2021 -
March
SELF ASSESSMENT PENALTIES - 30.03.2021
Only two days left to avoid 5% penalty
If you have an outstanding self-assessment tax liability for 2019/20, you have until 1 April 2021 to pay it or receive a penalty equal to 5% of the amount owing. But is there another option if you’re still struggling?
BUDGET 2021 - 26.03.2021
Tax rises shunned - for now
The 2021 Spring Budget was much quieter than expected in terms of tax changes, but there were still some important things to make clients aware of. What are the key points to bring to their attention?
INHERITANCE TAX - 26.03.2021
Make sure BPR isn’t wasted when the will is drafted
A new client has recently updated their will. Their estate includes trading company shares which fall into the residue, and a legacy to their spouse. Could the way the will is drafted mean a loss of business property relief?
PAYE YEAR END - 26.03.2021
Payroll year end: the dos and don’ts
Several of your clients have asked for your help with their PAYE filing for 2020/21. Payroll isn’t a service you normally offer, so what are the key things to close 2020/21 down and open 2021/22?
EMPLOYMENT STATUS - 26.03.2021
Member and employee of an LLP?
A recent tribunal case considered a claim by the partner in a limited liability partnership (LLP) that he should have been taxed as an employee at certain relevant times. Is it possible to cherry pick employment status in this way or do the salaried member rules bite?
CORPORATION TAX - 26.03.2021
Corporation tax loss relief for investment companies
A client’s company makes investments into other companies. One of these investee companies is struggling following lockdown, and your client has decided to sell the shares at a big loss. Can they claim corporation tax loss relief?
ANTI-MONEY LAUNDERING - 26.03.2021
Money laundering obligations revisited
The National Risk Assessment report on money laundering and terrorist financing stresses that the risk of money laundering through accountants remains high. What do you need to be aware of, and what indicators should you look out for?
BREXIT - VAT - 26.03.2021
Post-Brexit VAT: tips, traps and pitfalls
Your client’s trade involves exporting goods from a GB warehouse to private customers in several countries. What VAT issues must they consider to ensure these sales will not encounter problems when the goods arrive in the customer’s country?
PAY - 25.03.2021
How to make lawful deductions from a worker’s wages
If a worker breaches their contract or you believe they otherwise owe you money, you might decide that the easiest solution is to make a deduction from their wages to compensate you. What is the legal position on this?
FLY TIPPING - 25.03.2021
The scale of the fly-tipping problem
A BBC documentary has identified that there are over 1m cases of fly-tipping every year. How can you protect your business from the waste criminals?
ENERGY PERFORMANCE - 25.03.2021
The latest rules on energy performance for buildings
There are compulsory minimum levels of energy performance for properties but it’s a devolved issue, resulting in differences across the UK. What rules are in place and how might these change?
WASTE - 25.03.2021
Defra’s dubious record on waste
The Department for Environment, Food and Rural Affairs (Defra) is the government department for environmental policies on waste and water. But new data shows it is not practising what it preaches. What’s the story and what can you learn from it?
EMISSIONS - 25.03.2021
New BAT regime coming
The UK is committed to providing a future regime for the development of “Best Available Techniques” (BAT) within the UK. What is BAT, how is it used, and how could changes affect your business?
ECOLOGY - 25.03.2021
Protecting ecology whilst you work
If you’re planning to carry out construction work, you need to take into account how it might impact the local environment. Use our ecology checklist to ensure you are working responsibly.
POLLUTION - 25.03.2021
Chlorinated paraffins added to pollutant list
The government is proposing to add certain chlorinated paraffins to its list of persistent organic pollutants. What does that mean and how might you be affected by the changes?
PACKAGING - 25.03.2021
Promoting your packaging policies
Plastic packaging remains a key issue for customers and politicians. If you’re doing what you can to reduce the amount you use, should this be something you make a key part of your marketing strategies and promote heavily?
EMPLOYMENT STATUS - 25.03.2021
Off-payroll enforcement plan published
HMRC has published its long-awaited enforcement policy that applies to the roll-out of off-payroll working in the private sector. What are the key elements of it that you need to be aware of?
SALARY - 25.03.2021
How to process salary advances
Many employers may have had to offer salary advances and loans during the pandemic as employees have struggled financially and hours possibly reduced. How should you process these salary advances?
NATIONAL INSURANCE - 25.03.2021
NI break if you take on a veteran
The government is introducing an NI exemption to encourage employers to take on former military personnel. If this is something you’d like to support, what are the key considerations?
