By Katie Tax Advice • Tax News 0 Comments

Dairy of main tax events April/May 2021

Dairy of main tax events April/May 2021

 

Date What’s Due
1/04 Corporation tax payment for year to 30/6/20 (unless quarterly instalments apply)
6/04 2020/21 tax year ended on 5th.  2021/22 tax year begins.

New “off-payroll” working rules start.
19/04 PAYE & NIC deductions, and CIS return and tax, for month to 5/04/21 (due 22/04 if you pay electronically)
1/05 Corporation tax payment for year to 31/7/20 (unless quarterly instalments apply)
19/05 PAYE & NIC deductions, and CIS return and tax, for month to 5/05/21 (due 22/05 if you pay electronically)

Need more information?

Do you need more guidance on the main tax events April/May 2021?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.

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    By Katie Tax Advice • Tax News 0 Comments

    Consultations issued on “tax day” by treasury

    Consultations issued on “tax day” by treasury:

    The Treasury normally issue a bundle of tax consultation documents on Budget Day. This year however they chose to delay the publication until 3 weeks after the Budget. We were expecting the consultation documents to include major changes to CGT and IHT, but it would appear that these have yet again been delayed. The Treasury have accepted a number of recommendations by the Office of Tax Simplification (OTS) on simplifying IHT reporting. From 1 January 2022 over 90 per cent of non-taxpaying estates each year will no longer have to complete IHT forms for deaths when probate is required. The government will also consider introducing a new digital system for IHT and probate reporting.

    Another consultation is seeking views on modernising the tax administration system including changes to the payment dates for those outside PAYE. It would appear that HMRC are reconsidering a possible Pay as You Go system for the self-employed that was originally consulted on in 2016.

    REVIEW OF BUSINESS RATES

    Among the documents published was an interim report on the government’s Fundamental Review of Business Rates, which sets out a summary of responses to last year’s call for evidence. The final report will be published in the Autumn. The government will also legislate to tighten tax rules for second homeowners meaning they can only register for business rates (and business rates relief) if their properties are genuine holiday lets. This will close a loophole that allowed some second homeowners to avoid paying council tax on that property, and some were even claiming coronavirus support grants for their “business”.

    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.

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

      New enhanced loss relief rules may result in extra tax refunds

      New enhanced loss relief rules may result in extra tax refunds:

      In the March Budget it was announced that the normal one year carry back for trading losses would be extended to three years. This means that many businesses that have made losses during the COVID-19 pandemic may be able to obtain a repayment of tax paid in that three-year period. This enhanced carry back applies to unincorporated businesses as well as limited companies and the details are set out in the latest Finance Bill.

      For corporation tax purposes the loss-making accounting period must end between 1 April 2020 and 31 March 2022 to qualify for the three year carry back. For unincorporated businesses, the trading loss must be incurred in 2020/21 or 2021/22.

      For example, if Albion Ltd incurred trading losses of £200,000 in year ended 31 December 2020 having made profits of £50,000 in year ended 31 December 2019 it would normally only be possible to relieve £50,000 of the losses.

      The new temporary carry back rules would permit losses to be set against trading profits made in the years ended 31 December 2018 and then 31 December 2017 as well. If profits in those years were £150,000 or more then the company would be entitled to a £38,000 corporation tax refund (19% of £200,000).

      Need more information?

      Do you need more guidance on tax refunds? 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.

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

        E-commerce and other businesses moving goods between UK and EU

        E-commerce and other businesses moving goods between UK and EU

        If you move goods between the UK and countries in the EU, you need to follow new customs and tax rules. Your business will be affected by the new rules if you: • buy goods from an EU seller and bring them into the UK • send goods you’ve sold to a buyer in an EU country • haven’t exchanged money but need to move equipment that you use for your business, between the UK and the EU. We understand this means a lot of changes are needed, and HMRC are available to help you in several ways. HMRC have a Customs & International Trade helpline on 0300 322 9434, for more help with importing, exporting or customs reliefs. The helpline is open from 8am to 10pm Monday to Friday and from 8am to 4pm at weekends.

