Parents affected by the High-Income Child Benefit Charge (HICBC) can be forgiven for thinking that there is no point in registering for child benefit if they may have to give back everything they receive in the form of a tax charge. The HICBC applies where the parent claiming child benefit or their partner has income […]
HM Revenue & Customs (HMRC) has notified the Tax Faculty that it has started to issue the £100 late filing penalties for 2017/18 self assessment returns that were not filed by 31 January 2019. The penalty notices are being issued later than usual to free up staff in HMRC call centres and back office for […]
The breakfast TV presenter Lorraine Kelly has won an appeal at a First Tier Tribunal (FTT) over a £1.2m demand for unpaid income tax and National Insurance contributions (NICs) arising from a challenge to her employment status under IR35. Judge Jennifer Dean ruled that Lorraine was performing the role “of a friendly chatty and fun […]
With Brexit continuing to dominate the headlines, the Chancellor’s Spring Statement arrived under quieter fanfare this year. Keeping to the brief of only having one major fiscal event per year, it was low on immediate impact. Instead it referenced previously trailed measures approaching introduction, together with sowing the seeds for forthcoming changes, which we might […]
The main rate of corporation tax is set to reduce from 19% to 17% from 1 April 2020. At the same time the availability of the 100% annual investment allowance on capital expenditure will also increase from £200,000 to £1 million from 1 January 2019 until 31 December 2020 on all qualifying expenditure. As a […]
HM Revenue & Customs (HMRC) has announced the launch of a new ‘profit diversion compliance facility’ designed to encourage Multinational Enterprises (MNEs) to disclose mistakes and/or non-compliance related to profits diverted from the UK through incorrect transfer pricing arrangements. HMRC are aware that some companies with international operations are diverting profits overseas that should be […]
The aim of the Patent Box is to provide an additional incentive (in the form of reduced corporation tax) for companies to retain and commercialise existing patents and to develop new innovative patented products. The relief allows UK business to pay corporation tax at 10% on profits from UK or EU patents. The amount of […]
In a personal or family company, the lines between the directors as individuals and the company are often blurred – the director may lend money to the company when cashflow is tight and the company may lend money to the director or pay personal bills on the director’s behalf. Transactions between the director and the […]
HMRC has recently issued Revenue & Customs Brief 13 (2018), explaining their new policy on VAT treatment of retained payments and deposits. This may be relevant to companies and businesses charging for services in advance of their supply, which are not refundable on cancellation. This is of course commonplace in the travel and hospitality industries. […]
The deadline for submission of online self-assessment tax returns is 31 January 2019. If you send your return late, you will receive a £100 penalty – even if you have no tax to pay or you pay your tax on time. The longer you delay, the more you will have to pay, as further late-filing […]
