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

Diary of main tax events June/July 2020

Please find below the diary of main tax events for June/July 2020.

Date What’s Due
01/06 Corporation tax for year to 31/8/19 (unless pay quarterly)
19/06 PAYE & NIC deductions, and CIS return and tax, for month to 5/6/20 (due 22/06 if you pay electronically)
01/07 Corporation tax for year to 30/9/19 (unless pay quarterly)
05/07 Last date for agreeing PAYE settlement agreements for 2019/20 employee benefits
05/07 Deadline for agents and tenants to submit returns of rent paid to non-resident landlords and tax deducted for 2019/20
06/07 Deadline for forms P11D and P11D(b) for 2019/20 tax year. Also deadline for notifying HMRC of shares and options awarded to employees.
19/07 PAYE & NIC deductions, and CIS return and tax, for month to 5/7/20 (due 22/07 if you pay electronically)
31/7 50% payment on account of 2020/21 tax liability due. However, due to Covid-19 taxpayers may defer the payment until 31/1/21 without incurring interest and penalties.

Need more information?

If you need any guidance and help with the tax events above for June/July 2020 please do not hesitate to get in touch. We offer a wide range of services which are unique to your business! 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 News • COVID-19 • Covid-19 Hub • Startups 0 Comments

    Covid-19: Keeping your finances on track

    During the Coronavirus pandemic, it is crucial for any business to  keep their finances on track. Here our team of chartered accountants have some ways you can do this. If you need any further advice, please do not hesitate to get in touch with our team. HMRC have provided lots of resources and help available to your business and we urge you to keep up-to-date with all of the new information they provide.

    Look at your budget

    Even if you can work at home without too much disruption and can expect your usual salary to come in, there could be some extra costs to consider.  Online shopping has become very simple, and ordering essential supplies and food is easy – and possibly too easy. You might think you’re spending less because you’re not going out for meals and entertainment right now. But you may be spending more than you realise.

    Delivery services make it easy to buy practically anything online, from food to garden equipment. Are you or your family ordering without considering the costs? What about the costs of services, like gym membership, that you cannot use?

    See what options you have for recurring charges or fees you’ve already paid.

    Look at your emergency fund

    Your stay-at-home budget should be less than what you’re used to spending in a typical month. With no travel costs, restaurant or bar bills, theatre tickets or other expenses, costs could be well down. The best use for the spare cash is to build up your emergency savings account. Even when interest rates are low, we recommend that you have enough money set aside to cover six months of your usual living expenses. That reserve could be critical as this crisis unfolds, especially if there’s a sudden emergency such as a vital home repair.

    Once the crisis is over, a healthy emergency fund is well worth having, and you can use it as part of your longer term financial planning.

    Look at the future

    With your immediate needs sorted, it’s time to look at those financial plans. Getting them back on track may mean using some of the extra cash you are building up in your emergency fund – but you will probably need to take some more steps to get all your financial plans moving in the right direction again.

    Need more information?

    Keeping your finances on track is crucial in surviving the pandemic. We offer a wide range of services and 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 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 • Business News • COVID-19 • Covid-19 Hub 0 Comments

      Covid-19: More details on self-employed grant scheme

      Self-employed Grant Scheme:

      Like the CJRS scheme for employers the initial HMRC guidance on the grant scheme to support the self-employed and members in partnerships was also very sketchy.

      In outline the Self-Employed Income Support Scheme (SEISS) allows the self-employed to claim 80% of their average profits for the period up to 2018/19, limited to £2,500 a month, initially for a three-month period.

      Like CJRS there are lots of conditions that need to be satisfied such as being self-employed in 2018/19 and continuing to trade in 2019/20 and 2020/21, or would be doing so if it the business had not been impacted by coronavirus.

      At the time of writing we are still awaiting details of the claims process but HMRC have recently updated their guidance on the calculation of “self-employed profits” and “total income”.

      In order to be able to make a successful claim the self-employed profits in 2018/19 must not exceed £50,000 and must be more than 50% of the individual’s total income. If that test is not met, then the same £50,000 and 50% tests are applied to average profits and total income over the three years (or shorter period) to 5 April 2019.

      We can of course help you determine whether you are eligible and assist you with your claim if required.

      Self-Employed Profits

      HMRC guidance has defined self-employed profits for the purposes of SEISS as turnover for the business less allowable business expenses and capital expenditure. This figure may not be the same figure as that originally declared in your self- assessment tax returns. If the calculation results in a trading loss the amount that is averaged is not nil for that year but the negative result.

      Total income

      HMRC state that total income for the purposes of the 50% test would be taxable income from all sources for the relevant year such as property income, bank interest, employment income and social security income.

      There are still several unknowns but at least we now have bit more clarity. Unlike the furlough scheme mentioned earlier the self-employed can continue trading, albeit at a reduced level.

      We understand that HMRC will open the SEISS claims portal in early May and the grants will be paid to self-employed individuals in early June 2020.

      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 Business Advice • Business News • COVID-19 • Covid-19 Hub 0 Comments

        Small businesses eligible for £50,000 ‘bounce-back loans’ under new government scheme

        Covid-19 new government scheme: Chancellor Rishi Sunak has announced an offer of 100 per cent guarantees on “bounceback loans” of up to £50,000 for the smallest businesses affected by the coronavirus outbreak. Businesses will be able to borrow between £2,000 and £50,000 and access the cash within days. The loans will be easy to apply for through a short, standardised online application. Loans will be interest free for the first 12 months.

        Please follow this link to find out more. We will continue to update clients when we receive new information.