IR35 - 24.03.2021
New off-payroll rules - balancing your books and tax records
If, because of the new off-payroll rules, your client will deduct PAYE tax and NI when settling your invoices, you will need to make important changes to your admin and how you draw income from your business. What steps do you need to take?
LOSSES - 24.03.2021
Extra tax relief for business losses
The Budget announcement of a temporary widening of the loss relief rules was welcome news for businesses hit hard by the pandemic. If your firm’s recent accounts show a loss, how can you use the new relief to obtain a tax refund?
PAYE - TAX CODES - 24.03.2021
New tax year, new tax code
The 2021/22 tax year is just around the corner and HMRC has been busy churning out new tax codes. If you’ve received one what should you be checking, and if you haven’t should you be asking HMRC to issue one?
TRAINING COSTS - 24.03.2021
Tax-free training for you and your company
You’re bringing your son into the family business. He’s currently working for you part time while he finishes his studies. You’ve heard about an exemption that will allow you to pay him tax and NI free. Can you use it and if so how does it work?
CAPITAL ALLOWANCES - 24.03.2021
Is the new super-deduction worth claiming?
Budget 2021 included an announcement about a new super-deduction expenditure on equipment. It comes with a raft of conditions and hidden drawbacks. Before claiming the super-deduction what do you need to know about it?
BUDGET - 24.03.2021
Budget 2021 - the highs and lows
There was much to talk about in Budget 2021 including a hike in corporation tax and a new tax “super-deduction”. Aside from these what other changes might affect you or your business?
VAT - BREXIT - 24.03.2021
Reclaiming VAT on expenses incurred in the EU
Before the end of the Brexit transition period you could reclaim VAT paid on purchases of goods and services used while visiting the EU. This special system is no longer open to most UK businesses. Do you have to swallow the VAT as an extra cost?
TAX REFORM - 24.03.2021
Tax day announcements hint at changes
On 23 March 2021, dubbed “tax day”, the government published a number of policies that seem to suggest the UK tax system will be subject to major reform in the coming years. What were the key announcements?
TAX - BUDGET - 24.03.2021
Budget 2021 - the hidden impacts
Whilst Budget 2021 included headline-making changes, the small print also contained several important tax measures. How might these affect your business?
DIRECTORS’ LIABILITY - 24.03.2021
Failure to keep accounts lands clothing boss in jail
A director was imprisoned and disqualified for failure to keep adequate accounting records. What led to such a draconian penalty, and what do directors have to do to stay on the right side of the law?
TAX -BENEFITS IN KIND - 24.03.2021
Year-end tax planning for personal bills
In the current tax year you’ve used your company’s bank account to pay some personal bills. If you take no action this will result in tax and NI liabilities. How can you prevent or delay these?
OFFICE EQUIPMENT - 24.03.2021
Should you buy or lease a copier?
A new printer-copier is an outlay you could do without, so is it worth looking at lease options instead? What do you need to watch out for, and can you secure any savings?
VAT - 24.03.2021
VAT - using a special method for partial exemption
If your business makes exempt and taxable supplies, the VAT it can reclaim on its general expenses is restricted. HMRC operates a standard method for working out the restriction, but could you use a special method instead to get back more VAT?
HEALTH & SAFETY - 24.03.2021
The £157 per hour bill you could avoid
The Health and Safety Executive (HSE) can charge businesses £157 per hour for its inspectors’ time whilst on your premises. Why is this and how can you avoid these charges?
UNFAIR DISMISSAL - 24.03.2021
Director unfairly dismissed for installing covert camera
The Employment Appeal Tribunal has ruled that a director who was sacked for installing a covert camera in his office was unfairly dismissed. Does this ruling mean that you can install covert cameras in your office?
CORONAVIRUS - 23.03.2021
Asymptomatic coronavirus testing
The government’s workplace testing programme is available to smaller companies whose staff cannot work from home. What’s involved, and are there any alternatives?
CORONAVIRUS - 22.03.2021
When can vulnerable workers return?
The government has sent out a new guidance letter to all those in England who are clinically extremely vulnerable (CEV) informing them that from 1 April 2021,they are no longer advised to shield. What does this mean from an employment perspective?
TAX AVOIDANCE - 22.03.2021
Tax dodging for the masses?
The Sunday Times has published an article suggesting that more and more regular workers are turning to tax avoidance schemes. Is this right, and if so what do you need to look out for?
FIRST AID TRAINING - 19.03.2021
First aid training constraints
The HSE has again revised its guidelines on the delivery of first aid training to cope with the impact of the pandemic. What’s the story?
