Resources

You are here

Self-Assessment e-filing deadline

04 Oct, 2017

As existing Self-Assessment tax filers will be aware, the deadline for online submission of your 2016-17 Self-Assessment tax return is 31 January 2018. This is also the date that the payment is due for the balance of any Self-Assessment liability for 2016-17, and the due date for any payment on account due for the current 2017-18 tax year.

There are penalties for late Self-Assessment returns including an automatic £100 penalty for submitting a late return even if there was no tax to pay or the tax due was paid on time.

Christmas party and other social events

04 Oct, 2017

In a recent newsletter we looked at the tax implications of giving Christmas gifts to your staff and the complications that can arise. In this newsletter, we will take a look at the tax breaks available for staff Christmas party or similar annual events.

In general, the cost of a staff party or other annual entertainment is allowed as a deduction for tax purposes. However, there are some important criteria that must be followed to ensure that there will be no taxable benefit charged to employees.

VAT returns – correcting mistakes

28 Sep, 2017

There are special rules for correcting errors on VAT returns. The relevant rules depend on whether you need to:

  • Amend your VAT records if you discover they contain errors;
  • Correct errors on VAT returns you’ve already sent to HMRC;
  • Claim a refund if you’ve overpaid VAT, or not claimed enough credit on a return.

When you find you have made an error or errors in a VAT return that has already been submitted to HMRC, there are 2 methods that may be used depending on the size of the error.

Expenses and benefits: Christmas gifts

28 Sep, 2017

It is established practice that Christmas presents paid in cash to employees are almost invariably taxable as earnings. This view has been upheld by the courts on many occasions and can mean that a gift from a well-intentioned employer is worth less than the giver or the recipient expected.

An alternative to a cash gift may be to give staff a seasonal gift such as a turkey or bottle of wine. In order to ensure that this is not a taxable gift, it is important to confirm that the trivial benefits in kind (BiK) rules apply.

The trivial BiKs apply where the BiK:

How to make the most of tax losses

28 Sep, 2017

There are a number of tax reliefs available for self-employed taxpayers that make a loss carrying on their trade, profession or vocation (collectively referred to as a ‘trade’) and for their share of partnership losses.

For the 2016-17 tax year, trade losses can be relieved in a number of ways. These include:

What’s included in the charge to Stamp Duty Land Tax?

28 Sep, 2017

There have been many changes to the way stamp duty land tax (SDLT) and equivalent regional taxes are charged in recent years. This has included changes to the way in which SDLT is calculated for residential property purchases from 4 December 2014. They include a move away from SDLT being charged on a slab basis - where a single rate applied to the total value of the property acquired - to a graduated charge.

CGT annual tax-free allowances

28 Sep, 2017

There is an annual Capital Gains Tax (CGT) exemption for individuals (who live in the UK) as well as executors or personal representatives of a deceased person’s estate. The exemption is £11,100 for the 2017-18 tax year. A husband and wife each have a separate exemption. Most trusts have an annual exemption of £5,550 (2015-16: £5,550). However, where the remittance basis is claimed by a non-UK domiciled individual, the taxpayer is not entitled to the annual exemption.

How to pay self-assessment tax by adjusting your tax code

28 Sep, 2017

One of the less well-known ways of paying your self-assessment tax bill is to do so through your tax code.

This can only be done where all the following apply:

Tax Diary October/November 2017

25 Sep, 2017

1 October 2017 - Due date for Corporation Tax due for the year ended 31 December 2016.

19 October 2017 - PAYE and NIC deductions due for month ended 5 October 2017. (If you pay your tax electronically the due date is 22 October 2017.)

19 October 2017 - Filing deadline for the CIS300 monthly return for the month ended 5 October 2017.

19 October 2017 - CIS tax deducted for the month ended 5 October 2017 is payable by today.

Changing your company’s year end

21 Sep, 2017

There are special rules which limit the ability to change a company’s year end date. A company’s year end date is also known as its ‘accounting reference date’ and is historically set by reference to the date the company was incorporated. Under certain circumstances it is possible to make a change to the year end.

Tax relief for electric vehicle charging points

21 Sep, 2017

In last year’s Autumn Statement, the Chancellor announced a new capital allowance for electric vehicle charging points. Capital allowances is the term used to describe the allowances which allow businesses to secure tax relief for certain capital expenditure. Most 'capital' items, such as computer equipment, vehicles, machinery etc, last for a lengthy period of time and the tax relief rules do not allow businesses to automatically deduct the full cost of such items in one go.

Pension money purchase allowance reduction 2017-18

21 Sep, 2017

One of the measures announced in the March 2017 Budget was the reduction in the annual Money Purchase Allowance (MPAA) from £10,000 to £4,000. This measure was subsequently dropped from the pre-election Finance Bill, but as expected, has now been included in the second Finance Bill of 2017 published earlier this month. Once the second Finance Bill receives Royal Assent, this measure will have effect from 6 April 2017.

Pages