2021 -
February
VAT - 25.02.2021
Deferred VAT payment scheme launches
Many businesses took advantage of the VAT deferral scheme and have been awaiting guidance on how to spread the repayment of the deferred amount. The scheme has now launched, so what are the key points?
WASTE - 25.02.2021
“Definition of waste” service suspended
The Environment Agency (EA) has extended the suspension of its “definition of waste” service and could scrap it completely. How might this affect you?
enforcement - 25.02.2021
How to respond to an investigation
A farmer is being investigated by a number of regulators after he bulldozed a riverbank. The case has been widely reported in the media. What can you learn from this?
PACKAGING - 25.02.2021
Packaging waste changes
On 1 January 2021 changes came into effect that affect recovery and recycling targets for packing and packaging waste for retailers and manufacturers in England. What’s changed, and what do you need to know?
NOISE - 25.02.2021
Council left red-faced over noise case
A property developer has won its case against Chichester District Council and as a result had permission for a noisy nightclub overruled. What were the circumstances and what can be learned from this case?
WATER - 25.02.2021
Have you considered recycling your water?
Reducing your use of clean water will lessen your environmental impact and save money at the same time. Two options towards this goal are the installation of grey water recycling systems and the capture of rainwater. Where can you start?
BIODIVERSITY - 25.02.2021
What is biodiversity net gain?
One of the components of the UK’s Environment Bill is for mandatory biodiversity net gain to be implemented at developments. What does it all mean and how could you be affected by the incoming legislation?
CARS - 25.02.2021
Why are plug-in hybrids under scrutiny?
Plug-in hybrids are marketed as greener than a petrol or diesel equivalent, but without the range limitations and price tag of pure electric. But research has now claimed they are a bit of a con. What’s the story?
CORONAVIRUS - 25.02.2021
Can you discipline for off-duty COVID breaches?
The laws relating to what people can and cannot do during the coronavirus pandemic have changed regularly over the last year. If an employee is fined for breaching the rules when they’re off duty, can you discipline them?
DISCRIMINATION - 25.02.2021
The importance of regular equality and diversity training
When it comes to defending discrimination claims, as well as having equal opportunities and dignity at work policies, a recent case has demonstrated that it’s just as important to conduct regular equality and diversity training. Why is it so crucial?
WORK AND PARENTS - 25.02.2021
Time off to attend adoption appointments
Employees who are proposing to adopt, either on their own or jointly with another person, are entitled to take time off work to attend adoption appointments in certain circumstances. How far does this statutory right extend?
GIFT AID - 24.02.2021
Avoiding the Gift Aid tax trap
A recent press article about tax and Gift Aid donations caught your eye. It said that people who donate to charity and whose income has been hit by coronavirus can face unexpected tax bills. Are you at risk of this trap?
PAYE - 24.02.2021
End of tax year PAYE procedures
The end of the 2020/21 tax year is weeks away and as usual HMRC has made tweaks to its PAYE procedures. As an employer what do you need to know?
CAPITAL GAINS TAX - 24.02.2021
Incorporation relief - is it always the best option?
If you transfer your sole trader or partnership business to a company, incorporation relief prevents a capital gains tax (CGT) bill being triggered. This sounds like good news but might you be better paying the tax instead?
PROPERTY - 24.02.2021
Tax year-end planning for holiday accommodation landlords
You own and let furnished holiday accommodation all year round but 2020 was a disaster because of coronavirus-related cancellations. This could mean losing the furnished holiday let status of the property. Can you prevent this?
INHERITANCE TAX - 24.02.2021
Time to make use of your IHT exemptions
It’s easy to ignore inheritance tax as it’s usually your beneficiaries and not you who pick up the tab. But there are simple steps you can take to reduce their tax burden. What’s involved?
LOANS - 24.02.2021
Which employee loans must you report to HMRC?
One of our subscribers lent money from his business to help an employee whose partner lost their job last summer. After repayments the employee’s loan is now just below the key £10,000 limit. Does our subscriber need to report it to HMRC?
COMPANY VEHICLES - 24.02.2021
Capital allowances incentive for “green” cars extended
Despite the financial pressures caused by the pandemic the government has gone ahead with the planned extension to tax breaks for environmentally friendly vehicles. What might this mean for your business?
CORONAVIRUS - LOANS - 23.02.2021
The latest on the new BBL rules
There’s a new Bounce Back Loan deal for businesses. The headlines say “more time to repay”, but there’s much more to it than that. What’s the full story?
HOMEWORKING - 23.02.2021
A new garden office - the tax implications
Lockdowns have proved that you can work effectively from home, so you are thinking of investing in a garden office. What are the key things to consider and are there any tax implications?
