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Late filing of Self Assessment tax returnsApril 14, 2014
Taxpayers who have not yet filed their Self Assessment returns online face a daily penalty of 10 up to a maximum of 900 i.e. for three months from 1 May 2014. If the return still remains outstanding further higher penalties will be charged from six months and twelve months late. These penalties
 
       
Tax statementsApril 14, 2014
The Chancellor of the Exchequer has announced that from October 2014 some 24 million UK taxpayers will receive a personalised statement setting out how much tax they paid in the previous year and how it contributed to public expenditure. This includes 4 million more taxpayers than the previous year.
 
       
Abolition of stamp taxes on recognised growth marketsApril 14, 2014
With effect from 28 April 2014, the Government is abolishing the 0.5% stamp duty or stamp duty reserve tax charge on acquisitions of shares traded on recognised growth markets. To qualify as a recognised growth market, a market must be a recognised stock exchange and meet one or both of the
 
       
Employers' excuses for not paying the minimum wageApril 14, 2014
To coincide with the 15th anniversary of the National Minimum Wage (NMW), HMRC has revealed some of the more unusual reasons given by employers for not paying their employees the legal wage: One employer claimed that a worker was his wife but when asked his wife’s name, was unable to
 
       
VAT - Mini One Stop ShopApril 14, 2014
From 1 January 2015 changes will be made to VAT rules for consumer supplies of telecommunications, broadcasting and e-services. Currently these supplies are taxed in the Member State in which the business is established. However, from 1 January 2015, the place of supply will be determined by the
 
       
Tribunal – late submission of P35April 14, 2014
The First-tier Tribunal recently heard a taxpayer's appeal against penalties for late submission of the Employer Annual Return - P35 for the tax year ended 5 April 2013. The P35 should have been filed by 19 May 2013 but was ultimately filed on 17 September 2013. The taxpayer in the case owned two
 
       
Basic PAYE Tools - 2014-15 updateApril 10, 2014
The Basic PAYE Tools software for the 2014-15 has been published. The 2014-15 version of Basic PAYE Tools is an update to the existing version rather than a separate download, so existing users do not need to go to the HMRC website to get the update. Employers should ensure that they are using the
 
       
Change of genderApril 10, 2014
The Gender Recognition Act 2004 gave trangender people the right to be treated by their preferred gender. The Act allowed them to acquire a new birth certificate and receive full recognition of their acquired sex in law for all purposes, including marriage. HMRC has recently updated their guidance
 
       
Real Time Information - penaltiesApril 10, 2014
It is now a year since the majority of employers began using the Real Time Information (RTI) system and more than 99% of PAYE records are currently being reported in real time. From 6 April 2014, interest charges will be applied for PAYE that is not paid by the due date. HMRC has also announced
 
       
Finance Bill 2014April 10, 2014
The Finance Bill 2014 was presented to Parliament on 25 March 2014. The Bill contains the legislation for many of the tax measures that have been announced by the Government. The Bill had its second reading debate on 1 April 2014 and the Public Bill Committee is expected to report by 17 June
 
       
New rules come into effect for LLPsApril 10, 2014
Since 6 April 2014, LLP members, who HMRC considers are not risk taking partners, may find themselves re-classified as salaried members and taxed under the PAYE regulations as if they were employees. Both the affected LLPs and their members will have to pay National Insurance as if the affected
 
       
Wayward landlords under attackApril 10, 2014
An HMRC campaign aimed at landlords who have failed to declare rental income, due to a misunderstanding of the rules or deliberate evasion, was launched in September 2013. The campaign will run for at least 18 months and HMRC will allow landlords to come forward voluntarily throughout the entire
 
       
Abolition of stamp taxes on recognised growth marketsApril 3, 2014
The Government has confirmed that stamp taxes on purchases of securities on recognised growth markets are to be abolished from 28 April 2014. Currently there is a 0.5% stamp duty or stamp duty reserve tax charge. The exemption will apply to securities that are admitted to trading on a recognised
 
       
Childcare scheme to launch in 2015April 3, 2014
The Government has confirmed plans to introduce a new Childcare scheme to support working families with their childcare costs. The new scheme will be launched in Autumn 2015 and will replace the current salary sacrifice scheme. Unlike its predecessor, the new scheme will be available to the
 
       
National Insurance limitsApril 3, 2014
National Insurance is a separate tax (or contribution) payable in addition to Income Tax. NICs are meant to fund social security benefits such as an entitlement to the State Pension. The amount of NICs payable by taxpayers depends on the level of their income and their employment status. Two new
 
