Is wealth tax on the horizon Table of Contents Wealth tax overview The introduction of a wealth tax could raise a staggering £260bn if a threshold of £500,000 was selected, but valuing assets could be challenging. Speaking at the Chartered Institute of Taxation (CIOT) and Institute for Fiscal Studies (IFS) debate on the wealth tax…
Fraud: Convictions & sentences – 31 August 2021 Table of Contents Director jailed for £250k VAT fraud A company director has been jailed for fraudulently claiming £251,499 in VAT repayments for windows Director was sentenced to two years and two months in prison. HMRC discovered that the invoices used to support the claims were false.…
Covid support measures come to an end As the furlough scheme, temporary reduced VAT rates, and paused winding up scheme all come to an end, nearly seven in 10 employers expect to make redundancies within the next year. According to a study from Renovo, 69% of employers anticipate job losses, with 46% of organisations expecting…
Extended loss carry back rules Table of Contents Extended loss carry back rules: Overview As part of a range of measures to support businesses post-covid, the extended loss carry back rules provide a temporary tax break for businesses. Finance Act 2021 detailed new rules around taxation for companies providing for a temporary extension to the…
MTD for income tax delayed by a year until 2024 In a statement to MPs today, new financial secretary to the Treasury Lucy Frazer has confirmed that the introduction of Making Tax Digital (MTD) for income tax will be postponed by a year When will the government implement Making Tax Digital (MTD) for income…
Businesses pay back £1.3 billion of furlough Businesses have paid back £1.3bn worth of furlough cash with £300m returned in the last three months alone official statistics reveal. The figures released today show the businesses that have overclaimed or decided they no longer need payments received through the coronavirus job retention scheme (CJRS) have…
Insolvencies at the highest since first lockdown Last month there were 1,348 registered company insolvencies, the highest since the first UK lockdown in March 2020 according to figures from the Insolvency Service. This figure is 71% higher than the 788 registered in August 2020 and an increase of 22% from the 1,094 registered in July,…
HMRC loses half of disputes with taxpayers Over the last two years, out of the 32,675 tax claims that had been queried by taxpayers almost half, 16,120, of the claims were dropped altogether by HMRC. The latest HMRC data shows that 13,302 of HMRC’s initial conclusions were upheld over the two years which is around…
HMRC debt and enforcement HMRC is ramping up action against tax defaulters while the end of the winding up ban at the end of September will be a shock for some businesses protected by pandemic measures. As lockdown measures have relaxed, HMRC has restarted debt collection activities with taxpayers. It will initially focus on…
1.25% National Insurance hike Table of Contents PM announces 1.25% National Insurance hike Key Points PM unveils £12bn-a-year tax rise to pay for NHS and social care From April 2022, national insurance contributions rates and taxes on dividends will go up by 1.25% percentage point Employers will also need to contribute an additional 1.25% (employer…
Weekly update 3 September 2021 Welcome to the latest edition of our weekly update. SME News The federation of small business is arguing the UK government to cut the national insurance contribution to ease the cost pressure on employers. Call for cut in NICs to ease cost pressure on SMEs. Two-third of respondents to a…
HMRC help towards childcare cost HMRC has issued a reminder to families that are eligible for tax-free childcare that they can use the scheme to help with their childcare costs as children go back to school The tax-free childcare scheme is available to parents or carers with children aged up to 11, or 17 if…
