By Katie Business Advice • Business News • COVID-19 • Covid-19 Hub • Startups 0 Comments

Guidance for Clients: Coronavirus

As the coronavirus outbreak continues to spread throughout the UK, we have provided some information below which we hope are useful to your business. In these uncertain times we wanted to reach out to all our clients to let you know we are here to offer support and guidance over the next few months.

We are working hard to ensure we can eliminate the risk as much as possible. As many clients are aware, we have now installed a hand sanitizer to the wall outside of the front door; we ask all clients and staff to use this upon entering. As always, we offer online meetings and TeamViewer to work with you remotely. We are also regularly disinfecting all surface areas and have put into place plans for staff to work remotely if it is required. We thank you for your cooperation during this time and we are available at all times for any questions you may have regarding this matter.

The Chancellor has set out a package of temporary, timely and targeted measures to support public services, people and businesses through this period of disruption caused by COVID-19.

This includes a package of measures to support businesses including:
  • a statutory sick pay relief package for SMEs
  • a Business Rate Relief for small businesses and pubs small business grant funding of £3,000 for all business in receipt of Small Business Rates Relief (SBRR) and Rural Rates Relief
  • the Coronavirus Business Interruption Loan Scheme to support long-term viable businesses who may need to respond to cash-flow pressures by seeking additional finance
  • the HMRC Time To Pay Scheme    Read more… 

Need more information?

If you are concerned about being able to pay your tax due to COVID-19, please call HMRC’s dedicated helpline on 0800 0159 559.


Keep your eye on Government advice

Our team of chartered accountants understand this difficult time and are here for you and your business.  If you want to speak to us at any time  do hesitate to contact us. For more information please do hesitate to contact us on 0161 962 1855. Alternatively you can email us using the form below and we will contact you as soon as possible.

Our fantastic team at A&C Chartered Accountants are here to help.

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    By Katie Tax Advice • Tax News 0 Comments

    Diary of main tax events March / April 2020

    Please find the Diary of main tax events March / April 2020.

    Date What’s Due
    1/03 Corporation tax payment for year to 31/5/19 (unless quarterly instalments apply)
    19/03 PAYE & NIC deductions, and CIS return and tax, for month to 5/03/20 (due 22/03 if you pay electronically)
    1/04 Corporation tax payment for year to 30/6/20 (unless quarterly instalments apply)
    5/04 End of 2019/20 tax year, Many tax actions need to be taken by this date (see above).
    19/04 PAYE & NIC deductions, and CIS return and tax, for month to 5/04/20 (due 22/04 if you pay electronically)

    Need more information?

    We hope you have found the diary of main tax events March / April 2020 useful. If you need any guidance and support on meeting these deadlines, please do not hesitate to get in touch with our team. Our team work hard to ensure they create smart and effective tax-efficient solutions for start-ups to optimise growth and help them succeed. If you want to learn more about how the team can help or simply want some start-up advice from a trusted accountant do hesitate to contact us. For more information please do hesitate to contact us on 0161 962 1855. Alternatively you can email us using the form below and we will contact you as soon as possible.

    Our fantastic team at A&C Chartered Accountants are here to help.

    Contact us below

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      By Katie Business Advice • Tax Advice 0 Comments

      Buy new equipment before 6 April?

      Now might be the time to think about new equipment for your company. Your business year-end, not 5 April, is relevant for capital allowances purposes. If however you are running a business and making up accounts to 31 March or 5 April you should consider buying plant and machinery to take advantage of the £1 million Annual Investment Allowance (AIA).

      The AIA provides a 100% tax write-off for equipment used in your business. This tax relief extends to fixtures and fittings within business premises such as electrical, water and heating systems.

      AIA does not apply to motor cars but there is a special 100% tax relief if you buy a new car that emits no more than 50g CO2 per kilometre.

      Need more information?

      If you need any more guidance on this subject matter please do not hesitate to contact our team of chartered accountants. We offer a wide range of services which are unique to your business and can work with you to help make your business tax efficient. Our team of chartered accountants have a wealth of experience in a broad range of sectors, from construction and property to the charity sector. Our team work hard to ensure they create smart and effective tax-efficient solutions for start-ups to optimise growth and help them succeed. If you want to learn more about how the team can help or simply want some start-up advice from a trusted accountant do hesitate to contact us. For more information please do hesitate to contact us on 0161 962 1855. Alternatively you can email us using the form below and we will contact you as soon as possible.

      Our fantastic team at A&C Chartered Accountants are here to help.

      Contact us below

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        By Katie Business Advice • Tax Advice 0 Comments

        Consider other tax efficient investments

        If you are looking for tax efficient investments opportunities, have you considered the Enterprise Investment Scheme (EIS)? These investments in certain qualifying companies allow you to set off 30% of the amount invested against your tax bill as well as the ability to defer capital gains tax (CGT) until the shares are sold.