       
Private Residence ReliefApril 3, 2014
One of the most often used and valuable of the Capital Gains Tax (CGT) exemptions covers the sale of the family home. CGT is a tax on the profit made from selling certain assets such as property, shares or other investment e.g. antiques and fine art. There are a number of exemptions available which
 
       
Corporation Tax changes from April 2014April 3, 2014
A timely tweet from the Chancellor earlier this week read ‘Today Corporation Tax down from 23% to 21% & Annual Investment Allowance doubled to 500k. Backing business so UK best place to create jobs’. From 1 April 2014 the main Corporation Tax rate for companies with profits in excess of 1.5
 
       
National Insurance employment allowanceApril 3, 2014
The employment allowance of 2,000 per year for all businesses and charities to be offset against their employer Class 1 secondary NICs’ bill starts 6 April 2014 following Royal Assent of the National Insurance Contributions Act 2014. The allowance will be claimed as part of the normal payroll
 
       
Health professionals deadlineMarch 27, 2014
The Health and Wellbeing Tax Plan offered physiotherapists, occupational therapists, chiropractors, osteopaths, chiropodists and podiatrists an opportunity to regularise their tax affairs. The scheme covered any tax owed, for whatever reason. The campaign was not aimed at doctors and dentists, who
 
       
Annual Tax on Enveloped Dwellings (ATED)March 27, 2014
The ATED came into effect from 1 April 2013. The tax is payable by certain Non-Natural Persons that own interests in dwellings valued at more than 2 million. This provision affects certain companies, partnerships with company members and managers of collective investment schemes described in the
 
       
Company car tax ratesMarch 27, 2014
The company car benefit-in-kind charges for 2014/15 were announced prior to the 2014 Budget. The minimum benefit is 5% for emissions between 1-75g/km, from 76g/km up to 94g/km the rate is 11%. From 95g/km to 99g/km the rate is 12% and increases by 1% for every full 5g/km up to a maximum of 35% for
 
       
Employee share scheme changesMarch 27, 2014
From 6 April 2014, employers need to register existing and new share schemes and arrangements online with HMRC. In addition, HMRC will no longer provide formal approval of these schemes, businesses must self-certify that the schemes meet the necessary requirements. The changes also affect any
 
       
Class 2 National Insurance contributionsMarch 27, 2014
Starting from April 2014, HMRC can collect outstanding Class 2 National Insurance Contributions by adjusting a taxpayer's tax code or by passing the debt onto a specialist private debt collection company. Class 2 National Insurance Contributions (NICs) are paid by all self-employed taxpayers unless
 
       
Options at retirementMarch 27, 2014
As the dust settles on the 2014 Budget, it is clear that the most wide-ranging changes are for individuals that have pensions savings in a defined contribution (DC) scheme, such as a personal pension. The proposed changes, which are expected to come into effect from April 2015, will give savers
 
       
Budget 2014 - Seed Enterprise Investment Scheme (SEIS)March 20, 2014
The SEIS is designed to increase the level of investing in the early development of high growth potential businesses. The scheme is similar to the EIS but focuses on smaller, early stage companies carrying on, or preparing to carry on, a new business in a qualifying trade. The Chancellor announced
 
       
Budget 2014 - Business Premises Renovation Allowance (BPRA)March 20, 2014
The Business Premises Renovation Allowance (BPRA) is a special capital allowances scheme to encourage the conversion and renovation of empty business properties in specified assisted areas (i.e. deprived areas in the UK). The use of the BPRA provides for a 100% tax deduction on the capital costs a
 
       
Budget 2014 - VAT registration and deregistration thresholdsMarch 20, 2014
The taxable turnover threshold, that determines whether businesses should be registered for VAT, will increase from 79,000 to 81,000 from 1 April 2014. The taxable turnover threshold that determines whether businesses can apply for deregistration will be increased from 77,000 to 79,000 on the
 
       
Budget 2014 – Savings and investmentsMarch 20, 2014
The Chancellor announced a number of important changes to benefit savers. The first of these changes was a major reform to the ISA system. A New ISA (NISA) is to be introduced from 1 July 2014 with equal limits for cash and stocks and shares. This will allow savers to transfer funds from stocks
 
