Archive for the ‘Tax’ Category

Furnished holiday lettings

Posted on: July 3rd, 2018 by Leighton Reed No Comments

The pros and cons of letting furnished holiday accommodation.

When furnished holiday property is let on a commercial basis for short periods, the owner can benefit from certain tax reliefs which wouldn’t otherwise be available to residential landlords, providing certain conditions are met.

However, there are also several disadvantages associated with letting property as holiday accommodation whether or not the furnished holiday letting conditions are met. (more…)

Update on the VAT treatment of electronic searches

Posted on: June 25th, 2018 by Liz Maher No Comments

The Law Society met with HM Revenue & Customs and has now released interim guidance on how HMRC intends to approach the VAT treatment of electronic property searches. (more…)

Deadline for reporting benefits in kind nears

Posted on: June 4th, 2018 by Sarah Curzon No Comments

Most employers are currently getting their houses in order when it comes to reporting employee benefits and expenses ahead of the 6 July 2018 deadline.

At the end of the tax year, employers may need to inform HMRC if any taxable benefits were handed out to members of staff over the previous 12 months. (more…)

HMRC defers launch of digital accounts for individuals

Posted on: June 4th, 2018 by Leighton Reed No Comments

HMRC has delayed rolling out digital services for individuals, such as the simple assessment and dynamic coding changes.

The move was announced in an email sent to stakeholders, which confirmed the delay was down to a shift in key priorities driven by the need to free up civil servants for Brexit. (more…)

Travel and subsistence

Posted on: June 4th, 2018 by Nathalie Waterfield No Comments

Your obligations for reporting travel expenses.

Many employees need to travel as part of their job for various reasons, whether it’s acquiring new customers, working with current ones or attending conferences and events.

The system of benefits and taxation surrounding this essential economic activity is classed as ‘travel and subsistence’ in the eyes of the taxman. (more…)

Understanding IR35

Posted on: June 4th, 2018 by Sarah Curzon No Comments

A brief guide to the tax implications of IR35.

IR35 is the shorthand name for tax rules concerning the provision of personal services through intermediaries.

These rules came into effect on 6 April 2000, but they were significantly amended from 6 April 2017 for contracts involving public sector bodies. (more…)

Integrated Health and Care Hubs planned for Wales – Why the VAT impact needs planning

Posted on: May 30th, 2018 by Liz Maher No Comments

News that £68m of investment would be made in the development of 19 health and care centres across Wales caught my eye in April. Plans for 11 new Hubs and GP Centres, as well as money to refurbish existing centres will certainly be the sort of expenditure that will attract VAT on those projects – so will that VAT be recoverable and indeed who will be incurring that VAT? (more…)

HMRC is putting more taxpayers at risk of inquiry as it ramps up its data collection activities – this time by asking lawyers for information

Posted on: May 24th, 2018 by Leighton Reed No Comments

Ordinary taxpayers are becoming increasingly at risk of an inquiry as HMRC ramps up the amount of data it collects and looks for new sources of information for use in its investigations.

Recently, HMRC has been collecting data on taxpayers by submitting information requests to professional services firms, such as lawyers and financial advisers, asking for confidential information on their clients. There was 19% rise in the number of these requests last year to 1,507, up from 1,276 in 2015/16. (more…)

Making Tax Digital – What does it all mean?

Posted on: May 15th, 2018 by Leighton Reed No Comments

Our Making Tax Digital team examine the questions you may have whilst highlighting some key points that you should be aware of.

MTD will take effect from 1 April 2019 for VAT purposes only for all businesses (unincorporated, companies, LLPs and charities) with turnover above the VAT threshold (currently £85,000). This means that for the first VAT return period beginning on or after 1 April 2019 all VAT registered businesses with turnover above the VAT threshold will be required to:

  • maintain digital records, and
  • send their VAT information directly to HMRC using compatible software.

(more…)

Selected businesses begin Making Tax Digital testing

Posted on: May 10th, 2018 by Leighton Reed No Comments

A number of selected small businesses have begun submitting tax returns under HMRC’s Making Tax Digital (MTD) pilot scheme.

The Revenue asked for businesses to step forward and trial the digital process from April 2018.

HMRC is monitoring the progress of businesses and sole traders, who have been submitting tax returns to help shape the system before it’s rolled out for VAT only next year. (more…)