TAX - YEAR-END PLANNING - 23.02.2021
Reduce your company’s corporation tax bill
Your company’s financial year ends soon. Despite the tricky trading conditions over the last year the accounts will show a profit. What steps can you take to legitimately reduce the corporation tax bill?
MARKETING - 23.02.2021
How to make your website look trustworthy
As a result of the pandemic you’re doing more business online than ever. But could you increase sales by making your site look more trustworthy and, if so, how should you go about it?
CONTRACTS - 23.02.2021
Is a verbal contract worth the risks?
Contract paperwork can be tricky to keep track of and slow things down so you might be tempted by the alternative of a verbal contract. But is this safe? A 2021 case has highlighted the perils of relying on a verbal agreement. What are they?
SICKNESS ABSENCE - 23.02.2021
Converting sickness absence to holiday
An employee who’s gone off sick has accrued a stack of paid annual leave as they’ve hardly taken any time off in the past year. Can you insist that they use their paid holiday entitlement instead of taking sickness absence?
TERMINATION PAY - 23.02.2021
Tax-efficient termination pay for a director
After a difficult year your co-director is moving on with a little persuasion from you. You’re negotiating a financial settlement which will include a termination payment to compensate him. Can any of it be paid tax and NI free?
TERMINATION FEES - 23.02.2021
HMRC U-turns on termination payments
If your business changed how it deals with cancellation fees or termination payments, be aware that HMRC has now U-turned on its announcement to make the change retrospective. What do you need to do?
BREXIT - 23.02.2021
Selling electronic services: what’s changed since 1 January?
You sell software packages online. The already complicated rules for electronic services were further muddied after the end of the Brexit transitional period on 31 December 2020. What key issues do you need to consider going forward?
CARS - 23.02.2021
Can you reclaim VAT when you buy a new car?
The general rule for car purchases is that your business can’t reclaim the input tax if there will be any private use. But is this always the case, and might you be missing out on claiming VAT if you alter the conditions attached to the use of the car?
HOMEWORKING - 23.02.2021
Reclaiming VAT on homeworking costs
Following the coronavirus crisis, you are working from home three days a week. You have not previously claimed input tax on any costs associated with your home. But are you missing out on an opportunity to claim more VAT each period?
BUILDING CONVERSIONS - 23.02.2021
Minimise the VAT bill on a building conversion
You have purchased the freehold of an office block to convert into six flats to let commercially. You cannot claim input tax on the project costs because rental income is exempt. How can you minimise your VAT bill on the building conversion?
CHARITIES - 23.02.2021
Charity VAT recovery: increasing non-business use of assets
Your charity purchased a software package two years ago, claiming input tax in full as it was to be used solely for business purposes. You have now decided to use it only for charitable, i.e. non-business, purposes. What effect does this have?
EMPLOYMENT STATUS - 22.02.2021
What does the Uber decision mean?
The Supreme Court has unanimously upheld an earlier decision that Uber drivers are “workers”. What are the wider implications of this decision for employers?
TRADING LOSSES - 22.02.2021
Change basis to claim relief sooner
Your client has always been profitable but will make a loss in 2020/21. They have asked you to file their return as soon as the tax year ends to use it, but they currently use the cash basis. What problems does this raise and how can you help?
INVESTORS’ RELIEF - 22.02.2021
Raising equity finance - tax incentives for investors
A client is looking to raise some much-needed capital and has come to see you about issuing further shares. They have asked what tax-efficient schemes might be available to prospective investors. What could you recommend?
INCOME TAX - 22.02.2021
Tax efficiency and savings: diversity in planning
One of your clients has only a modest pension income. They rely on income generated from a share portfolio to top this up but are increasingly worrying about falling prices and low dividends. What might they look to use to diversify their investments?
CORPORATION TAX - 22.02.2021
Trade hasn’t commenced yet: what reporting is required?
Your client registered a new company for a side project in March 2020. However, there has been no trade due to coronavirus. They have asked whether they need to submit accounts and a corporation tax return. What do you advise?
NON-RESIDENCE - 22.02.2021
Advising a client who wants to emigrate
A subscriber’s client has recently won a substantial amount of money. They are looking to move to New Zealand where they have family, and there is a favourable tax regime. As well as the statutory residence test, what key issues should they raise?
VAT - 22.02.2021
Supplies between landlords and tenants: VAT issues
VAT on rental income can be a complicated matter. For tenant clients, you will want to maximise any savings in terms of input tax. For landlords, you need to ensure they are accounting for VAT correctly. What issues may arise?
