Inheritance tax and gifts for maintenance of family

Inheritance tax and gifts for maintenance of family

Inheritance Tax: Gifts for maintenance of family Table of Contents Back ground Gifts for the maintenance of family is a very useful exemption to inheritance tax (IHT) rules but one that is commonly misunderstood. Most of the misunderstandings centre around the meaning of the concept of ‘family’. The common interpretation is that you can give…

Umbrella company workers face higher NIC increase

Umbrella company workers face higher NIC increase

Umbrella company workers face higher NIC increase People working within an umbrella company will see a 2.5% increase on their National Insurance contributions (NICs) as they will have to pay for both the employee and employer levy   The Freelancer & Contractor Services Association (FCSA) has highlighted that according to HMRC’s current guidance on umbrella…

Covid loans used to buy houses and cars

Covid loans used to buy houses and cars

Covid loans used to buy houses and cars Abuse of covid-19 bounce back loans saw company directors spending the funds on luxury cars, deposits for house purchases and even a jet ski   A lack of checks on claimants for bounce back loans meant that unscrupulous business owners were able to take out loans without…

Risks for company directors on the rise

Risks for company directors on the rise

Risks for company directors on the rise Table of Contents Back ground Increased accountability for directors and more scrutiny on decision making is part of proposed audit reforms, but what does it mean in practical terms for directors.  Risks for company directors are on the rise. Increased scrutiny from regulators and shareholders, combined with an…

80% of impacted businesses unaware of MTD changes

80% of impacted businesses unaware of MTD changes

80% of impacted businesses unaware of MTD changes With just one month to go until the rollout of the Making Tax Digital (MTD) for VAT extension, 82% of eligible businesses that are yet to comply are still unaware of the impending deadline Despite an overall increase in awareness of the MTD deadline since November (from…

Small businesses to file P&L accounts at Companies House

Small businesses to file P&L accounts at Companies House

Small businesses to file P&L accounts at Companies House The government has set out plans to reform governance at Companies House to stop manipulation of the service, particularly in the use of anonymous or fraudulent shell companies and partnerships   Going forward Companies House will ‘change its statutory role from being a largely passive recipient…

Director's loan account: The finer details

Director’s loan account: The finer details

Director’s loan account: The finer details Back ground Tax compliance is an important consideration when considering the use of director’s loans.  The subject of director’s loan accounts (DLAs) has recently been in the news with concerns regarding the potential misuse of bounce back loans. In theory, director’s loan accounts are relatively straightforward, but they can…

Convictions & sentences

Fraud Convictions and sentences 31 December 2021

Fraud: Convictions & sentences – 31 December 2021 Table of Contents Director jailed for stealing £1.7m A company director has been jailed for five years and banned for 12 for stealing £1.7m. After sentencing, director said that I found buying horses ‘more addictive than drugs. Investigators from asset recovery team continue to make enquiries into…

Late tax payment interest rate raised to 2.75%

Late tax payment interest rate raised to 2.75%

Late tax payment interest rate raised to 2.75% Following the increase in the base rate announced by the Bank of England last week, HMRC has confirmed changes to payment interest rates are due to come into force   HMRC has increased the current late payment interest rate applied to the main taxes and duties to…

IR35 sage in public sector

IR35 sage in public sector

IR35 saga in public sector In the ongoing saga over IR35 in the public sector, two more government departments are facing multimillion pound tax bills for non-compliance   The latest annual reports for the Ministry of Justice (MoJ) and the Department for Environment, Food and Rural Affairs (Defra) show that both departments owe millions of…

£1bn support package for businesses hit by Omicron

£1bn support package for businesses hit by Omicron

£1bn support package for businesses hit by Omicron The Chancellor has announced a £1bn support package including grants for the hospitality sector and a sick pay rebate scheme as omicron variant spreads   Businesses in the hospitality and leisure sectors in England will be eligible for one-off grants of up to £6,000 per premises, plus…

Statutory sick pay rebate scheme reinstated

Statutory sick pay rebate scheme reinstated

Statutory sick pay rebate scheme reinstated As increasing numbers of Covid-19 cases means more workers taking time off work, the government has reintroduced the statutory sick pay rebate scheme (SSPRS)   Who can apply for statutory sick pay rebate scheme (SSPRS)?   The SSPRS will help small and medium-sized employers – those with fewer than…