27/02/2020 – Acas has published new guidance for employers and employees on the coronavirus. The guidance covers:
what to do if employees do not want to go to work
what to do if employers need to close the workplace
other steps for employers to take. … More...
Last chance for pensions relief?
26/02/2020 – There has been much press speculation that the Government is considering cutting higher rate tax relief for pension contributions in the March Budget. However, many Tory MPs are said to be up in arms at such a move and have been trying to quash such a reduction.
There are also concerns that such a complex change to pensions relief could … More...
10% reduction in Inheritance Tax rate
26/02/2020 – If your total assets exceed £325,000 then the excess will usually be subject to Inheritance Tax (IHT) at 40% when you die. A reduced rate of IHT of 36% applies where 10% or more of a deceased’s net estate is left to qualifying charities or Community Amateur Sports Clubs (CASCs).
The net value of an estate is the total value … More...
26/02/2020 – There is a special VAT refund scheme called the VAT Retail Export Scheme or Tax-Free Shopping that allows individuals not resident in the EU to obtain a VAT refund on goods bought in the UK and taken out of the EU. The scheme does not apply to services, for example hotel bills.
The scheme can be used to reclaim VAT on purchases from … More...
New £20 note launched
26/02/2020 – The new £20 note entered into circulation on 20 February 2020 and features the image of the artist JMW Turner. It will take a few weeks for the notes to become commonplace across the country. The new £20 note includes a number of new security features including two windows and a two-colour foil, making it very difficult to … More...
P9 Notice of Coding form
26/02/2020 – The P9 Notice of Coding form is used to notify employers of the tax codes to use for employees. HMRC has begun to send email notifications to employers advising that the coding for the tax year starting 6 April 2020 can be viewed online. The emails are being sent up until 10 March 2020. HMRC has also advised that the paper P9 coding … More...
Property rental income and bad debt
26/02/2020 – In most cases, property rental income must be brought into account in the year in which the income was earned, even if the invoice has not yet been paid. However, a deduction is allowed in respect of bad & doubtful debts.
These are debts which are either clearly irrecoverable (a bad debt) or a doubtful debt to the extent it is … More...
VAT – the concept of business
26/02/2020 – The VAT system is policed by HMRC and there are penalties for breaches of the legislation.
There are four conditions that must be satisfied in order for an activity to be within the scope of UK VAT.
These conditions are that the activity:
Is a supply of goods or services
That the supply takes place in the UK
Is made by a taxable … More...
Meaning of goodwill for CGT purposes
26/02/2020 – Goodwill is a subject we hear about often but interestingly is rarely mentioned in legislation. In fact, the term 'goodwill' is not defined for the purposes of the Capital Gains legislation in TCGA 1992.
Most definitions of goodwill are derived from case law. At its simplest you could describe goodwill as the 'extra' … More...
New advisory fuel rates published
26/02/2020 – Advisory fuel rates are intended to reflect actual average fuel costs and are updated quarterly. The rates can be used by employers who reimburse employees for business travel in their company cars or where employees are required to repay the cost of fuel used for private travel. HMRC accepts there is no taxable profit and no Class 1A … More...