CIOT reports increase in R40 refund errors

October 9, 2018: According to a new report by the Chartered Institute of Taxation (CIOT), there have been a growing number of R40 computation errors on refunds processed by HM Revenue & Customs (HMRC). Individuals can use R40 forms to claim tax refunds on tax deducted from savings income. Following the CIOT report, HMRC has now confirmed that... Read more

Workers miss out on £15.6 million in pay through minimum wage breaches

October 9, 2018: Minimum wage breaches, including breaches of the National Living Wage, have cost workers from across the UK a combined total of £15.6 million in lost wages. Figures released by the Government show that around 200,000 workers were affected in 2017/18, in what was the highest underpayment since the National Minimum Wage was introduced. In total,... Read more

HMRC finally launches MTD communications plan and simplified guidance

October 9, 2018: With only six months left until the launch of Making Tax Digital for VAT, HM Revenue & Customs (HMRC) has finally begun sharing information with businesses about the new regime. While accountants and professional advisers across the UK have been making clients aware of the new digital system for more than two years, the nation’s... Read more

Micro businesses bear the brunt of late payments

October 9, 2018: Recent research has shown that micro businesses are bearing the brunt of late payments, with just 52 per cent of the invoices they issue being paid on time. However, the research found significant regional variation, with 68 per cent of micro businesses in Peterborough encountering the scourge of late payments. The research was based on... Read more

HMRC investigates estate valuations as part of IHT campaign

October 9, 2018: The number of investigations conducted against estates thought to be avoiding Inheritance Tax (IHT) has increased, according to new data from HM Revenue & Customs (HMRC). The tax authority has revealed that 5,400 estates were investigated during the 2017/18 tax year – a five per cent increase on the previous year’s figure (5,100 estates). This... Read more

Government backed tax-free savings plan to help savers earn 50p on every £1

October 9, 2018: The Government has launched a new savings account that offers savers a 50 per cent tax-free bonus on the money they deposit. The new Help to Save account will offer savers up to 50p for every £1 that they save, which could mean that people could benefit from as much as £1,200 of tax-free money... Read more

Just eight per cent of business loan applications successful with one high street bank

October 9, 2018: On average, less than one in 10 SME loan applications to one nameless high street bank are successful. The figures were released by SME funding platform, Code Investing, whose CEO, Ayan Mitra, said: “Due to regulation, due to banks having huge cost structures, due to SMEs not having standardised data, there’s quite a big funding... Read more

Employment claims from contractors brought within IR35 expected after HMRC settlement

October 9, 2018: A freelance marketing and business development consultant has reached a settlement with HM Revenue & Customs (HMRC) after arguing that she should be entitled to holiday pay as she was considered to be a worker for tax purposes. Susan Winchester had claimed £4,200 in holiday pay against HMRC after she was deemed to fall within... Read more

Budget date 2018 announced, with half the usual notice

October 9, 2018: The Chancellor has announced that the 2018 Budget will take place on Monday 29 October 2018, having given just half the usual 10 weeks’ notice of the date. The Autumn Budget, which took place for the first time last year, having been moved from the traditional spring date, was initially trailed to take place annually... Read more

Working 9 to 5? It’s an unusual way to make a living

September 5, 2018: The archetypal 9am to 5pm working day might be so ingrained into the psyche of workers across the Western world that Dolly Parton wrote a song about it, but new research has revealed that it is now an unusual way to make a living for UK workers. The YouGov survey found that just six per... Read more

Regulator tells banks to stop victim-blaming

September 5, 2018: The increasing sophistication of bank scams means that customers who lose money to such schemes should not automatically be blamed, the Financial Ombudsman Service has said. Caroline Wayman, Chief Ombudsman and Chief Executive of the Financial Ombudsman Service, said: “It’s not fair to automatically call a customer grossly negligent simply because they’ve fallen for a... Read more

A quick guide to the new penalties for late MTD filing and payments

September 5, 2018: HM Revenue & Customs (HMRC) has announced a pair of penalty systems for late filing and late payment under Making Tax Digital (MTD) for VAT, which is due to come into effect in April 2019. Late filing will attract penalty points, which will accrue on the basis of how late the filing is and how... Read more

One in ten small businesses are concerned about business failure

September 5, 2018: A new study has revealed that in the last three months the number of SMEs predicting they could close has doubled from five per cent to 10 per cent. Produced by Hitachi Capital Business Finance, the report makes for worrying reading as the proportion of small business owners reporting their concerns about business failure have... Read more

HMRC releases new advisory fuel rates for company car users

September 5, 2018: With the price of fuel going up, employees and businesses will welcome new changes to the fuel advisory rates, which from 1 September 2018 have slightly increased on the previous quarter for some vehicles. Advisory fuel rates from 1 September 2018 Engine size Petrol – amount per mile LPG – amount per mile 1400cc or... Read more

Property investments once again hit by new tax rules

September 5, 2018: In the last few years the property sector has been hit by a number of new tax rules, but now there are two new things on the horizon that landlords must consider. Rent-a-Room Scheme The current Rent-a-Room scheme offers people up to £7,500 a year tax-free from letting out a spare room. However, HM Revenue... Read more

