Research and Development Tax Credit Update HMRC has provided an update on Research and Development Tax Credit payments, via the CIOT. Investigations into irregular claims are still ongoing. Furthermore, HMRC has made it clear that the investigations are to stop the abuse of the relief. However, delays in the processing time of claims have increased.
Dividends – When to pay tax Dividends are shares of profit paid out by limited companies. A company’s shareholders receive dividends when it makes a profit. A limited company can only declare dividends if it makes enough profit after paying all its liabilities and expenses. The amount of dividends relates to how many shares a
Research and Development tax credit payments on hold HMRC have paused Research and Development tax credit payments. Investigations are also now underway into irregular claims for the tax relief. HMRC says that most of the claims are genuine and that the investigations should have no impact. However, delays are now expected when processing R&D claims,
R&D Tax Relief – Does your business qualify? Research and Development Tax Relief (R&D) is a relief that businesses may be able to claim if they incur expenses whilst developing or enhancing existing products, services or processes. Many different businesses can claim R&D relief if they seek to research and develop an advancement in their
SEISS grants overpayments chased by HMRC HMRC is now contacting taxpayers who received more SEISS grants than they were entitled to. Taxpayers may repay a partial amount, or repay their grants in full, with the option to appeal within 30 days. HMRC is examining the SEISS claims and comparing them to amended returns. Indeed including
What is the Enterprise Investment Scheme? The Enterprise Investment Scheme (EIS) is a government backed initiative. The scheme encourages investors to buy shares in companies that are higher risk. In exchange, individuals receive generous tax reliefs. Under the Enterprise Investment Scheme, businesses can raise up to £5m each year. Although, a business can only claim
New Tax Year 2022/23 The 2022/23 tax year begins today, 6 April 2022 and ends on 5 April 2023. Each new tax year has the potential to bring an element of change to individual taxes and business taxes. Over the course of the year, Chancellor Rishi Sunak has announced numerous tax updates which take effect
The super-deduction was first announced in March 2021, allowing for businesses who make investments in plant and machinery, to receive a 130% allowance deduction. Property letting companies were not originally included in the scheme, meaning only occupiers could make a claim. However, amendments set out in the Finance Bill, mean that landlords now qualify for
The Financial Times has obtained data through a freedom of information act (FOI) request, which states that companies have repaid £709m from furlough claims that have been made under the Coronavirus Job Retention Scheme (CJRS). According to the data, an additional £319m has been reclaimed from companies that had mistakenly claimed the incorrect amount. As
Since the introduction of the furlough scheme back in March 2020, more than £60 billion has been claimed through the furlough scheme. Whilst the furlough scheme has been used to protect over 11 million jobs, there have been instances where the scheme has been exploited. Last month a couple from Yorkshire were arrested as part
Earlier this week the Chancellor outlined his plans to get the economy going again, following the impact of the coronavirus pandemic. On Wednesday, Rishi Sunak announced the following: Furlough scheme extended until the end of September Self-Employment Income Support Scheme 4th and 5th grants confirmed Income tax thresholds frozen until 2026 Stamp duty holiday extended
Corporation tax returns are due 12 months after the accounting period ends. For many companies the accounting period ends on 31st December therefore, 31st December 2020 will be the filing deadline for accounting periods ending on 31st December 2019. HMRC are urging businesses to file their corporation tax returns by the relevant deadline. Due to
Today in his speech to the House of Commons the Chancellor, Rishi Sunak announced his latest plans to help protect jobs amidst the ongoing coronavirus pandemic. Whilst the primary goal to protect people’s jobs remains unchanged, Mr. Sunak has confirmed that the way to approach this must change. Mr. Sunak has confirmed that the furlough
With the deadline for the deferral of VAT payments due to Coronavirus having now passed on 30 June. Businesses that made use of the deferral scheme will now need to reinstate their direct debit mandates or potentially face late payment charges. The VAT payment deferral has meant that all UK VAT-registered businesses had the option
The guidance on the CJRS has been updated, and new guidance has been published for calculating claims. The changes outlined mean that employers will be required to gradually take back responsibility for the salaries of any furloughed employees until the end of the scheme. A policy paper has been published by HMRC outlining changes to
On Friday 29 May, the Chancellor, Rishi Sunak, announced the gradual phasing out of the Coronavirus Job Retention Scheme (CJRS) with its complete conclusion set to take place on 31 October 2020. The changes outlined mean that employers will be required to gradually take back responsibility for the salaries of any furloughed employees until the
Personal Tax Update – 29/05/20 Keep up to date with the key announcements made this past week. Coronavirus (COVID-19): job retention scheme HMRC have provided further updates on the coronavirus job retention scheme (CJRS) for employees and employers to: explain that employers will be asked to detail separately the amounts for NIC, pension and wages
Personal Tax Update – 22/5/2020 In another information packed week, below is a summary of the key changes announced. Coronavirus (COVID-19): job retention scheme HMRC has updated the coronavirus job retention scheme (CJRS) guidance with several changes: the guidance note on ‘working out 80% of your employees’ wages to claim through the CJRS ’ has been
Keep up to date with the key announcements made this past week. In the ever-fast-moving world of tax announcements and developments, here we have pulled together some of the key changes announced this week. Coronavirus (COVID-19): job retention scheme extended until 31 October As at the 12 May, 7.5m employees had been furloughed under the
Keep up to date with the key announcements made this past week. In the ever-fast-moving world of tax announcements and developments, here we have pulled together some of the key changes announced this week. HMRC Guidance on job retention scheme HMRC has updated its guidance with various changes on the job retention scheme. A new section for
Chancellor Strengthens Businesses Position on Interruption Loan On 3 April the Chancellor, Rishi Sunak, gave a boost to businesses aiming to utilise the Coronavirus Business Interruption Loan Scheme (CBILS). Banks have been requesting personal guarantees for loans taken out through the CBILS, Sunak has now taken the decision to ban that requirement. The government is
Tax avoidance promoters are targeting returning NHS staff for their schemes. HMRC announced that they are aware of “unscrupulous promoters of tax avoidance schemes are targeting workers returning to the National Health Service (NHS) to help respond to the coronavirus (COVID-19) outbreak.” HMRC warned returning staff to avoid signing up to such schemes, which they
In the current emergency, anything that potentially reduces outgoing cash flow, including impending tax due dates for payment, is welcome. We have therefore outlined, opportunities within the current tax system that businesses should not overlook. Tax Deferral – HMRC Announcements Second Payment on Account instalment due on 31 July 2020 HMRC have confirmed that the
New measures have been announced by the UK government to help prevent businesses who are unable to meet debts as a result of the COVID-19 pandemic These measures are an attempt to help business owners from having to file for bankruptcy and putting their companies into liquidation. The new rules will allow companies undergoing restructuring