       
Budget 2014 – Increase in the Annual Investment AllowanceMarch 20, 2014
The Chancellor will have pleased many businesses with his announcement that the temporary increase in the Annual Investment Allowance (AIA) is to be extended for a further year to 31 December 2015. From 1 April 2014 the maximum amount of the AIA is to be doubled to 500,000 for Corporation Tax and
 
       
Budget 2014 - Sporting tax breaks extendedMarch 20, 2014
The Budget measures have confirmed that a special exemption from UK Income Tax will apply to non-UK residents sportspersons’ income related to their appearance at the Glasgow Grand Prix which is due to take place between 5 July and 14 July 2014. Under UK tax rules a sportsperson not resident in the
 
       
Budget 2014 – Income Tax Rates & AllowancesMarch 20, 2014
In the Budget, the Chancellor announced that from April 2015 the basic personal allowance for taxpayers born after 5 April 1948 will rise to 10,500. At the same time the basic rate limit will be reduced to 31,785. Taxpayers' personal allowances are withdrawn for those with income of more than
 
       
Tax credits fraud - NewcastleMarch 20, 2014
A new campaign has been launched by HMRC to reduce tax credits error and fraud in Newcastle. The campaign was launched on 17 March and HMRC is using local radio and newspaper adverts to raise awareness of the issue. The adverts highlight changes in circumstances that must be reported to HMRC to
 
       
National Minimum WageMarch 20, 2014
The Low Pay Commission’s (LPC) recommendations for increases in the National Minimum Wage (NMW) rates have been accepted by the government. The new NMW rates will come into effect on 1 October 2014. The hourly rate of the NMW will increase to 6.50 (a rise of 19p) with effect from 1 October 2014
 
       
Real Time Information - penaltiesMarch 20, 2014
The introduction of major changes to the way PAYE information is collected, began with the introduction of the Real Time Information (RTI) system in April 2013. The system involves employers sending HMRC information about tax and other deductions from employees' pay when the employee is paid, rather
 
       
Budget Report SummaryMarch 19, 2014
Budget Statement 19 March 2014 George Osborne has presented his 5th Budget and we have summarised below some of the more impactful changes. As ever, he was caught between the need to rebalance UK plc’s books and meet the demands of industry to stimulate investment. Our summary of the main tax
 
       
Cash basis for small businessesMarch 13, 2014
HMRC is urging small businesses with a turnover of less than 79,000 to consider the use of the cash basis scheme for simpler accounting. The new scheme, which has been available since April 2013, saves the need for smaller businesses to make more complex accounting adjustments saving both time and
 
       
Payroll GivingMarch 13, 2014
Payroll Giving was introduced in 1997 to encourage employers to allow employees to deduct charitable donations from their pay before PAYE is calculated. The scheme effectively allows taxpayers to make a tax free donation to charity directly from their pay or pension. Payroll Giving has raised over
 
       
Basic PAYE tools - 2014-15 updateMarch 13, 2014
The latest version of the Basic PAYE Tools software for the 2014-15 version is expected to be released on 3 April 2014. The 2014-15 version will be provided as an update to the existing version rather than a separate download, so existing users do not need to go to the HMRC website to get the
 
       
New phishing emails scamMarch 13, 2014
HMRC has warned of a recent phishing email scam. The fraudulent and sophisticated email was sent to a number of agents. The fraud sought to extract the secure login details of taxpayers to allow fraudsters to submit bogus VAT repayment claims. HMRC is also reminding agents of the importance to
 
       
Late filing of Self Assessment tax returnsMarch 13, 2014
Taxpayers that have not yet filed their 2012-13 Self Assessment are liable to an automatic 100 penalty for late submission of their tax returns. The penalty applies even if no tax was due or the tax due was paid on time. In addition, taxpayers that were meant to file online by 31 January 2014
 
       
Tribunal default surcharge decisionMarch 13, 2014
A default surcharge is a penalty levied on businesses that submit late VAT returns. VAT registered businesses are required by law to submit their return 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
 
       
Keep the receiptsMarch 10, 2014
Most business owners are aware that they need to keep receipts if they want to secure a deduction for expenditure for business tax purposes, assuming that the expenditure is allowable for tax purposes. This is particularly important if you purchase an asset: a vehicle, equipment, computers and so
 
       
Bitcoins suffers setbackMarch 10, 2014
Bitcoin virtual currency holders have been shaken by the recent theft of more than 740,000 Bitcoins (worth approx. 225m) from the Mt Gox exchange. The exchange is now closed. The virtual attack is a significant setback for Bitcoin traders. In the UK, Bitcoin users are still waiting for a
 
