Following an announcement issued in October, our front cover focuses on the restrictions relating to tax relief on pension contributions and the bad news that some high earners could find themselves with an additional tax charge.

If you are entitled to Working Tax or Family Tax Credits, from April 2011 the rules are set to change and we have produced a summary to keep you up to date with the current position. We have also included a simple overview of R&D tax credits. Whilst the rules are complicated the rewards can be very valuable to qualifying companies.

Furnished Holiday Lettings have been a hot topic since the Labour government announced proposed changes. Whilst the legislation is yet to go through, the coalition government has published new proposals for the next tax year. If this legislation is likely to affect you please read our update.

The government is also looking to reform the PAYE system. Whilst no decisions have been taken our article ‘The Future of PAYE’ is an interesting insight into how HMRC view the future. Rules on employer provided cars are also set to change so if you are thinking of changing your car, our article ‘Reducing tax emissions’ may help you decide what to buy next!

‘Extracting profits wisely’ reviews the many options available to extract profits from a company and how to get the best tax deal!

Please contact us if you have any questions regarding any of the articles or tax planning tips we have included in our newsletter or if you would like further information on a topic we haven’t covered. Your views are always important to us and we would welcome any feedback you could give us.

A PDF version of the Winter 2010 Newsletter can be downloaded her Winter 2010 Newsletter

Were you aware that expenditure on qualifying plant and machinery may obtain 100% tax relief?  This means that investment in new equipment may provide you with useful tax savings. Our article ‘Making every £ count’ explains further whilst our article ‘Curiouser and curiouser’ highlights the importance of planning in order to maximise your claims.

Our article ‘Planned changes for childcare vouchers’ summarises the current position and outlines the proposed changes announced in the final session of the previous government. However, the new coalition government may have different ideas so the changes may change again.

We rarely produce a newsletter where HMRC doesn’t get a mention and this issue is no exception as they continue to target the construction industry sector. They also feature in our article ‘Relationship with records’ as the need to keep good records grows as do the consequences for not keeping them.

We also take a look at the tax implications of borrowings between a company and its director shareholders.

Please contact us if you have any questions regarding any of the articles or tax planning tips we have included in our newsletter or if you would like further information on a topic we haven’t covered.  Your views are always important to us and we would welcome any feedback you could give us.

Please download our Summer Newsletter

Please remember to write your 10 digit unique tax reference number on the reverse of your cheque.

They must be completed and submitted with HM Revenue and Customs by 31st July 2009.

This can be done either by returning the Annual Review notice to HM Revenue and Customs or by calling the Tax Credit Helpline on 0845 300 3900.

Tel 0845 302 1435

http://www.hmrc.gov.uk/pbr2008/business-payment.htm

It is being superseded by the new A4 version which was first introduced in October last year.

The new P45 includes details of the employee’s date of birth and their gender.

HM Revenue and Customs (HMRC) said that any back stock of the A5 P45s should be destroyed by 6 April and that employers must use the larger format instead.