Our cover article focuses on the importance of keeping business records following the announcement of a new initiative by HMRC, where they intend to check up to 50,000 business records annually, and exact penalties for what they consider to be significant failures.
Another area commonly under HMRC scrutiny is tax relief on motoring and travel related expenses. In ‘Avoiding travel turmoil’ we remind you of the specific rules for self-employed individuals.
We also look at two areas concerning corporation tax. ‘- iXBRL deadline fast approaching’ looks at the changes ahead that require all corporation tax returns to be filed online and ‘Counting the costs’ looks at a new development in the rules surrounding associated companies.
There are also two areas of change from April 2011 which affect all businesses.
The first area of change concerns National Insurance Contributions (NIC) where new rates and bands apply for 2011/12 as well as changes as to when self employed Class 2 NIC is payable.
The second concerns the Bribery Act 2010 which comes into force from April 2011. As this is applicable to every business, regardless of size, we have included a brief outline to keep you in the picture.
On the personal tax side, you may be aware of child trust fund (CTF) accounts. However, new accounts are no longer available for a child born after 3 January 2011. Instead, for children born after that date, a new savings account – the Junior ISA is to be introduced later this year. In ‘Child savings accounts’ you can find out more.
For all this and more click Spring 2011 Newsletter
I am pleased to send you your copy of our summer newsletter which as usual includes a variety of topical tax issues. Now that the second Budget date has been announced, 22 June 2010, we will keep a careful watch for any new developments but it looks like tax matters will continue to be top of the list in discussions through to autumn and beyond.
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
Do you want to make a pension contribution and receive tax relief for the year to 5th April 2009? If so remember the contribution must actually be paid by the 5th April 2009!