required to pay import VAT. For the purposes of this legislation, parcels include letters, packages, packets and any other article that could be […]
Keep on top of the tax deadlines and add these dates to your calendar.
After the announcement of MTD for VAT, there was widespread outcry on the administrative and financial burden that it would place on both Accountants and owners of small businesses.It has been six months since MTD for VAT has gone live and we can look back and review the process and share our experiences.