What is an EMI Scheme? EMI Share Options Scheme is an initiative HMRC implemented to allow UK businesses to give share options to their employees with significant tax benefits. The scheme is intended to help smaller independent businesses realise their potential by attracting and retaining the best employees for long-term success. The key difference between […]
Charitable giving and tax relief for companies and individuals Defining ‘charity’ for tax purposes A charity is a body of persons or trust that broadly meets all the following conditions: It is established for charitable purposes only. It is subject to the control of a UK court or any other court in an EU member […]
Insight to R&D eligible cost What costs qualify for R&D tax credits? You can claim Research and Development (R&D) tax credits on revenue expenditure, i.e., day-to-day operational costs. But usually, capital expenditure (money spent on fixed assets such as land and buildings) is not eligible for R&D Expenditure within the claim. Eligible R&D Expenditure Revenue […]
What do you know about Corporate Intangibles Tax Treatment Corporate intangibles tax treatment The corporate tax treatment essentially follows the treatment of intangibles in the accounts. There are, however, restrictions on the deductibility of debts about goodwill and other customer-related intangible assets depending on the date of acquisition or creation. The corporate intangibles regime has gone through several iterations since its introduction in […]
New VAT Penalties regime Penalties for late payment and interest harmonisation For VAT taxpayers from periods starting on or after 1 January 2023. For taxpayers in Income Tax Self-Assessment (ITSA), from the tax year beginning 6 April 2024 for taxpayers with business or property income over £10,000 per year (that is, taxpayers must submit […]
Does HMRC have too` much power or not enough? The taxes collected by HMRC – £584.5bn in 2020-21 – run the UK and, as such, the right amounts must be managed. To this end, HMRC has myriad powers to review returns and check taxes have been correctly calculated and paid. For civil cases, these powers […]
Charities – What we can do for you We are often approached by charities for guidance on a range of financial and advisory matters. For example, what needs to be included in our annual reports? Do we need to be audited? What are the deadlines for our accounts, are they the same as a normal […]
Tax implications from loans to participators made by close companies The Autumn Budget 2021 confirmed that the increased dividend upper rate will apply on tax charged under Corporation Tax Act 2010, s.455, which details new anti-avoidance measures in addition to those already in place for loans to participators in close companies. Let’s take […]
HMRC ramping up anti-abuse measures for R&D claims If you have been following the Autumn Budget announcement you may have noticed that the government highly values UK Research and Development (R&D) . After all, the UK surpasses its international peers in R&D investment at 1.1% of GDP. R&D spending is also set to rise […]
Autumn Budget 2021: Big changes incoming for R&D The Chancellor announced a number of changes, policies and reforms as part of the Autumn Budget – most notable among these for us were the incoming changes to the R&D Tax Credit structure. The Chancellor made sure it was well known that the underlying theme […]
Capital Allowance Super-Deduction explained The Treasury announced on 3 March 2021 the introduction of a 130% Capital Allowance super-deduction as well as 50% first-year allowance (FYA) on special rate (SR) assets. These are just one of many incentives the UK government has used to improve business investment, so let’s take a comprehensive look at […]
Health and Social Care Levy: Why are National Insurance rates increasing? WIM Accountants summarises the tax increases brought with the Health and Social Care Levy Bill 9 September was a day that shocked the nation, particularly lower-earning taxpayers when the Prime Minister announced a tax increase. National Insurance rates are set to rise along […]