Given current tax rates, paying a dividend rather than a salary will often be a more cost-effective way of withdrawing profits from a company.
Category Archives: Business
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.
Fifth Ambition Conference – 12th November 2019
The Ambition Conference, which takes place in Hoddesdon, is now in its fifth year. Ambition 2019 is an inspirational event for business owners, directors, sales and marketing professionals.
HB’s Keith Grover is once again the Chairman for the event, having chaired the conference organisation in 2018.
Team HB Accountants is delighted to be amongst the sponsors, supporters and participants this year. It will be a fantastic day, so save the date.
Do you avoid these five common mistakes when you’re computing your business profits?
Avoiding common errors when computing business profits
HMRC produce a range of Toolkits for agents, which highlight errors commonly made in returns so that agents can take steps to avoid them. The business profits toolkit provides guidance on errors that are found in relation to business profits for small and medium-sized businesses. They are helpful to anyone computing taxable business profits.
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.
My top accounting tips for Hoddesdon businesses
1. Make use of technology
Today, businesses have a myriad of resources available to make managing accountancy records convenient and simple. I’d urge businesses to make the most of cloud computing and automation. This is especially valuable now that the Government’s requirement for Making Tax Digital is a reality for the majority of businesses, and flexible working rights have all increased the demand for secure, flexible ‘on-the-move’ cloud-computing solutions.
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:
How to review your accountancy support
You compare your suppliers to ensure you’re getting a competitive price and service, but have you thought about reviewing your accountancy support? It may be that you’ve used the same accountant for a long while and they’re most likely giving you the support you need. But it’s always worthwhile conducting a review to make sure they’re reaching your expectations and meeting your current business needs.
But what should you look for? These are the questions we believe you need to ask yourself in order to make an informed assessment.
Five steps to ensure a smooth audit at year end
To ensure a smooth audit, ideally you should prepare for it during the year. By keeping on top of your finances throughout the year you’ll be well organised when you need to file your corporate tax returns with HM Revenue & Customs and provide audited annual accounts to Companies House at year end. So, who has to have an audit and what steps can you take to make your auditing process run smoothly, with minimal disruption to your day-to-day activities?