FIRE - 19.03.2021
£500,000 for fatal fire at luxury hotel
Owners of a hotel on the banks of Loch Lomond have been fined heavily after a fire safety conviction and a night porter has been handed a community payback order. What did they do wrong?
MACHINERY - 19.03.2021
Updated guidance on purchasing machinery
The HSE has issued an updated leaflet on the subject of purchasing machinery, taking into account legal changes since the UK left the European Union. What does it advise?
LIFTING OPERATIONS - 19.03.2021
Lifting operations accident killed visiting driver
In January 2021 the HSE prosecuted a company for a fatal accident involving a visiting driver. What does it tell us about liability for mechanical lifting operations involving third parties?
WORK AT HEIGHT - 19.03.2021
Getting work at height right
Work at height is one of the riskiest activities which you can undertake, and the bad news is that even if you contract the work out, you’ll retain some responsibility. Use our checklist to ensure it’s planned and executed safely.
ASBESTOS - 19.03.2021
What to do if you find asbestos
Asbestos-containing materials were still used in buildings until 1999. It’s therefore not unusual for asbestos to be found during building maintenance or alterations. What should you do if you come across it?
HAND-ARM VIBRATION - 19.03.2021
Identifying hand-arm vibration syndrome
One of our subscribers received a visit from an HSE inspector who criticised the employer’s failure to arrange adequate health surveillance for staff using vibrating tools. What’s required?
CORONAVIRUS - TIME OFF - 19.03.2021
Paid time off for the vaccine?
Every adult will be invited to receive a coronavirus vaccine at some point in the next few months. Is an employee entitled to paid time off if an appointment slot falls during their working hours?
MINIMUM WAGE - 19.03.2021
When do 23 year olds get the national living wage?
On 1 April 2021 the national living wage (NLW) rate rises from £8.72 to £8.91 p.h. The NLW will also be payable to those workers who are aged 23 and over. Is the NLW rate effective from the worker’s 23rd birthday or another date?
CORONAVIRUS - 19.03.2021
Fairly dismissed for refusing to wear a face mask
The tribunal has found that an employee who refused to wear a face mask whilst carrying out his work was fairly dismissed by the employer. Does this ruling mean that you can sack any employee who refuses to wear a mask?
PARENTAL LEAVE - 19.03.2021
Can an inconvenient parental leave request be refused?
An employee has asked to take three weeks’ parental leave. Whilst this time off would be unpaid, the dates they’ve requested are inconvenient for you. Does this mean that the employee’s parental leave request can be refused?
RECRUITMENT - 19.03.2021
Recruiting staff after redundancies
Having previously made some redundancies you now need more staff due to an upturn in work. When is it safe to start recruiting again after making staff redundancies?
INTELLECTUAL PROPERTY - 19.03.2021
Intellectual property created at home?
In a 2021 case the employee claimed that he owned the intellectual property rights to a software product marketed by his employer because he often worked on its development in his own time. Why did this claim fail?
TRIBUNAL PROCEDURE - 19.03.2021
Early conciliation: any right to extension of time?
A claimant who wishes to issue a tribunal claim must initially apply for early conciliation (EC). If they misunderstand the EC rules and miss the deadline for submitting their claim, are they entitled to an extension of time?
CORONAVIRUS - 16.03.2021
CJRS extended to September 2021
The government has announced that the Coronavirus Job Retention Scheme is being further extended until 30 September 2021. What else do you need to know?
CORONAVIRUS - 16.03.2021
Sack non-vaccinated employees?
As the UK continues to roll out its coronavirus vaccination programme, some employers are now looking to make vaccination compulsory for their staff. Can you dismiss or refuse to employ those employees or new recruits who refuse to be vaccinated?
STATUTORY RATES - 16.03.2021
Increase in a week’s pay
New legislation will increase the rate of a “week’s pay” and some other compensation limits from 6 April 2021. What are the relevant increases?
EMPLOYMENT TRIBUNALS - 16.03.2021
What is interim relief?
Although they were previously relatively rare, there has been a surge in applications to the employment tribunal for interim relief during the coronavirus pandemic. When can interim relief be applied for and what might be the outcome?
MATERNITY LEAVE - 16.03.2021
What happens at the end of maternity leave?
It’s up to the employee how much of their 52-week maternity leave entitlement they want to take, subject to taking a minimum of two weeks’ compulsory maternity leave after the birth. What’s the position if they want to return early, late or not at all?
