There have been some significant changes to VAT penalties and interest if you submit a late VAT Return for an accounting period starting on or after 1 January 2023 and / or if you pay the liability later than the due date. There are separate penalties for late submission and late payment and they can […]
From 1 April 2023, there is no longer a single Corporation Tax rate for non-ring fence profits. At the Budget, the government announced that the Corporation Tax main rate for non-ring fence profits would increase to 25% for profits above £250,000. A small profits rate of 19% was also announced for companies with profits of […]
Following on from yesterday’s budget, here is a link to our guide to the various announcements. Thankfully, nothing on pensions or CGT yet. Budget guide March 2021 As always, please contact us if you have any questions.
Businesses that took advantage of the option to defer VAT payments due to Covid last year can join the new scheme to pay it in smaller monthly instalments. All the information you require is here: https://www.gov.uk/government/news/vat-deferral-new-payment-scheme-online-service-opens
DOMESTIC VAT REVERSE CHARGE FOR BUILDING AND CONSTRUCTION
The new domestic reverse charge is finally being introduced from 1 March 2021. This applies to the majority of contractors and subcontractors that are registered for VAT and report under the CIS scheme. Details are here but if you require any further help, please do not hesitate to contact us: https://www.gov.uk/guidance/vat-domestic-reverse-charge-for-building-and-construction-services#whentouse
SELF ASSESSMENT RETURN DEADLINE CHANGE – (Thanks for leaving it so late HMRC!)
Self Assessment customers will not receive a penalty for their late online tax return if they file by 28 February, HM Revenue and Customs’ (HMRCs’) Chief Executive Jim Harra has announced. Taxpayers are still obliged to pay their bill by 31 January. Interest will be charged from 1 February on any outstanding liabilities. Customers can […]
Some of you may have taken advantage of the VAT deferment for liabilities falling due between 20 March 2020 and 30 June 2020 due to Covid-19. HMRC has released some new guidance on how to pay this, and the possibility of further deferring elements of the liability. Guidance can be found here: https://www.gov.uk/guidance/deferral-of-vat-payments-due-to-coronavirus-covid-19
The guidance has now been published in relation to the recently announced additional 2 self employed support grants. The next grant will cover a 3 month period from 1 November 2020 until 31 January 2021. The Government will provide a taxable grant calculated at 80% of 3 months average monthly trading profits, paid out in […]
HMRC have now published their guidance on the updated furlough rules that kicked in on 1 November 2020. Employees can be fully furloughed, or flexible furloughed. All rules are here, and if you need any assistance, please contact us: https://www.gov.uk/guidance/claim-for-wages-through-the-coronavirus-job-retention-scheme?fbclid=IwAR0MpuVgvPuLOqHYrwzVKYWWGhR7XWVhZynyj7m4jXA2RbAbm72JZqHYP-g
The new regime is due to be implemented from 1 March 2021 and will affect businesses within the Construction industry. Here is a flowchart that HMRC have produced to see whether your supplies will be affected by the scheme. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/878587/Annex_1_-_VAT_domestic_reverse_charge_for_building_and_construction_services.pdf
DELAY IN REVERSE CHARGE VAT FOR CONSTRUCTION INDUSTRY IMPLEMENTATION
This new reverse charge has been delayed again, this time due to the Coronavrius pandemic. It was due to come into force on 1 October 2020. The new implementation date is 1 March 2021. Good news for the construction industry and us as advisors, and at last something positive from the pandemic!