       
Gift Aid Small Donations SchemeMarch 6, 2014
The Gift Aid Small Donations Scheme (GASDS) was introduced on 6 April 2013. The scheme allows qualifying charities and Community Amateur Sports Clubs (CASCs) to claim a top-up equivalent to Gift Aid on up to 5,000 of small donations of money made without a Gift Aid declaration. A small donation is
 
       
New HMRC YouTube videoMarch 6, 2014
The current penalty system was introduced to make penalties simpler to understand and more consistent across a range of taxes. The penalties can start from 0%, where reasonable care is taken, but nonetheless an incorrect return is submitted, up to 100% of the tax where an error is deliberate and the
 
       
Crime gang found guilty of VAT fraudMarch 6, 2014
Four members of a criminal gang have been convicted for their part in a 30 million VAT mobile phone fraud. Missing Trader Intra-Community (MTIC) fraud focuses on mobile phones and other electronic media. MTIC fraud also known as 'carousel fraud' typically involves the sale of small high value
 
       
Fixed protection for pension savingsMarch 6, 2014
On 6 April 2014 the lifetime allowance for pensions will be reduced to 1.25 million from the current 1.5 million. The lifetime allowance is the amount individuals can build up in their pension fund without paying an additional tax charge. If individuals exceed the lifetime allowance when they
 
       
Save As You Earn (SAYE) scheme changesMarch 5, 2014
The SAYE scheme is a savings related scheme where employees of participating companies with share option schemes can save to buy shares at a discount. SAYEs are approved by HMRC and allow employees to make contributions and buy shares at a future date using the current share price (discounted by
 
       
PAYE – Week 53 paymentsFebruary 26, 2014
Employers and employees that are paid weekly, bi-weekly or four weekly and whose final payday of the 2013-14 tax year falls on 5 April 2014 are reminded that there is a possibility that they may underpay tax for the current tax year. This can happen where a ‘week 53 payment’ is received. As the
 
       
Coding out debtsFebruary 26, 2014
The coding threshold allows taxpayers to have a tax underpayment of less than 3,000 collected via their tax code, provided they are in employment or in receipt of a UK-based pension. The coding applies to certain debts such as Self Assessment liabilities and tax credit overpayments. From April
 
       
Tackling tax credits fraudFebruary 26, 2014
A new campaign has been launched by HMRC to check childcare costs and reduce tax credits error and fraud in Northern Ireland. The campaign was launched on 17 February and HMRC is using local radio and newspaper adverts to raise awareness of the issue. The adverts highlight the fact that any
 
       
Sporting tax breaks extendedFebruary 26, 2014
The 2014 Commonwealth Games, officially known as the XX Commonwealth Games, will be held in Glasgow from 23 July to 3 August 2014. Athletes from outside the UK will be exempt from UK Income Tax on any payment in connection with their performance in the UK. The exemption has also been extended to the
 
       
Tribunal case – termination paymentsFebruary 26, 2014
The First-tier Tribunal recently examined the tax liability of a termination payment made to a taxpayer on leaving his employment. The taxpayer in this case had received a payment of 200,000 from his former employer under the terms of a compromise agreement entered into on 19 May 2009. The
 
       
HMRC Enquiry Centres to closeFebruary 26, 2014
HMRC has confirmed that its plan to replace enquiry centres with a mobile one-to-one support in a range of convenient locations, including a person’s own home or business together with government and community buildings is to be rolled out nationwide from May 2014. This follows the completion of a
 
       
End of tax year check listFebruary 26, 2014
Whether you are a business person, property landlord or pay significant amounts of tax as an employed or retired person, there is now a short window of opportunity to examine your likely earnings for the 2013-14 tax year and, more importantly, see what can be done to minimise those liabilities. It
 
       
Gambling duties new rulesFebruary 19, 2014
The introduction of changes to the basis of taxation for gambling duties from 'place of supply' to 'place of consumption' will come into effect from 1 December 2014. The changes are relevant in respect of Remote Gaming Duty (RGD), General Betting Duty (GBD) and Pool Betting Duty (PBD). RGD
 
       
Red diesel fraud tackledFebruary 19, 2014
There are special rules that allow farmers to use red diesel to help grit and clear snow during extreme cold snaps. The legislation allows users of agricultural tractors, light agricultural vehicles and agricultural material handlers to use red diesel in their vehicles when gritting public roads.
 
