The financial benefits of driving a company car have continued to erode over recent years, but this benefit remains one of the most popular and potent perks of a job.
Broadly, the taxable benefit arising on a car is calculated using the car’s full manufacturer’s published UK list price, including the full value of any accessories. This figure is multiplied by the ‘appropriate percentage’, which can be found by reference to the car’s CO2 emissions level. This will give the taxable value of the car benefit. The employee pays…
The government has confirmed plans to publish and consult on draft VAT regulations for Making Tax Digital (MTD), with the aim to have the regulations in place by April 2018 to give businesses and software developers at least twelve months to prepare.
In July 2017 the Government announced that MTD is being delayed. MTD will be not be mandatory until April 2019, and then only for VAT. From that date, businesses with a turnover above the VAT threshold (currently £85,000) will be required to keep digital records for VAT…
We have all seen people logging onto their company emails by the pool or on the sun lounger just to check the sky hasn’t fallen in during their absence – most of us have been that person from time to time.
In fact, recent research from challenger bank Aldermore shows that one in five small business owners have cancelled a holiday in order to finish off some pressing work at the office and a fifth failed to take a single day off work in the past year.
In July, the Government confirmed that the Summer Finance Bill would be published in September, with the measures dropped from the pre-election Finance Bill being reintroduced in more or less the same form, from the initially planned commencement dates. Clauses dropped from the pre-election bill and expected to be brought back include those on Making Tax Digital (MTD), although the implementation date for income tax is being postponed.
There is widespread agreement that Making Tax Digital for Business is the right approach for the future.However a number of concerns…
Employment status tax cases often make the headlines in the professional press and the June 2017 case of Tomlinson was no exception. In this case, the First-tier Tribunal found that a double glazing salesman (Mr Malcolm Tomlinson) was self-employed and not an employee as he had claimed.
As with most employment status cases, this case focused on the details of the terms on which Mr Tomlinson was engaged with the company.
Many facts of the case pointed towards a self-employed status, including the fact that there was no written…
Whether or not Class 2 National Insurance Contributions (NICs) can be paid depends on whether an individual falls within the definition of a ‘self-employed earner’ for NIC purposes, and if so, whether profits are in excess of the existing small profits threshold (£6,025 for 2017/18).
The definition of a self-employed earner is defined as someone ‘who is gainfully employed in Great Britain otherwise than in employed earner’s employment (whether or not he is also employed in such employment)’ (SSCBA 1992, s 2(1)(b)). A person who is regarded as self-employed…
The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Pay) Regulations2017 (SI 2017/692) took effect from 26 June 2017 and replace the previous 2007 Regulations with new statutory requirements for systems and procedures. Broadly, the regulations require firms undertaking certain financial activities to apply risk-based customer due diligence measures and take other steps to prevent the firm’s services from being used for money laundering or terrorist financing.
The regulations apply to a number of different business sectors, including financial and credit businesses, accountants and estate agents….
Every industry has its moments of great transformation and modernisation, when ‘the way we’ve always done it’ becomes redundant.
With the arrival of cloud-based accounting, our working world is going through a great sea-change and this is something SME owners should be delighted about.
Thanks to the functionality, the transparency and the instant nature of cloud-based accounting, it has never been simpler to see the inner workings of your business, to spot any potential weak points, to take advantage of untapped areas of opportunity, to react nimbly and to plan…
Few letters will strike fear into the heart of abusiness owner faster than one from HMRC stating their intention to begin an investigation into the firm.
While the problem of tax evasion or aggressive tax avoidance is hardly a new thing, it has perhaps never been as politicised as it is now, and there is a concerted effort on the part of HMRC to crack down – and to be seen to crack down – on those who play fast and loose with taxes.
One law firm claimed recently…
If you have been at the helm of your own business for some years, nurturing it from germination to becoming a fruitful concern, your thoughts will, at some point, turn to passing it on – and enjoying the rewards of your hard work.
Long before you start to dream about a relaxing retirement sampling the verdant golf courses of the world, you have another very important duty to perform in order to safeguard the long-term vitality of your business – and…