RECRUITMENT - 15.03.2021
Flexible working ads lead to more CVs
New research from the government and jobs website Indeed has revealed that ads which explicitly offer flexible working arrangements increase applications by up to 30%. What flexible working options might you consider offering?
LAND TAX - 10.03.2021
LTT holiday extended
Following Rishi Sunak’s announcement of the Stamp Duty Land Tax (SDLT) holiday extension at last week’s Budget, the Welsh government has decided to make a similar move with Land Transaction Tax. What are the key points?
PROFIT EXTRACTION - 09.03.2021
Remuneration strategies for the old and new tax years
If you have control over the salary and dividends you receive from your company, this time of year is important for tax and NI planning. Especially this year if profits have been adversely affected by the pandemic. What factors should you consider for maximum tax efficiency?
NATIONAL INSURANCE- PAYROLL - 09.03.2021
Directors - double check your NI contributions now
Special rules apply to directors’ NI contributions. Normally they go unnoticed but in a year which has seen many directors cut their salary this might result in too much NI being paid. If this affects you, how can you get a refund?
INVESTMENTS - 09.03.2021
Personal or company investment in woodlands
Part of the attraction of investing in woodlands is the tax-saving opportunities that come with them. One of our subscribers wants to know whether it’s more tax efficient to receive the tax breaks by investing personally or via a company?
DIRECTORS’ LOANS - 09.03.2021
Repaying your overdrawn director’s loan account
Over the last year you needed to borrow money from your company which pushed your director’s loan account into the red. You now want to clear the debt. What are your options and what potential tax pitfalls might there be?
VAT - 09.03.2021
Can you ask your customer to pay for your VAT error?
Your new bookkeeper has found a batch of sales invoices, issued a year ago soon after you registered, that didn’t include VAT. Can you now issue an extra invoice to correct the VAT error and how do you handle the situation with HMRC?
NATIONAL INSURANCE - 09.03.2021
HMRC warning over Class 2 NI
Some state benefits need an up to date NI record. This might pose a problem for anyone who has deferred their self-assessment tax bill. How might this affect you?
CHILD BENEFIT - 09.03.2021
Time to review your child benefit claim
You’ve opted out of receiving child benefit payments because the high income child benefit charge (HICBC) means you pay it all back to the government. But if coronavirus has hit your income might it be time to think again?
EXPENSES - 09.03.2021
Tax efficiency for out-of-pocket business expenses
One of our subscribers has been meeting some business expenses out of her own pocket. The firm’s bookkeeper has asked for details and suggested the company pays her interest for using her own money. Is there any tax advantage to this?
PROPERTY - 09.03.2021
Reducing the cost of moving
With many staff working from home, your in-office workforce has been reduced, which means you need less space and are looking to move. The savings in rent are attractive but what moving costs should you budget for?
TAX - CAPITAL GAINS - 09.03.2021
How to avoid tax when moving business premises
You want to move your business to new premises. You’re expecting to make a gain from selling the current one and you’re worried that the tax on this will eat into the money for the new premises. How can you legitimately avoid the tax bill with rollover relief?
EMPLOYMENT STATUS - 09.03.2021
Genuinely self-employed or your worker?
The Supreme Court has ruled that Uber drivers who had been described as “self-employed” in their contracts were actually workers. Why did the Court reach this decision?
TAX - 09.03.2021
Tax implications of a second job
Your main business has been struggling for a variety of reasons, but your skills and experience are in demand elsewhere and you’re considering a second job. What could be the tax implications?
DATA PROTECTION - 09.03.2021
Unnecessary data breach reports
Around a third of the data breach self-reports submitted to the Information Commissioner’s Office (ICO) are unnecessary. So when should you self-report?
CORONAVIRUS - 09.03.2021
BBL fraud risk
The Bounce Back Loan (BBL) scheme has been a lifeline for thousands of SMEs during the coronavirus pandemic. However, its accessibility and reliance on self-certification have left it open to significant fraud and credit risks. What do legitimate businesses need to know?
CORONAVIRUS - 08.03.2021
Free testing kits for all employers
The government has now extended its free COVID-19 workplace testing programme to all employers in England, including those with fewer than 50 employees. How can you access the programme?
CORONAVIRUS - 05.03.2021
COVID-19 and travel restrictions
HMRC has updated its guidance on the tax impact for non-resident employees due to COVID-19. What do you need to know?
COURT ORDERS - 05.03.2021
Dealing with Direct Earnings Attachments
Direct Earnings Attachments are the most common type of court order that employers will have to deal with through the payroll. But they can still trip you up - what do you need to know?