        An even more generous tax break is available for investment in a qualifying Seed EIS company where income tax relief at 50 per cent is available and in addition it is possible to obtain relief against your 2019/20 capital gains. Shares in EIS and Seed EIS companies are risky investments and you should seek specialist advice before investing.

        30% income tax relief is also available by investing in a Venture Capital Trust or by investing in a qualifying Social Enterprise.

        Need more information?

        If you need further guidance on tax efficient investments, please do not hesitate to get in touch with our team. We offer a wide range of services which are unique to your businesses who are just getting going! Our team of chartered accountants have a wealth of experience in a broad range of sectors, from construction and property to the charity sector. Our team work hard to ensure they create smart and effective tax-efficient solutions for start-ups to optimise growth and help them succeed. If you want to learn more about how the team can help or simply want some start-up advice from a trusted accountant do hesitate to contact us. For more information please do hesitate to contact us on 0161 962 1855. Alternatively you can email us using the form below and we will contact you as soon as possible.

        Our fantastic team at A&C Chartered Accountants are here to help.

        Contact us below

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          By Katie Tax Advice • Tax News 0 Comments

          Have you used your 2019/20 ISA allowance?

          Your maximum annual investment in ISAs for 2019/20 is £20,000.  Your investment needs to be made before 6 April 2020.  In addition, have you thought about investing for your children or grandchildren by setting up a Junior ISA? In the 2019/20 tax year, you can invest £4,368 into a Junior ISA for any child under 18.

          What is an ISA?

          It’s a savings or investment account you never pay tax on. Each tax year, you get an ISA allowance which sets the maximum you can save within the tax-free wrapper from April to April. You must save or invest by 5 April – the end of the tax year – for it to count for that year. Crucially, any unused allowance doesn’t roll over – so if you don’t use it, you lose it – forever. You’ll get a new allowance the next tax year, but won’t be able to contribute anything to the old ISA.

          Need more information?

          If you need help with ISA’s, our team have a wealth of experience in this department. Please do not hesitate to get in touch at any point. The team work hard to ensure they create smart and effective tax-efficient solutions for start-ups to optimise growth and help them succeed. If you want to learn more about how the team can help or simply want some start-up advice from a trusted accountant do hesitate to contact us. For more information please do hesitate to contact us on 0161 962 1855. Alternatively you can email us using the form below and we will contact you as soon as possible.

          Our fantastic team at A&C Chartered Accountants are here to help.

          Contact us below

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            By Katie Tax Advice 0 Comments

            Pension planning before the end of the tax year

            It is important to start pension planning now. For most taxpayers the maximum pension contribution is £40,000 each tax year, although this depends on their earnings. This limit covers both contributions by the individual and their employer.

            Note that the unused allowance for a particular tax year may be carried forward for three years and can be added to the relief for the current year, but then lapses if unused. Hence the unused pension allowance for 2016/17 will lapse on 5 April 2020. Note that under the current rules the net after tax cost of saving £10,000 in a personal pension for a higher rate taxpayer is only £6,000.

            Will pension tax relief change in the budget?

            There are frequent rumours that pension tax relief will change in the Budget. This is even more likely this year as the new Government looks for additional tax revenue to fund its ambitious spending pledges such as the HS2 rail link.

            There is speculation that the restriction for those with income over £150,000 may be removed but at the same time higher rate tax relief may be removed. One suggestion is that tax relief may be “simplified” by limiting relief to say 25% or 30% so that the government would increase a £750 pension saving to £1,000 but with no further tax relief.

            If you have surplus cash you might wish to consider maximising your pension relief before Budget Day.

            Need more information?

            If you need any guidance on pension planning, please do not  hesitate to contact our expert tax team. We offer a wide range of services which are unique to you. Our team work hard to ensure they create smart and effective tax-efficient solutions for start-ups to optimise growth and help them succeed. If you want to learn more about how the team can help or simply want some start-up advice from a trusted accountant do hesitate to contact us. For more information please do hesitate to contact us on 0161 962 1855. Alternatively you can email us using the form below and we will contact you as soon as possible.

            Our fantastic team at A&C Chartered Accountants are here to help.

            Contact us below

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              By Katie Tax Advice • Tax News 0 Comments

              Don’t lose your personal allowance!

              For every £2 that your adjusted net income exceeds £100,000 the £12,500 personal allowance is reduced by £1. Pension contributions and Gift Aid can help to reduce adjusted net income and save tax at an effective rate of 60%.

              The restriction applies between £100,000 and £125,000 adjusted net income. Another way that you could avoid this trap would be to agree with your employer to sacrifice some of your salary in exchange for a tax-free benefit in kind such as an additional pension contribution.