       
Charities online updateFebruary 19, 2014
A new reporting system for charities called Charities Online went live on 22 April 2013. The online system replaced the old R68(i) Gift Aid and tax repayments claims paper form. Charities that submit claims online can expect to be paid faster. HMRC no longer accepts Gift Aid repayment claims on R68i
 
       
Health professionals deadlineFebruary 19, 2014
The Health and Wellbeing Tax Plan offered physiotherapists, occupational therapists, chiropractors, osteopaths, chiropodists and podiatrists an opportunity to regularise their tax affairs. The scheme covered any tax owed, for whatever reason. The campaign was not aimed at doctors and dentists, who
 
       
New list of deliberate tax defaulters publishedFebruary 19, 2014
HMRC has published its fifth list of deliberate tax defaulters. The list includes fifteen individuals, businesses and companies, the amounts on which penalties are due, and the amount of penalties charged. One of the companies listed (a wholesale business) had to pay penalties of over 180k. A
 
       
Taskforces to tackle restaurants and constructionFebruary 19, 2014
HMRC taskforces are comprised of multiple teams from across HMRC including special investigations, local compliance and criminal investigation units for targeting specific sectors and locations where there is a high risk of tax evasion. The taskforces use local knowledge and risk profiling to help
 
       
HMRC launches new specialist taskforcesFebruary 13, 2014
New HMRC specialist taskforces have recently been launched to target individuals and businesses in London and East Anglia with offshore accounts as well as those living lifestyles beyond their obvious means through assets from undeclared income. The taskforces are part of the Government’s campaign
 
       
Real Time Information - penaltiesFebruary 13, 2014
The introduction of major changes to the way PAYE information is collected, began with the introduction of the Real Time Information (RTI) system in April 2013. The system involves employers sending HMRC information about tax and other deductions from employees' pay when the employee is paid, rather
 
       
New phishing emails scamFebruary 13, 2014
HMRC is warning of a new fraudulent email being sent to taxpayers. The emails refer to the publication of the latest version of the Employer Bulletin - issue 46 (due to be published on 17 February) and contains an attachment to the purported document. The phishing e-mail, built on the original
 
       
Rural Fuel Duty Relief schemeFebruary 13, 2014
The Rural Fuel Duty relief scheme has cut fuel duty in remote island communities by 5p per litre. The scheme applies to unleaded petrol, diesel, biodiesel, bioblend and bioethanol blend sold in the Inner and Outer Hebrides, the Northern Isles, the islands in the Clyde and the Isles of Scilly.
 
       
National Insurance employment allowanceFebruary 13, 2014
Further information, together with answers to some frequently asked questions, has been published by HMRC concerning the introduction of an employment allowance of 2,000 per year for all businesses and charities, to be offset against their employer Class 1 secondary NICs’ bill from April 2014.
 
       
New HMRC helpline launchedFebruary 13, 2014
HMRC has announced a dedicated helpline number for businesses and individuals adversely affected by the severe floods. The helpline is available to provide comprehensive advice and deal sympathetically with problems currently faced by businesses and individuals. This initiative by HMRC will be
 
       
New OTS report on partnerships publishedFebruary 6, 2014
The Office of Tax Simplification (OTS) was established in 2010 to provide advice to the Chancellor on simplifying the UK tax system - the objective, to reduce compliance burdens on both businesses and individual taxpayers. A new interim report published on 22 January 2014 concerned a review of
 
       
VAT – Cross Border RulingFebruary 6, 2014
In June 2013, the European Commission launched a pilot scheme (within the framework of the EU VAT Forum) designed to reduce the amount of cross-border VAT disputes. The pilot scheme allows for private VAT ruling requests relating to cross-border situations (CBR) and for participating EU member
 
       
Intrastat consultation launchedFebruary 6, 2014
HMRC has recently published a new consultation document that examines EU proposals to reduce the burden on businesses required to submit Intrastat declarations as well as proposals to modernise the Intrastat system. The changes concern the proposed introduction of a new EU wide system known as
 
       
New HMRC digital tax officeFebruary 6, 2014
HMRC has announced a new recruitment drive for 50 digital specialists to staff a new digital centre in the North East. The new office, based at Longbenton, Newcastle will replace existing HMRC local tax offices. The new office will help to encourage taxpayers to use online services rather than
 