        There is also a SME Brexit support fund available – Please follow the link here to apply and learn more. Smaller businesses can get up to £2,000 to pay for practical support, including training or professional advice to adjust to new customs, rules of origin and VAT rules when trading with the EU.

        HMRC have webinars available for you to attend online starting today. Please see below for a list of these to help you adjust to the new rules.

        Exporting: what you need to do to keep your goods moving:
        An overview of the actions you need to take now before you export goods from Great Britain to the EU and move goods between Great Britain and Northern Ireland.
        Key processes include – zero-rated VAT, customs declarations, using an intermediary as well as licences, certificates, and authorisations.
        Please register here to take part if you’re planning to export.

        Customs Import Declarations: an overview: If your business or a business you represent, needs to make customs import declarations on goods you’ve imported since 1 January, our webinar helps you to understand what’s needed for simplified declarations, supplementary declarations, and delayed import declarations.
        Please register here to take part if you’re planning to import.

        Trader responsibilities when using an intermediary: This webinar explains your responsibilities as a trader, if you choose to use an intermediary to complete import or export declarations for your business. These are complex and an intermediary can save you a lot of time.
        Please register here to take part if you’re planning to import or export.

        Importing: what you need to know about staged controls: This webinar takes you through the three stages of the new border controls introduced from 1 January 2021, and what actions you need to take for each stage.
        Please register here to take part if you’re planning to import.

        You can also:

        • watch HMRC’s YouTube channel to familiarise yourself with the new customs processes and what you need to do before you trade goods with the EU
        • use the trader checklist to make sure you’re familiar with the new rules that affect you
        • use the updated guides to understand the new customs and VAT requirements when moving goods between the UK and EU countries
        • sign-up to the Trader Support Service if your client’s business is moving goods between GB and Northern Ireland and use their suite of educational products – including online training modules and webinars for support with the Northern Ireland Protocol
        • you can also sign up to our weekly email updates on ‘News and information about importing and exporting with the EU’, providing hints and tips for businesses like yours, getting used to the new rules for importing and exporting.

        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.

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          By Katie Tax Advice • Tax News 0 Comments

          More details on the new super-deduction for equipment

          More details on the new super-deduction for equipment:

          In the Budget on 3rd March the Chancellor announced a new 130% tax relief for expenditure on new plant and machinery incurred between 1 April 2021 and 31 March 2023. It turns out that this new tax relief is only available to limited companies and the latest Finance Bill reveals a nasty sting in the tail when the equipment is sold, as the clawback on disposal is potentially at the same 130% rate. So, if a new item of plant cost £100,000 the company would be able to deduct £130,000 in arriving at taxable profits thus saving £24,700 in corporation tax at 19%. However, if the plant was sold for £80,000 on 1 April 2023 130% of the proceeds would be clawed back and £104,000 added to taxable profit which could result in up to £26,000 corporation tax payable at the new 25% rate. The claw-back rate reduces on a time basis from 1 April 2023 onwards so it would be advisable to retain the asset long term.

          The 130% rate does not apply to equipment such as air conditioning and central heating that normally qualify for a 6% writing down allowance. Such “integral features” qualify for a special 50% first year allowance for the same two-year period.

          Please contact us to discuss the tax implications of major capital expenditure decisions.

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

            Covid-19 support: Self-employed income grants extended

            Covid-19 support: Self-employed income grants extended

            In line with the further extension of the CJRS furlough scheme for employees the chancellor has also set out further support for the self-employed. We had been waiting for the details of the calculation of the fourth SEISS grant covering the period to 30 April and we now know that the support will continue to be 80% of average profits for the reference period capped at £2,500 a month and can be claimed from late April. There will then be a fifth SEISS grant covering the 5 months to 30 September.