BREXIT: IMPORTS AND EXPORTS - 22.02.2021
What are the key issues for EU trade post-Brexit?
A client makes occasional sales and purchases to and from EU countries. They have not traded for most of 2020 due to coronavirus and have not prepared for Brexit properly. What are the key points you should be drawing their attention to?
SELF-ASSESSMENT - 19.02.2021
More help with self-assessment tax bills
If you haven’t paid what you owe within 30 days of the filing date of your self-assessment return for that year, you’ll be charged a penalty. The good news is that HMRC has relaxed this rule for the 2019/20 tax year. What’s the full story?
TAX - 17.02.2021
Further 2021/22 tax rates announced
In addition to the basic rate band and personal allowance for 2021/22, the Treasury has now confirmed the cash equivalents for certain vehicle-related benefits in kind. What do you need to know?
COMPANIES HOUSE - 17.02.2021
Don’t forget key company filing dates
In a bid to save money Companies House has stopped sending paper reminders about key filing dates. That puts you at risk of missing a deadline. How can you avoid this?
BANKING - 16.02.2021
Bank dispute resolution service launched
After a successful pilot the Business Banking Resolution Service (BBRS) has been launched. Its aim is to help SMEs resolve disputes with their banks. What’s the full story?
BREXIT - 15.02.2021
The Brexit employment law implications
The government has confirmed that a proposed post-Brexit review of EU-derived workers’ rights has been cancelled. To what extent can the UK now change its EU-derived employment laws and are changes in this area likely in the future?
VENTILATION - 11.02.2021
Is your workplace well ventilated?
If you operate business or public premises it’s recommended that they are well ventilated during the pandemic. What does this mean in practice?
HORSEPLAY - 11.02.2021
Are you liable for injury caused by horseplay?
A High Court judge has dismissed an appeal by a contractor who said he deserved compensation for an injury caused by horseplay. Why did he lose and what action can you take to minimise liability for such acts?
MENTAL HEALTH - 11.02.2021
Mental health in the pandemic
The Chartered Institute of Personnel and Development has produced a guide to pandemic-related mental health problems, with practical advice on how to tackle them. What’s covered?
ELECTRICITY - 11.02.2021
Tesco fined £536,000 over electric shock
Tesco has appeared in court over an accident in which a child received an electric shock from a freezer cabinet. What went wrong and how can these types of incident be avoided?
SLIPS AND TRIPS CHECKLIST - 11.02.2021
Managing slips and trips in the workplace
Slips and trips at work are one of the most common causes of accidents. However, with some diligent management you can reduce the risk considerably. Use our checklist to assist you.
ACCIDENTS - 11.02.2021
Hotel must pay for window fall
A judge has agreed that the owners of a hotel must pay compensation for the death of a guest who fell whilst leaning out of a window. What does the case tell us about liability for accidents to the public?
FIRE SAFETY - 11.02.2021
Will fire risk assessors need to be accredited?
A fire industry body is prompting fire risk assessors to step up and set a new standard. How will these anticipated changes in the sector affect assessors and those contracting their services?
coronavirus - 11.02.2021
Bank holidays during furlough
The furlough scheme is currently due to end on 30 April 2021. Between now and then there will be two bank holidays. What happens where a bank holiday falls during a period of furlough?
SHIFT WORKING - 11.02.2021
The downside to banning shift swaps
Apparently, staff at Heathrow airport have been banned from swapping their shifts and many are disgruntled with this decision. Whilst you can place a ban on shift swaps, there’s a good reason why you shouldn’t. What is it?
HOMEWORKING - 11.02.2021
Permanent homeworking and the “normal place of work”
You’ve decided to move an employee to a permanent homeworking arrangement and you’ll be updating their employment contract to reflect this change. How should their new “normal place of work” be described?
GRIEVANCES - 11.02.2021
Does a grievance bar a constructive dismissal claim?
Where there is a serious breach of the employment contract, an employee can resign and claim constructive dismissal. Are they barred from bringing a constructive dismissal claim if they raise a grievance before they resign?
UNFAIR DISMISSAL - 11.02.2021
£28,000 for complaining about boss on Facebook
The tribunal has ruled that an employee who was sacked for complaining about his boss on Facebook was unfairly dismissed and awarded him £28,000. However, the employer had a social media policy in place, so why was the dismissal unfair?
RECRUITMENT - 11.02.2021
Must you rearrange an inconvenient virtual interview?
You’ve written to a job applicant inviting them to attend an interview which will be conducted online. They’ve now contacted you asking for the time to be changed as it’s “inconvenient”. Must you rearrange the virtual interview?
