Tax Briefings & News - Page 11 of 48

Mar 15 2024

VAT Registration Threshold Raised

By admin Budget Update, HMRC, Potts & Co Accountancy & Business Advice News, VAT

The earnings threshold above which businesses must register for and start charging VAT has been increased. Effective from 1 April 2024, the taxable turnover above which a business is required to register and account for VAT will be increased from £85,000 to £90,000. This is the first change to the…

Mar 14 2024

National Insurance Rates Cut Again

By admin Budget Update, HMRC, National Insurance, Potts & Co Accountancy & Business Advice News

The headline news from the Spring Budget was further cuts to national insurance contributions (NIC) of 2% each for self-employed taxpayers and employees. The main rate of primary Class 1 NIC paid by employees on earnings between £12,570 and £50,270 per year will be cut from 10% to 8% from…

Dec 04 2023

Charging Your Electric Company Car At Home

By admin Company Cars, Electric Cars, HMRC, Potts & Co Accountancy & Business Advice News

HMRC has updated its Employment Income Manual to bring the guidance on charging electric company cars at home in line with the legislation. Until now, the guidance in the Employment Income Manual (EIM23900) has contradicted the legislation in advising that if an employer reimburses an employee for charging their company…

Dec 03 2023

Two New R&D Forms

By admin HMRC, Potts & Co Accountancy & Business Advice News, Research & Development (R&D)

HMRC has introduced two new measures to tackle the rise in fraudulent research and development (R&D) claims. Claim notification form For accounting periods beginning on or after 1 April 2023, a digital pre-notification form is required to inform HMRC in advance of R&D claims. This will be mandatory for all…

Dec 02 2023

Submit VAT Claims Digitally For DIY House Builds

By admin HMRC, Potts & Co Accountancy & Business Advice News, Property, VAT, VAT Homebuilders Scheme

Individuals who build their own home, or complete part of the build project themselves, are entitled to reclaim the VAT paid on materials under the VAT Homebuilders Scheme. When engaging builders and contractors to build your home, their labour and materials are zero-rated, so the VAT homebuilders scheme puts the…

Dec 01 2023

Overlap Relief Online Tool

By admin HMRC, Overlap Relief, Potts & Co Accountancy & Business Advice News, Self Assessment

The online form for requesting overlap relief information for basis period reform is now live. Overlap profits normally arise in the first two tax years of a new trade where the accounting date of the business does not align to the tax year end and – under the old opening…

Nov 30 2023

NLW & NMW Increased

By admin National Living Wage (NLW), Potts & Co Accountancy & Business Advice News

The national living wage (NLW) will increase by 9.8% to £11.44 per hour from April 2024. The higher rate will also apply to 21 and 22-year-olds for the first time. The NLW currently applies to workers aged 23 and above and stands at £10.42 per hour. Workers under the age…

Nov 29 2023

MTD Simplification

By admin HMRC, ITSA (Income Tax Self Assessment) , Making Tax Digital (MTD), Making Tax Digital For Income Tax Self-Assessment (MTD ITSA), Potts & Co Accountancy & Business Advice News, Self Assessment

A dramatic simplification of the MTD processes to be introduced in 2026 including no EOPS; cumulative submissions each quarter; and restrictions for complex situations. Taxpayers with turnover over £50,000 will be brought into MTD ITSA (Income Tax Self Assessment) from April 2026. The £50,000 threshold applies to gross total self-employment…

Nov 28 2023

Cash Basis To Replace Accruals

By admin HMRC, Making Tax Digital (MTD), Potts & Co Accountancy & Business Advice News, Self Assessment

Cash basis to replace accruals for the self-employed as standard tax reporting method for 2024-25 (first year of tax year accounting). From April 2024, as part of a move to simplify calculation of taxable profits for Making Tax Digital, all self-employed taxpayers and partnerships will by default report their taxable…

Nov 27 2023

National Insurance Rates Cut

By admin HMRC, National Insurance, Potts & Co Accountancy & Business Advice News

The Chancellor has announced cuts to national insurance contributions (NIC) for self-employed taxpayers and employees. The headline news from the Autumn Statement was the reduction of primary Class 1 and Class 4 NIC and the removal of compulsory Class 2 NIC. The main rate of primary Class 1 NIC paid…