Shona Robison announced Scotland’s 2024-25 Budget on Dec 19, 2023. Key tax changes include a new 45% rate for income between £75,000 and £125,140, and a 48% top rate for income over £125,140 starting April 6, 2024. Other rates and property taxes remain mostly unchanged.
HMRC’s handling of research and development (R&D) tax relief compliance continues to result in valid claims being rejected says the Chartered Institute of Taxation. The institute has written again to HMRC about the issue following an exchange of letters over the summer. It welcomes HMRC’s acknowledgement that its handling of some R&D claims has not […]
HMRC conducted surprise visits at 24 eateries in Edinburgh, London, St Helens, and Stoke to combat electronic till fraud. Some restaurants use electronic sales suppression tools to alter records and evade taxes. HMRC is urging those involved in these tools to disclose voluntarily to reduce penalties. They’ve received over 50 disclosures since May 2023. Penalties […]
48 countries, including the UK, have agreed on the Crypto-Asset Reporting Framework (CARF), an OECD tax transparency standard. CARF mandates crypto platforms to share taxpayer information with tax authorities, aiming to combat tax evasion facilitated by the crypto market. Estimated tax non-compliance on crypto holdings is 55-95%. CARF, starting in 2027, builds on the successful […]
HMRC has lost sight of needing to put taxpayers at the heart of changes to the tax system, said the parliamentary Public Accounts Committee (PAC) in a report on the making tax digital (MTD) programme. The committee noted that with MTD, rather than aiming to make it easier for people to get their tax right, […]
Chancellor allocates £163m to boost HMRC’s debt team, aiming to recover £4.67bn in unpaid tax over six years. Funds may enhance enforcement, leverage advanced tech for tax evasion detection, and address legal, ethical, and public perception challenges in debt collection.
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, […]