The Chartered Institute of Taxation (CIOT) is warning business that they need to be prepared for more VAT changes than just the return of the VAT rate to 17.5% on New Year’s Day.

According to CIOT, the EU VAT Package, which comes into effect on 1st January 2010, means big changes to rules on the taxation of cross-border services. At present, some services (such as management services) are treated, for tax purposes, as being supplied where the business supplying them is based. But from the new year, virtually all services supplied to a business in another EU member state will be … Continue Reading

Welcome…There was good news and bad news for small businesses in this Pre Budget Report.

The good news is the freezing of the corporation and income tax rates, although personal allowances are also frozen at the 2009/10 levels. The promised 50% rate of income tax will be introduced for income over £150,000 and there are further anti-avoidance rules to prevent those high earners from gaining top level tax relief on pension contributions.

The bad news will come from April 2011 when NI rates are set to surge upwards. Corporation tax may also increase in this month. Businesses with empty commercial properties may … Continue Reading

Welcome to December’s tax tips & news, our newsletter designed to bring you tax tips and news to keep you one step ahead of the taxman.

If you need further assistance just let us know or you can send us a question for our Question and Answer Corner.

We are committed to ensuring all our clients don’t pay a penny more in tax than is necessary.

Please contact us for advice in your own specific circumstances. We’re here to help!
Tax Deductions for Franchise Fees
One of the easiest ways to step into the world of business is to acquire the right to operate a … Continue Reading

HM Revenue & Customs (HMRC) is reminding students that they may not need to pay income tax on their earnings, if these are below their Personal Allowance for the year.

For any student planning to work over Christmas, if they expect to earn less than £6,475 in the tax year to 5 April 2010 and complete a form P38(S) at the beginning of employment – they will be entitled to receive their money tax free.

Students can find all the information they need at Direct.gov.uk/studenttaxadvice.

Furthermore, students who have worked part-time throughout the year, and think they may have paid too much … Continue Reading

HM Revenue & Customs (HMRC) has issued a leaflet, warning VAT-registered businesses to get ready now for major changes to VAT return filing and payment, that will come into force next April.

The leaflet has been sent to all 1.9m VAT-registered businesses to alert them to the fact that, from 1st April 2010, those with an annual turnover of £100,000 or more (excluding VAT) will have to file their VAT returns online and pay their VAT electronically.

Under the changes, businesses registering for VAT on or after 1st April 2010 will also have to file their return online and pay electronically, whatever … Continue Reading

HM Revenue & Customs (HMRC) has issued a reminder to anyone who hasn’t yet submitted their 2008-09 Self Assessment tax return.

The reminder stresses that the 31st October deadline for paper returns has now passed, which means anyone yet to file must do soonline by the 31st January deadline. HMRC warns that if you submit a paper return after 31st October, or you file online after 31st January, you could receive a £100 penalty.

HMRC are expecting more than 9.5m Self Assessment returns this year. Around 5.8m people filed online last year, up from 3.8m the previous year – an increase of over … Continue Reading