       
Self Assessment online filing statisticsFebruary 6, 2014
HMRC has issued a press release detailing the number of online filings made for the 2012-13 Self Assessment returns. The use of the online service continues to grow year on year. This year a total of over 8.48 million online filings were made by the 31 January 2014 deadline. A further 1.55 million
 
       
National Insurance regulations publishedFebruary 6, 2014
Two draft National Insurance Regulations for the 2014-15 tax year have been published and are expected to come into force on 6 April 2014. The draft regulations and order are subject to approval by both Houses of Parliament. The first regulation specifies the levels of the Lower Earnings Limit
 
       
Tax evasion briefing publishedJanuary 30, 2014
HMRC have published a new briefing document highlighting the steps they are taking to tackle the small minority of taxpayers who deliberately evade taxes. HMRC estimate that tax evasion and the hidden economy contribute over 10 billion a year to the tax gap. HMRC’s campaign to improve tax
 
       
Tax avoidance – Total Return SwapsJanuary 30, 2014
A new measure was announced as part of the 2013 Autumn Statement to counter arrangements where a company enters into a derivative contract with a parent company or another group company, generally located in a tax haven between group companies using derivatives which involve a payment of all or part
 
       
VAT - Mini One Stop ShopJanuary 30, 2014
From 1 January 2015 changes will be made to the place of taxation of consumer supplies of telecommunications, broadcasting and e-services. Currently these supplies are taxed in the Member State in which the business is established. However, from 1 January 2015, the place of supply will be determined
 
       
Budget 2014 – views soughtJanuary 30, 2014
Last month, the Chancellor announced that the 2014 Budget will be held on Wednesday, 19 March 2014. The Budget will be George Osborne’s fifth. An interesting press release was recently published by HM Treasury seeking views from business, charities and members of the public as to what they would
 
       
Swiss offshore bank accountsJanuary 30, 2014
The UK and Switzerland signed a landmark tax agreement which introduced enormous changes to the taxation of offshore bank accounts in Switzerland. The changes came into effect on 1 January 2013. Under the agreement, UK taxpayers had two options. The first option was to make a full disclosure of
 
       
Accounting standardsJanuary 29, 2014
HMRC have published two papers to assist companies with the adoption of New UK GAAP. The papers provide an overview of the key accounting changes and tax considerations that arise for companies that transition from Current UK GAAP to FRS 101 and FRS 102. The first paper entitled 'FRS 101 Overview
 
       
Fraudulent emails from 'HMRC'January 23, 2014
Taxpayers are reminded that the problem of fraudulent emails continues. The emails are part of a 'phishing' exercise that uses bogus e-mails and websites to trick taxpayers into supplying confidential or personal information. These emails aren’t genuine HMRC messages and should be disregarded. The
 
       
Employee share schemesJanuary 23, 2014
There are a number of government approved share schemes which offer certain tax advantages to employees. The approved schemes are: Share Incentive Plans (SIP), Save As You Earn (SAYE) schemes, Company Share Option Plans (CSOP) and Enterprise Management Incentive (EMI) schemes. The schemes are
 
       
Tackling alcohol fraudJanuary 23, 2014
HMRC has launched an new initiative to tackle alcohol fraud as part of its overall remit to deal with tax fraud. It is estimated that alcohol duty fraud costs the exchequer 1.2 billion a year and in many cases is predicated by organised criminal gangs. The first meeting of the Joint Alcohol
 
       
Payroll givingJanuary 23, 2014
Payroll giving was introduced in 1997 to encourage employers to allow employees to deduct charitable donations from their pay before PAYE. The scheme allows taxpayers to make a tax free donation to charity directly from their pay or pension. In 2010/11 11bn was donated to charities. However the
 
       
Self Assessment deadlineJanuary 23, 2014
Taxpayers are reminded that the deadline for submitting 2012/13 Self Assessment tax returns online is 31 January 2014. Taxpayers should also be aware that payment of any tax due should also be made by this date. This includes both the payment of any balance of Self Assessment liability for the
 
       
Taskforces targeting Scottish VAT fraudJanuary 23, 2014
HMRC taskforces are comprised of multiple teams from across HMRC including special investigations, local compliance and criminal investigation units for targeting specific sectors and locations where there is a high risk of tax evasion. The taskforces use local knowledge and risk profiling to help
 
