The Chancellor, Sajid Javid has commissioned a review of the Disguised Remuneration Loan Charge. Led by Sir Amyas Morse, who is the former Chief Executive and Comptroller and Auditor General of the National Audit Office the review will report back to the Government by mid-November with recommendations, focusing on the impact of the new charge on those affected.
Author Archives: Amy Thompson
Construction services: VAT domestic reverse charge – on hold now for 12 months!
|
|
*On 1st October 2019 HMRC’s new VAT domestic reverse charge for construction services was due to come into force, as part of ongoing moves to cut VAT fraud. The new rules require the contractor receiving services and not the sub-contractor who supplied the services to account for the Output VAT due on specific building and construction services. This change means that construction businesses will need to know whether the reverse charge applies. They’ll also need to ensure their accounting processes and IT systems can handle the reverse charge. It’s also recommended that businesses estimate and plan for any impact on cash flow if they are no longer holding Output VAT.
Tax compliance as HMRC systems get smarter
The Government recognises that the majority of UK taxpayers, individuals and businesses, pay their fair share towards the provision of public services. Where taxpayers try to hide their obligations, HMRC now has a more comprehensive view of finances and is committed to dealing with any non-compliance. So, what information does HMRC know about you and your business?
Fuel for private use – what do employees pay in tax?
The amount of tax paid by employees on private fuel provided with a company car is now running at a high level based on the cash equivalent of the benefit each tax year. Those with low private mileage may find it’s no longer a benefit. That’s why many employers have put in place different options, such as no longer paying for fuel with company fuel use reclaimed or continuing to pay for fuel but having employees reimburse them for private usage. That way, the employee is not liable for the private fuel tax charge, where this would in all likelihood be higher than the value of the actual fuel used. Should you want advice on policy decisions about employee fuel and the tax implications then we’d be glad to advise you.
Seven tax breaks to save small businesses money
Reply
Setting up a small business can be exciting. So much rides on it – your hopes, your financial security and future opportunities. Yet all the costs to make it happen and then keep it running efficiently can seem daunting. That’s why you should consider whether your small business qualifies for tax breaks that allow you to save money.
HB Accountants is experienced in advising small businesses about their tax breaks. Here are our 7 top tips for you to consider:
Spring Statement 2019
Contents
- Measures announced
- Looking ahead
- Income tax
- Making Tax Digital (MTD)
- Changes to Entrepreneurs’ Relief
- Other key changes for 2019/20
- Considering capital allowances
- What they said…
IR35 for the Private Sector
The IR35 ‘off payroll’ rules will be extended to the private sector from 6th April 2020 onwards. What exactly does this mean, and what can contractors do to prepare in advance for these legislation changes?
What will a company car cost my employees in tax?
As an employer, if you provide a company car to your employees, they must pay tax on the cash equivalent of the car provided. That’s because HMRC view an employee’s ability to use a company car as a benefit in kind which has a cash value, on top of your employee’s regular salary. The cash equivalent of using a company car is calculated by taking the list price of the car, multiplied by a certain tax percentage. This percentage depends on the amount of carbon dioxide emitted by the car, and the type of fuel it uses. This article will outline the formula for you to follow to work out the list price of the car and find the relevant tax percentage that applies. Should you want more help with company car tax then please get in touch.
Recruiting employees? Beware ‘free’ fuel benefit that isn’t free
To recruit the best talent, you need to provide an attractive pay package. For many employees having the fuel they use in their company car paid for by their employer is an attractive benefit, since they are covered for business miles and private use. But remember that changes in HMRC tax policies mean ‘free fuel’ is now taxed harder as a benefit in kind which can make it less attractive.
Key Dates for Self-Assessment Tax Returns
Self-assessment is the process by which you advise HM Revenue & Customs (HMRC) of your income, gains and relevant expenses for a tax year. HMRC will calculate your income tax bill based on the information you provide.
