Resources

You are here

Auto-enrolment penalties sky-rocket

06 Sep, 2017

Automatic enrolment for workplace pensions was instigated to encourage employees to start making provision for their retirement with employers also contributing to make a larger pension pot.

The timetable for employers to begin enrolling their staff started with the UK’s largest businesses in 2012, followed by medium, and then small and micro companies. By the end of March this year over 7 million workers had been automatically enrolled into a workplace pension, it is expected that all employers will be part of the scheme by the end of February next year.

New Finance Bill published

06 Sep, 2017

Before the summer recess, the government confirmed that a new Finance Bill would be introduced as soon as possible after the summer recess. The House of Commons returned to Westminster on 5 September 2017.

Update child benefit and child tax credit details

06 Sep, 2017

Taxpayers in receipt of child benefit and child tax credits payments should be aware that HMRC can stop making payments on the 31 August following a child’s 16th Birthday.

What are VAT records and how long should you keep them?

06 Sep, 2017

There are distinct rules that VAT registered businesses must follow regarding retention of VAT records.

Records include:

  • a record of sales and purchases, and
  • a separate VAT account.

Generally, a business must keep VAT business records for at least 6 years (or 10 years if they use the VAT MOSS service). By special permission, HMRC may allow you to keep some records for a shorter period. For example, if the 6-year rule causes you serious storage problems or undue expense.

Self-employed NIC increase

06 Sep, 2017

Class 2 National Insurance Contributions (NICs) are currently paid by self-employed taxpayers and members of partnerships if their annual profits exceed £6,025. Class 2 NICs are payable at a flat weekly rate currently, £2.85. Class 2 NICs count towards benefits such as the basic State Pension, the employment and support allowance, maternity allowance and bereavement benefits.

Tax relief and goodwill

06 Sep, 2017

Goodwill is usually defined as the ‘extra’ value attributable to a business over and above its tangible assets.

Corporate governance reforms announced

05 Sep, 2017

The government has issued its response to its consultation which started in November 2016 on corporate governance reform. Its response document sets out proposals for a “world-leading package” of corporate governance reforms which it now intends to take forward to increase boardroom accountability and enhance the public’s trust in business. The key reforms are:

Failing to prevent facilitation of tax evasion

05 Sep, 2017

A new corporate offence of failing to prevent the facilitation of tax evasion will come into force on 30 September 2017 under the Criminal Finances Act 2017.

Advisory fuel rates for company cars

30 Aug, 2017

The latest advisory fuel rates became effective on 1 September 2017. Fuel rates are reviewed four times a year with changes taking effect on 1 March, 1 June, 1 September and 1 December. You can use the previous rates for up to 1 month from the date the new rates apply.

The rates are as follows:

VAT – beware the default surcharge

30 Aug, 2017

A default surcharge is a penalty levied on businesses that submit late VAT returns. VAT registered businesses are required by law to submit their returns and make sure that payment of the VAT due has cleared to HMRC’s bank account by the due date.

There is no penalty for a first offence, however a business that submits a VAT return late is issued with a surcharge liability notice that begins on the date of the notice and ends twelve months from the end of the latest period in default.

Tax-Free Childcare Scheme compensation

30 Aug, 2017

HMRC has announced the launch of a new compensation scheme for users affected by system issues when trying to register to the new Tax-Free Childcare Scheme (TFCS). The TFCS was launched in April 2017 to the first tranche of working parents. The scheme was initially made available to working parents of children aged under 4 on 31 August 2017.

When do you qualify for the Additional State Pension?

30 Aug, 2017

The Additional State Pension is only available to those who reached the state pension age before 6 April 2016 and are receiving the Old State Pension. The Additional State Pension is an extra amount of money paid on top of the basic Old State Pension.

The Old State Pension is designed to provide individuals of state pension age with a basic regular income and is based on National Insurance Contributions (NICs). To get the full basic State Pension, most people need to have 30 qualifying years of NICs.

Pages