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All VAT returns must now be submitted digitally using MTD compatible software (unless the business has an exemption) so the VAT penalties have been revised to fit with this new regime. There is no soft-landing for the new system of… more
All VAT returns must now be submitted digitally using MTD compatible software (unless the business has an exemption) so the VAT penalties have been revised to fit with this new regime. There is no soft-landing for the new system of late-filing penalties If you submit a VAT return late for a period starting on or after 1 January 2023 the HMRC computer will automatically allocate a late-filing 'point' but not a monetary penalty. Only when you have collected several points will you receive a flat £200 penalty. The penalty threshold depends on how regularly you file your VAT returns: •… more
The National Crime Agency estimates that £78m was lost in cloned companies scams in 2020 and that is probably an underestimate as many frauds are not reported. Criminals set up companies with names that are nearly identical to genuine trading… more
The National Crime Agency estimates that £78m was lost in cloned companies scams in 2020 and that is probably an underestimate as many frauds are not reported. Criminals set up companies with names that are nearly identical to genuine trading or finance companies and then approach the customers of the genuine companies asking them to pay the fake company instead. With all transactions and communications online this form of fraud is easier to fall for. The fraudsters will take great care to copy accurately the documentation and website of the real company so that instructions to pay to a different… more
Travelling to the workplace may now be unaffordable for some employees but employers who help by reimbursing travel expenses could be creating an extra tax burden for themselves and their employees. We can help you ensure that any assistance given… more
Travelling to the workplace may now be unaffordable for some employees but employers who help by reimbursing travel expenses could be creating an extra tax burden for themselves and their employees. We can help you ensure that any assistance given to your employees meets the tax legislation requirements. The journey between an employee's home and their permanent workplace is treated as ordinary commuting and is not a tax-deductible expense. If the employer pays the employee a mileage rate or reimburses bus or train fares for ordinary commuting, that payment must be taxed as salary under PAYE. A tax-free mileage allowance… more
The rates for national insurance contributions (NIC) increased by 1.25 percentage points for everyone on 6 April 2022. From 6 July the NIC starting threshold will rise to £12,570 per year (£1,048 per month) for employees. This means that some… more
The rates for national insurance contributions (NIC) increased by 1.25 percentage points for everyone on 6 April 2022. From 6 July the NIC starting threshold will rise to £12,570 per year (£1,048 per month) for employees. This means that some lower paid employees will have more Class 1 NIC deducted from their pay from April to June 2022 but may pay no NIC from July 2022 onwards. Employers are not so fortunate as the threshold from which they pay Class 1 NIC on employees' salaries remains at £9,100 per year (£758 per month) for most workers. Employees who are apprenticed… more