Tens of thousands of fake HMRC websites taken down

August 1, 2018: Figures published by HM Revenue & Customs (HMRC) show that 20,750 malicious websites have been taken down over the last year – 29 per cent more than in the previous year. Although it has brought in cutting-edge technology to tackle the problem, the Revenue is warning the public to remain alert, as substantial amounts of... Read more

Taxpayers warned of Requirement to Correct as deadline approaches

August 1, 2018: Taxpayers with undeclared offshore tax liabilities, including Income Tax, Capital Gains Tax or Inheritance Tax, are obligated to disclose these liabilities to HM Revenue & Customs (HMRC) on or before 30 September 2018 under HM Revenue & Customs’ Requirement to Correct (RTC) regime. The same rules apply to taxpayers with undeclared UK tax liabilities that... Read more

More than 100,000 first-time buyers benefit from Stamp Duty Land Tax reforms

August 1, 2018: HM Revenue & Customs (HMRC) has published data which reveals that more than 100,000 first-time buyers have benefited from Stamp Duty Land Tax (SDLT) reforms announced at the last Budget. During the period until 30 June this year, 121,500 first-time buyers saved a combined total of £284 million according to HMRC. First-time buyers who purchase... Read more

MTD for VAT clarified in new communication from HMRC

August 1, 2018: HM Revenue & Customs (HMRC) has finally issued a new notice on Making Tax Digital for VAT in which it has clarified many of the questions that businesses had. VAT notice 700/22: Making Tax Digital for VAT has been created to act as a point-by-point guide to the new regime and includes new advice from... Read more

HMRC collects more than £30 billion worth of extra tax in last financial year

August 1, 2018: New figures from HM Revenue & Customs (HMRC) have revealed that the tax authority brought in a total of £605.8 billion in the year to April 2018 – an increase of nearly £30 billion on the previous year. This 5.4 per cent increase in the Revenue’s tax collection over the previous year includes: £186 billion... Read more

Reminder on changes to Corporation Tax notices

August 1, 2018: On 19 September 2016 HM Revenue & Customs (HMRC) decided to stop sending out paper copies of several important documents relating to Corporation Tax. Despite this move taking place nearly two years ago, a quick search online indicates that many taxpayers are not aware that HMRC has changed some of its administration procedures for Corporation... Read more

Documents reveal HMRC plans to secretly access bank account information

August 1, 2018: Documents published online have revealed HM Revenue & Customs’ (HMRC) plans to secretly access bank account information. The planned new powers come in the form of information orders, which are used by the Revenue to determine that taxpayers are paying the correct amounts of Income Tax, Corporation Tax, Capital Gains Tax and VAT. Banks, building... Read more

Payroll and auto enrolment processes – time for a ‘health check’?

July 27, 2018: The constant changes in the payroll and auto enrolment legislation affects all employers, regardless of the size of the business. The once simple payroll process completed on a weekly/monthly basis has now turned into a task that can take hours with various reporting requirements to HMRC and pension providers. In April 2018, we saw the... Read more

Small businesses say the Government should simplify business rates

July 3, 2018: A survey has revealed strong support from the UK’s small business community for measures to simplify business rates. A total of 71 per cent of the small businesses questioned said business rates should be simpler and have a greater degree of flexibility. Meanwhile, 49 per cent of SMEs said the Government is doing too little... Read more

Professionals call on Treasury not to lower VAT threshold before MTD and Brexit

July 3, 2018: The Low Incomes Tax Reform Group (LITRG) of the Chartered Institute of Taxation (CIOT) has called on the Treasury to resist pressure to reduce the VAT threshold from its current £85,000 until after the implementation of Making Tax Digital (MTD) and Brexit. The call came after the Office of Tax Simplification (OTS) urged the Treasury... Read more

A quarter of dads may be missing out on paternity pay, according to a new report

July 3, 2018: The TUC has launched a new campaign calling on the Government to extend paternity pay to more workers, after discovering that a quarter of fathers may be missing out. It found that of the 620,000 new working dads last year, more than 140,000 did not qualify for paternity pay, which provides up to two weeks’... Read more

More than two-fifths of small business owners are still unaware of MTD

July 3, 2018: According to a new study, Making Tax Digital (MTD) is currently one of the biggest concerns for VAT-registered small business owners. The research, prepared by Intuit QuickBooks, found that more than three-quarters of SME owners found the legislation challenging and difficult to understand. It also reveals that 70 per cent were struggling to find the... Read more

Building contractors will have to comply with complex new VAT rules

July 3, 2018: Those working in the construction and building industry are being encouraged to get to grips with a new way of accounting for VAT. From 1 October 2019, builders, contractors and other trades associated with the construction industry will have to change the way they invoice supplies of standard or reduced-rated building services between VAT-registered businesses... Read more

UK’s tax gap continues to fall

July 3, 2018: Figures released by HM Revenue & Customs (HMRC) show that the UK’s tax gap – the difference between tax owed and actual receipts – is continuing to fall. The Revenue has revealed that the tax gap for the 2016-17 tax year was 5.7 per cent, down from six per cent in the previous year and... Read more

PW Payroll Solutions named in The Reward 300 index

June 20, 2018: Poole based payroll specialists, PW Payroll Solutions have been listed in the top 50 ‘knowledge and professionals services’ category of The Reward 300 index. The Reward 300 celebrates individuals who have been recognised as the most influential leaders and dedicated professionals working across payroll, HR, employee benefits, workplace pensions and associated sectors. It is formed... Read more