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
After numerous delays, the VAT reverse charge on construction and building services comes into force on Monday 1st March 2021. The new rules will see changes to how VAT is collected in the sector. VAT-registered subcontractors performing qualifying ‘construction operations’ will no longer charge VAT on its services to main contractors. From Monday, it will
Earlier this week, the government announced a new £20 million Brexit Support Fund to help small and medium sized businesses (SMEs) adjusting to the new customs and VAT rules, when trading with the EU. The Fund will comprise of grants of up to £2,000 per business. The grant is intended to cover: Training on managing
High streets have undoubtably struggled throughout the pandemic over the past year. Since the first lockdown in March, the government has provided support for businesses to try and prevent as many closures and job losses as possible. To support businesses during these challenging times, the government introduced a business rates holiday. Business rates were temporarily
Over the past year, HMRC’s investigations into online sellers using platforms such as Amazon and eBay, decreased drastically amid concerns over tax evasion. Tax evasion from online sellers has been a concern for HMRC as VAT evasion by overseas sellers on online platforms has cost HMRC up to £1.5billion in lost tax revenue in 2015/16
Last year, the government automatically deferred VAT payments for businesses between 20th March 2020 and 30th June 2020, during the coronavirus pandemic. The VAT payments were deferred until 31st March 2021 however, businesses do not need to pay the full amount by the end of March, instead they can opt into a new payment scheme
Post-Brexit rules came into force on 1st January 2021, despite the Free Trade Agreement with the EU, the UK is now facing new taxes and charges on goods sent between the EU and the UK. Many UK consumers have been faced with unexpected charges, in order to receive their goods. As the UK is no
Following the UK’s transition out of the European Union, the UK introduced new tax changes that came into force on 1st January 2021. Businesses in the EU, importing into the UK, will now have to comply with additional laws and may face higher costs. This change has led to some EU businesses stating they will
Businesses that import goods regularly into Great Britain, can apply for a duty deferment account, taking effect from 1st January 2021. A duty deferment account delays payment of most customs and tax charges, for example: Customer Duty Excise duties Import VAT Duty deferment accounts allow for importers (or their representatives) to make one monthly payment
Following the official departure from the EU, Great Britain is currently in the transitional period until 31st December 2020. From 1st January 2021, a new model for VAT treatment of goods arriving from overseas will be introduced. HMRC will be moving the point at which VAT is collected from the current point of importation to
The government has extended the temporary 5% reduced VAT rate. The temporary rate was originally planned to end on 12th January 2021 however, it has now been extended to 31st March 2021. These changes have been introduced in response to the Covid-19 pandemic to support those businesses affected most. The extension of the 5% reduced
HMRC has updated its guidance for VAT-registered businesses who deferred their VAT between 20th March and 30th June 2020, due to the Covid-19 pandemic. Businesses who still have payments to make can: Pay the full deferred VAT amount on or before 31st March 2021 Opt into the new payment scheme that launches in 2021 Contact
As the coronavirus pandemic continues, it is looking highly unlikely that Christmas parties will be the same this year. Under normal circumstances employers who hold annual events, such as Christmas parties, for their employees may be able to benefit from a limited tax relief under specific criteria. Whilst there is no specific tax legislation that
Earlier this week the Chancellor, Rishi Sunak, made a statement to the House of Commons to offer support to businesses who are struggling as a result of further restrictions required, due to the coronavirus pandemic. In these challenging times the Chancellor has acknowledged that additional support is required in order to keep people in jobs
HMRC will be migrating their VAT customers from VAT Mainframe on to their Enterprise Tax Management Platform. These changes will take place from March 2021. The new changes do not affect any customers already signed up to Making Tax Digital, as their records are already stored on the Enterprise Tax Management Platform. Any VAT businesses
Keep up to date with the key announcements made over the last 2 weeks. Winter Economic Plan The Chancellor, Rishi Sunak has laid out the latest support package for the ongoing coronavirus pandemic. In his speech to the house of commons yesterday, Sunak confirmed that the furlough scheme would indeed end on 31st October as
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
Keep up to date with the key announcements made this past week. Loan Charge deadline looms large The deadline for settling the highly controversial disguised remuneration loan charge is fast approaching. Following the findings of the report from Sir Amyas Morse, HMRC relented and narrowed the scope of the loan charge, removing a large number
HMRC have published guidance on when you can claim reliefs to pay less customs duty and VAT if you re-import goods to the UK and EU. The relief which is known as Returned Good Relief, can be claimed where goods are re-imported into the UK or EU that had been previously exported. Goods must have
Keep up to date with the key announcements made this past week. Coronavirus Job Retention Scheme changes The latest September updates to the Coronavirus Job Retention Scheme have now taken effect. The updates will see the total contribution provided by the scheme fall from 80% of employees wages to 70% up to a cap of
Tax Update 7/8/2020 Keep up to date with the key announcements made this past week. Job Retention Bonus Clarification for Employers HMRC have produced a policy paper on the eligibility requirements for employers seeking to claim the job retention bonuses. The updated guidance provides clarifications as to when claims can be submitted, claims after the
Keep up to date with the key announcements made this past week. Covid-19 support scheme overpayments HMRC has published two new compliance check factsheets, these factsheets cover assessments, interest and penalties where grants under the coronavirus support schemes have been over paid and fail to notify HMRC about the overpayment. CC/FS48 Job Retention Scheme –
This afternoon the Chancellor, Rishi Sunak announced a raft of new measures in his summer economic update. In a bid to restart the economy and save jobs Mr. Sunak announced the following measures; VAT Cuts The rate of VAT for the hospitality and tourism industries is set to drop from the standard 20% rate to
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