            The chancellor has also bowed to pressure to extend the scheme to include certain traders who were previously excluded. Thus, those who commenced self-employment in 2019/20 will now be included provided they had submitted their 2019/20 tax return by 2 March 2021. This is potentially a further 600,000 traders.

            Conditions for the fifth grant will be linked to a reduction in business turnover. Self-employed individuals whose turnover has fallen by 30% or more will continue to receive the full grant worth 80% of three months’ average trading profits, capped at £2,500 a month. Those whose turnover has fallen by less than 30% will receive a 30% grant, capped at £950 a month. We are awaiting further details of this fifth grant.

            Need more information?

            The Self-employed income grants extended. Do you need further guidance on this?

            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.

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              By Katie Business Advice • Business News • Tax Advice • Tax News 0 Comments

              5% VAT rate for food, attractions and accommodation extended

              In order to continue to support businesses and jobs in the hospitality sector, the reduced 5% VAT rate will continue to apply to supplies of food and non-alcoholic drinks from restaurants, pubs, bars, cafés and similar premises across the UK until 30 September 2021.

              The 5% reduced rate of VAT will also continue to apply to supplies of accommodation and admission to attractions across the UK. From 1 October until 31 March 2022 the rate will be set at 12.5% and will then revert to 20% from 1 April 2022.

              Need more information?

              Do you need help with the 5% VAT rate? 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.

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

                New Coronavirus grants for high street businesses and hospitality sector

                New coronavirus grants for high street businesses and hospitality sector.

                Businesses forced to close due to the Coronavirus lockdown will be eligible to apply for grants of up to £18,000 depending upon the rateable value of their business premises. Pubs, restaurants, hotels, gyms and hairdressers will be eligible for a grant of up to £18,000 per premises whilst non-essential retail businesses will be eligible to apply for a grant up to a maximum of £6,000.

                The grants are intended to be a contribution towards the fixed costs of the business during the period that they have been unable to trade normally. Staff costs continue to be covered by the CJRS furlough scheme.

                The government will also continue to provide eligible retail, hospitality and leisure properties in England with 100% business rates relief from 1 April 2021 to 30 June 2021. This will be followed by 66% business rates relief for the period from 1 July 2021 to 31 March 2022, capped at £2 million per business for properties that were required to be closed on 5 January 2021.

                Unfortunately, the “Eat out to Help Out” scheme will not be reintroduced this Summer

                Need more information?

                Do you need more support on the new coronavirus grants for high street businesses and hospitality sector? We offer a wide range of services which are unique to your business. Our team of chartered accountants have a wealth of experience with high street businesses and the hospitality 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.

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                  By Katie Business Advice • Tax Advice 0 Comments

                  National Insurance Number Scam – Protect Yourself

                  It is important that you are aware of the National Insurance Number Scam.

                  Actionfraud UK has received over 1,000 complaints, in which victims reported receiving an automated telephone call, during which they are told their “National Insurance number has been compromised”.

                  It’s important to remember if you’re contacted out the blue by someone asking for your personal or financial details, this could be a scam. Even confirming personal details, such as your email address, date of birth or mother’s maiden name, can be used by criminals to commit fraud. If you have any doubts about what is being asked of you, hang up the phone. No legitimate organisation will rush or pressure you.

                  How to protect yourself from fraudsters

                  If you receive an unexpected phone call, text message or email that asks for your personal or financial details, remember to:

                  Stop
                  Taking a moment to stop and think before parting with your money or information could keep you safe.

                  Challenge
                  Could it be fake? It’s okay to reject, refuse or ignore any requests. Only criminals will try to rush or panic you.

                  Protect
                  If you have provided personal details to someone over the phone and you now believe this to be a scam, contact your bank, building society and credit card company immediately and report it.

                  Please do no hesitate to contact the team if you are are unsure if you have been scammed and need clarification.

                  Need more information?

                  It is important that you are aware of the National Insurance Number Scam. If you are unsure contact us – we are more than just your accountant. 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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