       
Health professionals deadlineJanuary 16, 2014
The Health and Wellbeing Tax Plan offered physiotherapists, occupational therapists, chiropractors, osteopaths, chiropodists and podiatrists an opportunity to regularise their tax affairs. The scheme covered any tax owed, for whatever reason. The campaign was not aimed at doctors and dentists, who
 
       
Companies House – Late Filing PenaltiesJanuary 16, 2014
There are late filing penalties which are designed to encourage companies to file their accounts and reports on time. The penalties were introduced in 1992 and were significantly increased from February 2009. All companies, private and public, large or small, trading or non-trading must send their
 
       
IR35 payment deadlineJanuary 16, 2014
The IR35 rules are intended to prevent the avoidance of tax and National Insurance Contributions through the use of personal service companies and partnerships. The IR35 shorthand reference to these rules dates back to when they were first introduced by the 35th IR press release of the Chancellor’s
 
       
Car and fuel benefit calculator updatedJanuary 16, 2014
The car and fuel benefit calculator has been updated to include calculations for the 2014-15 tax year. The car fuel benefit multiplier, currently 21,100, will increase to 21,700 for the 2014-15 tax year. The fuel benefit charge is determined by reference to the CO2 rating of the car, applied to a
 
       
National Insurance employment allowanceJanuary 16, 2014
The Government is to introduce an employment allowance of 2,000 per year for all businesses and charities to be offset against their employer Class 1 secondary National Insurance Contributions bill from April 2014. The allowance will be claimed as part of the normal payroll process through RTI.
 
       
High Income Child Benefit chargeJanuary 16, 2014
The High Income Child Benefit charge came into force on 7 January 2013 and applies to taxpayers whose income exceeds 50,000 in a tax year and who are in receipt of Child Benefit. The charge either reduces or removes the financial benefit of receiving Child Benefit. Where both partners have an
 
       
Employer payslip bookletsJanuary 9, 2014
HMRC have issued an update regarding the issue of PAYE payment booklets. The bulk dispatch of the 2014-15 booklets started on 6 January 2014. The booklets will no longer carry the name, address or phone details of the issuing office. Where a request is received between 3 January and 24 January for
 
       
Intrastat declarationsJanuary 9, 2014
Intrastat declarations are used to collect information on the movement of goods from the UK to other EU countries and vice versa. Any business that exceeds the exemption threshold for either arrivals or dispatches of goods is obliged to submit monthly returns. Businesses with annual EU trade above
 
       
Tax phishing emailsJanuary 9, 2014
The problem of fraudulent emails being sent to taxpayers is continuing. The emails typically inform the recipient that they are due a tax rebate, and often provide a click-through link to a clone of the HMRC website. The recipient is asked to provide their credit card details. These are not genuine
 
       
Fraudulent electrician jailed for VAT fraudJanuary 9, 2014
An electrician has been jailed for 10 months after he was found guilty of VAT fraud. HMRC investigators discovered that the electrician had registered for VAT in 2006 and had made no payments to HMRC whilst at the same time claiming 40,000 in repayments. HMRC investigators were able to prove that
 
       
Landlords to be targeted by HMRCJanuary 9, 2014
A new scheme aimed at landlords who may owe tax, whether through misunderstanding the rules or deliberate evasion, was launched in September 2013. The campaign will run for at least 18 months and HMRC will allow landlords to come forward voluntarily throughout the entire time period that the
 
       
Tribunal default surcharge decisionJanuary 8, 2014
A default surcharge is a penalty levied on businesses that submit late VAT returns. VAT registered businesses are required by law to submit their return and make sure that payment of the VAT due has cleared HMRC’s bank account by the due date. There is no penalty for a first offence, however, a
 
       
VAT treatment of refunds made by manufacturersJanuary 2, 2014
HMRC have published a summary of responses together with draft secondary legislation following the closure of a consultation on the VAT treatment of refunds made by manufacturers. The publication of the consultation followed the Government’s announcement as part of the 2013 Budget measures to
 
       
The Business Tax DashboardJanuary 2, 2014
HMRC’s Business Tax Dashboard is an online tool which provides smaller businesses with the ability to view their current tax position across different taxes. In order to use this service, businesses must have enrolled to use either HMRC's Corporation Tax or Self Assessment online service. Business
 
       
Deductions for fees and subscriptionsJanuary 2, 2014
Many professionals such as accountants, lawyers and health professionals are required to make a subscription to a professional body or learned society. HMRC have recently published an updated list of the organisations that they will accept as valid professional bodies. This list is updated from time