              HMRC have provided more background to the measure below:

              The government has an objective to raise the Personal Allowance to £12,500, and the higher rate threshold to £50,000 by 2020 to 2021.

              This measure will increase the Personal Allowance for 2019 to 2020 to £12,500, and the basic rate limit will be increased to £37,500 for 2019 to 2020. As a result, the higher rate threshold will be £50,000 in 2019 to 2020. This meets the government’s objective one year early.

              Changes to the basic rate limit will apply to non-savings and non-dividend income in England, Wales and Northern Ireland and to savings and dividend income in the UK. Since April 2017, the Scottish Parliament sets the basic rate limit and higher rate threshold for non-savings, non-dividend income for Scotland.

              Need more information?

              We offer a wide range of services which are unique to your businesses who are just getting going! Our team of chartered accountants have a wealth of experience in a broad range of sectors, from construction and property to the charity sector. Our team work hard to ensure they create smart and effective tax-efficient solutions for start-ups to optimise growth and help them succeed. If you want to learn more about how the team can help or simply want some start-up advice from a trusted accountant do hesitate to contact us. For more information please do hesitate to contact us on 0161 962 1855. Alternatively you can email us using the form below and we will contact you as soon as possible.

              Our fantastic team at A&C Chartered Accountants are here to help.

              Contact us below

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                By Katie Tax Advice • Tax News • Wealth Planning 0 Comments

                Year end Capital Gains Tax planning

                Capital Gains Tax

                Have you used your 2019/20 £12,000 annual capital gains exemption? Consider selling shares where the gain is less than £12,000 before 6 April 2020.

                Also, if you have any worthless shares consider a negligible value claim to establish a capital loss. You may even be able to set off that capital loss against your income under certain circumstances which could save tax of up to 45% of the loss.

                What is Capital Gains Tax?

                It is a tax on any profit you made on the disposal of an asset and it applies to most assets when they’re sold. However, There are some exceptions, for example, you don’t pay Capital Gains Tax when you sell your car, unless you use it for business. Other exemptions include your main place of residence if you own your home, and personal possessions sold for £6,000 or under. Also, you won’t have to pay Capital Gains Tax, if you inherit an asset. You will only need to pay CGT when you sell it.

                Capital Gains Tax also applies to assets received as gifts from other people. A valuation needs to be made of how much the asset is valued at when gifted, and if a capital gain arises when you dispose of the asset, tax is applied. There is tax relief available for gifts, so please speak with an accountant for more advice.

                Need more information?

                We offer a wide range of services for businesses who need guidance on Capital Gains Tax. Our team of chartered accountants have a wealth of experience in a broad range of sectors. Our team work hard to ensure they create smart and effective tax-efficient solutions for start-ups to optimise growth and help them succeed. If you want to learn more about how the team can help or simply want some start-up advice from a trusted accountant do hesitate to contact us. For more information please do hesitate to contact us on 0161 962 1855. Alternatively you can email us using the form below and we will contact you as soon as possible.

                Our fantastic team at A&C Chartered Accountants are here to help.

                Contact us below

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                  By Katie Tax Advice • Tax News 0 Comments

                  Further changes to entrepreneurs relief?

                  Another tax relief that may be further restricted or even abolished is CGT entrepreneurs relief.  This relief allows business owners to pay just 10% CGT on the first £10 million of capital gains when they dispose of their business and was tightened up in the Autumn 2018 Budget.

                  When first introduced, the relief only applied to the first £2 million of gains but the limit has been increased twice since 2008 to the current lifetime limit so the relief may be limited again in the March Budget.

                  The Conservatives’ general election manifesto signalled the government would curb or scrap the relief, but it is popular with many Tory MPs and party members.

                  Rishi Sunak is expected to target entrepreneurs’ relief, a tax break which halves the capital gains tax paid when people sell their businesses.

                  The move was attacked by some business leaders who claimed it would hurt entrepreneurship, as well as Conservatives MPs concerned about a backlash against Mr Sunak’s first Budget.

                  Need more information?

                  Our team of chartered accountants have a wealth of experience in a broad range of sectors and work with many entrepreneurs.

                  If you need further guidance on the entrepreneurs relief please do not hesitate to contact the team.

                  Our team work hard to ensure they create smart and effective tax-efficient solutions for start-ups to optimise growth and help them succeed. If you want to learn more about how the team can help or simply want some start-up advice from a trusted accountant do hesitate to contact us. For more information please do hesitate to contact us on 0161 962 1855. Alternatively you can email us using the form below and we will contact you as soon as possible.

                  Our fantastic team at A&C Chartered Accountants are here to help.

                  Contact us below

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