HMRC is targeting taxpayers who incorporated their property business in 2017-18 and claimed full incorporation relief, reporting no capital gains tax. The CIOT reports a letter campaign urging taxpayers to review their relief calculation. If unsure, they’re advised to seek professional advice. Taxpayers must disclose errors via a dedicated email or confirm correctness within 30 […]
Taxpayers building their own home can now digitally submit VAT refund claims for DIY housebuilding, with the option effective from 5 December 2023. The time limit for claims will extend from three to six months after completing the build. This digital process aims to streamline administration for both HMRC and claimants, while the existing paper-based […]
In the UK, directors may be held personally liable for company penalties if they fail to fulfil their legal and fiduciary duties. This can happen if HMRC can prove that the director has deliberately concealed the facts and submitted incorrect data to HMRC. A recent court case has established similar facts, and the taxpayer appeal […]
Great news for employees! HMRC has just announced that you won’t face any additional tax charges when your employer covers the cost of electricity for charging your company car at home, whether it’s for business or personal use. But that’s not all – there are even more benefits without those pesky in-kind charges: 1.Free Home […]
Accountants face challenges with HMRC services, affecting productivity and efficiency. In a survey of UK ACCA members, 52% said HMRC service levels negatively impact them or their clients. Additionally, 93% called for improvements in key areas: reducing call waiting times, enhancing call handling systems, and better communication, particularly through email.
From April to September 2023, the UK collected £392.5bn in taxes, a £23.1bn increase from the same period in 2022. Key highlights include: Income tax, capital gains tax, and National Insurance receipts: £216.8bn, up by £11.5bn from 2022-23. PAYE receipts: £201.2bn, an increase of £10.8bn. Business tax receipts: £43.3bn, up by £7.7bn. VAT collected: £83.1bn, […]
individual landlords set up a limited company and an LLP, and transfer their properties to the LLP the individuals and the company are the members of the LLP (the company being the corporate member) The LLP allocates profits to individual members to keep them as basic-rate taxpayers. Any leftover profits go to the corporate member, […]
HMRC has initiated a widespread letter campaign addressing potential inconsistencies in benefit claims and the high-income child benefit charge within clients’ self-assessment returns for the fiscal year 2021-22. The correspondence outlines HMRC’s intention to reach out to agents, furnishing them with additional information. The goal is to empower agents to assist their clients in rectifying […]
Her Majesty’s Revenue and Customs (HMRC) has recently issued a reminder to employers regarding the permanent easement granted for reporting PAYE (Pay As You Earn) information in real time during the Christmas period. This announcement aims to streamline the reporting process for employers, particularly those who disburse payments ahead of the traditional payday during the […]
As of August 31, 2023, the Trust Registration Service reported 633,000 registered trusts and estates, with 75% registering between April 2022 and March 2023. Self-assessment returns by trusts and estates fell by 3% in 2021-22, part of a 12% decline since 2016-17. Total income in 2021-22 reached £3,075 million, surpassing pre-pandemic levels.
The data released under the Freedom of Information Act reveals that HMRC made 620 data requests to foreign tax authorities in 2022, nearly double the number in 2021 (322) and the highest number since 2018. This means that more UK tax residents with undisclosed foreign income will now receive inquiry letters from HMRC under the […]
Flexible pension withdrawals rose 15% in 2022-23 to £12.9bn, up from £11.2bn the previous year and £9.3bn the year before. Since 2015, the total value of taxable payments has surpassed £72.2bn. From April to June 2023, £4bn was withdrawn by 567,000 individuals in 1.3 million payments, with an average withdrawal of £7,143 per person. Sarah […]