        Notes

        Our Covid-19 support schemes have provided over £15 billion for business in just a few weeks. We’ve put in place:

        • our job retention scheme – more than 500,000 claims have been made to the value of £4.5 billion
        • business grants – half a million business properties have benefitted from £6 billion of business grants
        • the Coronavirus Business Interruption Loan Scheme – with over 20,000 loans
        • the Covid Corporate Financing Facility, which has provided over £14 billion for larger firms
        • generous VAT deferrals worth billions of pounds
        • scrapped businesses rates
        • covering the cost of statutory sick pay
        • the new scheme will run alongside the existing Coronavirus Business Interruption Loan Scheme (CBILS) and Coronavirus Large Business Interruption Loan Scheme (CLBILS)
        • We are also taking additional steps on the Coronavirus Business Interruption Loan Scheme (CBILS) to ensure that lenders have the confidence they need to process finance applications quickly, including removing the per lender portfolio cap for the government guarantee, and changing the viability tests that so that all banks will need to assess is whether a business was viable pre COVID-19

        Need more information?

        During the Coronavirus, we understand you need extra support. 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 Business Advice • COVID-19 • Covid-19 Hub 0 Comments

          Cocooning a business

          Covid-19: Cocooning a business

          COCOONING A BUSINESS

          Some businesses are going to need to “mothball” or “cocoon” until the Government considers the Pandemic to be of lower risk and trading conditions improve.

          There are four principles to follow:

          1. Prioritise – Focus attention on the biggest cost items and those critical to the future of the business. These are the ones which need attention first and will have the biggest impact (e.g. payroll, rent). Once these are managed attention can be turned to the smaller / less critical costs.
          2. Communicate – Ensure that relevant stakeholders are being informed of what is going on. Remember to be honest and upfront (even if delivering bad news) as this will help maintain relations with stakeholders.
          3. Negotiate – These are unprecedented times and every business and person will have been impacted by Covid-19 in some way. This means there are no agreed solutions and the opportunity to negotiate and find novel ways of dealing with problems is likely.
          4. Think long term – Just as important as how you cocoon the business in the first place is thinking about how you unwind what you do in the future. Simply stopping paying creditors is likely to mean there will be a stack of overdue demands when returning the business to operation in the future.  The solution is communicating and trying to find solutions that work for both parties such as incentives, payment in kind etc.

          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 Business News • COVID-19 • Covid-19 Hub 0 Comments

            Client Covid-19 Success story: Nimble Arts Ltd

            Client Covid-19 Success story: Nimble Arts Ltd: During this time it is fantastic to hear from clients who have adapted to the change.

            Nimble Arts offers Creative Holiday clubs for 4-11 year olds. When the pandemic started, Director Catherine was forced to take the difficult decision to stop the holiday clubs.

            It was not long until Nimble Arts opened online with ‘Nimble Adventurers Live’ for any families with 4-11s. It has been a huge success, and Nimble Arts are undoubtedly helping hundreds of families get through this period. You can learn more about the virtual holiday club here.

            We would love to hear more successful stories like this, if any clients would like to share.

            We are in this together and will come out stronger!

            Need more information?

            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 • COVID-19 • Covid-19 Hub • Startups • Tax Advice 0 Comments

              Covid-19: Business Survival

              Covid-19 business survival: The Government has stepped in to provide support to certain areas of the economy but even with this becoming available in the coming weeks, some of us will need advice on how to survive the lock down.

              Here are our thoughts:

              1. Apply for all Government supports if you need them.
              2. Stay strong – the health of you and your family is more important than your business.
              3. Talk to us to help work through forecasts or get the figures needed for the bank.
              4. Keep sane – You can’t control this, relax and keep busy, research, get new skills, look for new technology and above all keep in regular contact with customers, suppliers, friends and family.
              5. Plan for the end of the lock down – think about how you would do things differently in this changed world.

              We cannot know how long this Pandemic will last and what the effects will be on business generally. What we can do is stay focused and committed to rebuilding our businesses.

              Please contact us regarding Government, cash flow and payroll supports. Our business depends on yours and we are all in this together.

              GOVERNMENT SUPPORTS FOR BUSINESSES

              Here is a summary of the main Government supports available:

              • Job Retention Scheme
              • Self-Employment Income Support Scheme
              • Deferral of Vat Payments
              • Extra Time to Pay Your Tax Liabilities
              • Business Rates Relief
              • Small Business Grant Scheme
              • Retail and Hospitality Grant Scheme
              • Business Interruption Loan Scheme
              • Self-employed Deferral Of 31 July Payments on Account
              • Small Employers Can Reclaim 2 Weeks SSP
              • Delays in filing of accounts and help for exporters

              The full range of supports can be found at: https://www.gov.uk/coronavirus/business-support

              Talk to us if you need help with any of the supports available.

              Need more information?

              Our team of chartered accountants are here for you during this time. We  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 COVID-19 • Covid-19 Hub • Tax Advice • Tax News 0 Comments

                Increase in Working Tax Credits

                The government has announced that Working Tax Credits payments will be increased from 6 April 2020. As part of a number of measures to support the country during the COVID-19 pandemic, the basic element of Working Tax Credit has been increased by £1,045 to £3,040 from 6 April 2020 until 5 April 2021.

                The amount a claimant or household will benefit from will depend on their circumstances, including their level of household income. But the increase could mean up to an extra £20 each week. The government is also updating Child Benefit, other tax credits rates and thresholds, and Guardian’s Allowance by 1.7% with effect from 6 April 2020. These increases came into effect on the 6 April, but individual payment dates will vary depending on circumstances. You don’t have to take any action and you will receive any increased payments automatically. A full list of tax credits, child benefit and Guardian’s allowance can be found:

                You can use the tax credits calculator to work out how much you could get.

                Please do get in touch with us if you need any guidance on this or any other matter.

                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 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.

                  Contact us below

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