The implementation of the domestic reverse charge for construction services, which has caused much concern for the construction industry, has been delayed until 1 October 2020. Full details can be found here: Revenue and Customs Brief 10 (2019): domestic reverse charge VAT for construction services – delay in implementation. Please note: This article is a … Continue reading Update: VAT Changes for Construction Industry Delayed
Update: This has now been delayed until 1/10/2020. Find out more here. 1st October 2019 marks the introduction of the Construction Services Domestic Reverse Charge (CSDRC). The new rules are intended to counter what HMRC describes as ‘missing trader fraud’, where a trader reclaims VAT on purchases which the supplier has no intention of paying … Continue reading Major VAT Changes for the Construction Industry
Over the last few years, VAT on food has enjoyed more than its 15 minutes of fame in the tax spotlight. But with Making Tax Digital (MTD), it is something that cafes and sandwich bars would do well to look at again. Food or drink items which are sold hot at the point of sale … Continue reading VAT Warning for Cafes and Sandwich Bars
He’s Gonna See Who’s Naughty or Nice! Whilst you may enjoy letting your hair down with your staff at the annual Christmas Party, it is worth remembering that you are still the employer and, as such, responsible and, perhaps liable, for any bad behaviour. Any incidents of harassment, abuse or discrimination could have repercussions not … Continue reading How to Avoid Legal Issues at Your Company Christmas Party
Let It Snow, Let It Snow, Let It Snow! The particularly brutal weather we saw when the “Beast From the East” paid us a visit earlier in the year highlighted how unprepared many of us are for dealing with adverse weather conditions. And whilst a White Christmas is on many people’s wish-list, the disruption caused … Continue reading How to Prepare Your Business for Adverse Weather Conditions
‘Tis the Season to Be Busy! The festive season often sees an increase in activity for many businesses which may mean you need more hands on deck. Your first thought may be to take on more staff, perhaps on a fixed term or casual basis, but in some cases you can increase productivity by offering … Continue reading How to Deal With Seasonal Work Cover
Oh Bring Us Some Figgy Pudding… Like many employers, you probably like to treat your employees at this time of year by providing a Christmas Party, but to avoid any tax or VAT implications, you should make yourself aware of the rules. Entertainment for your employees is tax-free, providing it is available to all your … Continue reading Is My Christmas Party Tax Deductible?
Where a business incurs expenditure which is passed on to a customer, it is important to recognise the difference between a Disbursement and Re-charged Expenditure. A cost incurred on behalf of a customer is classed as a Disbursement and is reclaimed from the client, but does not form part of the main supply of services … Continue reading Disbursement or Re-Charged Expenditure?
The VAT Road Fuel Scale Charges have been amended with effect from 1st May. The new rates can be found here. If a business is VAT registered and purchases road fuel for business use, but there is also private use of a vehicle, then an adjustment needs to be made to ensure that VAT is … Continue reading VAT Road Fuel Scale Charges From 1st May
HMRC has succeeded after a decade-long battle with department store, Littlewoods over compound interest. Between 1973 and 2004, Littlewoods overpaid millions in VAT and, although they were refunded the sum plus simple interest, they took legal action seeking compound interest for the “mistake in law”. The law states that ‘where a taxable person has overpaid … Continue reading HMRC Victorious in VAT Dispute Over Compound Interest