For those submitting P11Ds, 6 July 2019 will mark the deadline for reporting relevant benefits and expenses provided in 2018/19. It is important to ensure that any mileage payments made to directors and employees are within the HMRC approved rates if you want to avoid a benefit in kind. For business travel in an employee’s … Continue reading Employment Benefits: Mileage Payments
Employers should take care not to overlook the provision or reimbursement of mobile phone costs when determining whether a benefit in kind applies, as mobile phone costs are only exempt in certain circumstances. A mobile phone will be exempt from reporting if the employee is provided with only one mobile phone or sim card, and … Continue reading Employment Benefits: Mobiles Phones
For employees using a company car, the new fuel rates for use from 1 June are as follows: Engine Size Petrol LPG Diesel Amount per mile (in pence) 1400cc or less 12 8 10 1401cc to 1600cc 15 9 10 1601cc to 2000cc 15 9 12 Over 2000cc 22 14 14 For the purpose of … Continue reading Advisory Fuel Rates from 1st June 2019
HMRC has urged 700,000 couples to claim the Marriage Allowance in order to save tax. Introduced in April 2015, the Marriage Allowance enables spouses to transfer a fixed amount of their personal allowance (PA) to their partner. The option is available to couples where neither pays tax at the higher or additional rate. If eligible, … Continue reading HMRC Urges Couples to Claim Marriage Allowance
Entrepreneurs’ Relief (ER) is a valuable tax relief for individuals seeking to dispose of their business. It can give access to a 10% rate of capital gains tax (CGT), subject to a £10 million lifetime limit. ER is potentially available to company shareholders, trustees, and owners of, or partners in, unincorporated businesses. However, important new … Continue reading Disposing of a Business? Make Sure to Claim Reliefs
According to data published by the government, its Tax-Free Childcare (TFC) scheme 'has not had the uptake expected', with only 22% of eligible families making use of it. Official figures have suggested that the government had planned and budgeted for 415,000 families to be using the TFC scheme by October 2017. However, the data has … Continue reading Data Reveals Parents ‘Failing to Make Use of Tax-Free Childcare’
The government has launched a consultation, outlining its proposal to introduce a tax on plastic packaging with less than 30% recycled content. The 'plastic packaging tax' was announced in the 2018 Autumn Budget and is set to be introduced in 2022. The tax will be UK-wide, and the government has stated that it is 'committed … Continue reading Government Launches Consultation on ‘Plastic Packaging Tax’
The start of the new tax year brought significant changes to legislation. It is also P11D season: these need to be completed soon. Increasing minimum wage From April 2019, the National Minimum Wage (NMW) and the National Living Wage (NLW) rates increased. From 1 April 2019, the hourly rates of pay are as follows: Age … Continue reading New Tax Year, New Tax Rules: Are You Up-To-Date?
The 2018 Autumn Budget announced changes to the ‘off-payroll’ working (or ‘IR35’) rules, which are set to apply from April 2020. This may affect you if you work on a contract through a personal service company (PSC) in the private sector, or hire or place such workers. Similar rules already apply in the public sector. … Continue reading New Rules for Personal Service Companies
Landlords have been subject to a number of significant tax changes in recent times, including restrictions in the allowability of finance costs for tax purposes, which are being phased in between 2017/18 and 2020/21. With this in mind, many are contemplating the potential advantages of furnished holiday lettings (FHLs). Here we outline some key areas … Continue reading Furnished Holiday Lettings – a Tax-Free Alternative?