CONTRACTS - 11.02.2021
Can an employee resign from a fixed-term contract?
A fixed-term contract (FTC) is usually for a specified period of time, e.g. three months, or set to expire on a specified date. Can the employee resign during the FTC or must they remain in your employment for its entire duration?
PERSONNEL MANAGEMENT - 11.02.2021
What should you do if an employee asks for a loan?
Many people are struggling financially because of the ongoing coronavirus pandemic. If an employee asks you to lend them some money, are you obliged to do so and, if you do, what considerations do you need to bear in mind?
PENSIONS - 11.02.2021
Pensions auto-enrolment figures increasing?
The annual review of the automatic enrolment earnings trigger and qualifying earnings band figures has now taken place. Are the figures increasing this year?
DISABILITY DISCRIMINATION - 11.02.2021
Long Covid - what are the implications for employers?
Some individuals have reported ongoing symptoms following their initial coronavirus (Covid-19) infection and illness. This has been generically termed “Long Covid”. Is it likely to be a disability and how should you approach the issue?
INCOME TAX - 10.02.2021
Marriage allowance - HMRC unfairly refusing claims
Towards the end of 2020 one of our subscribers claimed the marriage allowance. After several weeks HMRC responded by refusing his claim and giving bogus reasons. What steps can our subscriber take to get the allowance he’s entitled to?
PROFIT EXTRACTION - 10.02.2021
Getting your company to buy your home
You’re moving to take advantage of the stamp duty holiday. You already have a mortgage offer but as your company has the funds would it be more tax efficient for it to buy your new home?
PROPERTY - 10.02.2021
Tax and your Green Homes Grant?
You’ve received vouchers from the government’s Green Homes Grant to go towards the cost of improving the energy efficiency of your buy-to-let property. Will you have to pay tax on this?
VAT - 10.02.2021
Deferred VAT - what’s the latest?
HMRC has published new guidance for businesses that used its VAT deferral scheme in 2020. The guidance relates to any additional VAT resulting from changes to your returns. What do you need to know?
GIFTS - 10.02.2021
Tax-efficient gifts of shares to your grandchildren
You want to make a gift of shares in your family company to your grandchildren to provide income for their upbringing and to reduce the potential inheritance tax (IHT) bill on your estate. For tax efficiency should your gift be made direct or through a trust?
SHAREHOLDER LOANS - 10.02.2021
Company closure - dealing with an overdrawn loan account
One of our subscribers has decided to close a subsidiary of her main company. Her loan account with the subsidiary company is in the red by nearly £20,000. If the subsidiary is wound up, what tax liabilities might this trigger?
BREXIT - COMPANY LAW - 09.02.2021
Brexit changes to Companies House compliance
Thankfully, Companies House compliance has not been dramatically affected by the UK’s exit from the EU for most companies. However, some will have to act and there are rule changes that all companies need to bear in mind. What’s new?
DEBT RECOVERY - 09.02.2021
Improved Prompt Payment Code
The government has amended the Prompt Payment Code (PPC) and obliged larger companies to pay small businesses within 30 days. When does this come into effect and what happens if a payment takes longer?
HEALTH AND SAFETY - 09.02.2021
Coronavirus at work: is a RIDDOR report required?
An employee is insisting that in the event of a coronavirus case in your workplace you would be legally required to make an official report to the HSE. Is this correct and, if so, what is required?
TAX - PROFIT EXTRACTION - 09.02.2021
Fine tuning your income tax planning
As the end of the tax year is just weeks away, now is the time to consider tax planning, especially around the income you take from your company. What steps will improve your tax efficiency?
TAX - 09.02.2021
Tax deduction for moving home costs
You’re moving to a place that offers a more suitable home office space. As it’s partly for business reasons, can you claim a tax deduction for a proportion of the removal costs?
CORONAVIRUS - BOUNCE BACK LOANS - 09.02.2021
Repaying bounce back loans on company closure
Your business received a bounce back loan (BBL) last summer but you’re now trading at a loss which will soon put the company’s accounts in the red. Rather than let that happen you intend to close it down. What will happen to the loan?
CORONAVIRUS - 08.02.2021
BBLS repayment terms relaxed
Bounce Back Loan Scheme payments are due to start in May 2021. However, the Chancellor has announced some repayment concessions. What are they?
EMPLOYMENT CONTRACTS - 08.02.2021
Sack and rehire to change employment terms?
According to a recent TUC survey, almost 10% of workers have been told to reapply for their jobs on worse terms during the coronavirus pandemic or otherwise face dismissal. Is it legal to fire and rehire in this way?
