2021 -
June
LOSSES - 30.06.2021
New loss relief claims now allowed
Companies can now claim the new extended loss relief announced in Budget 2021. However, special claim procedures can apply. If you intend making a claim what do you need to know?
SELF-ASSESSMENT RETURNS - 30.06.2021
Why file your tax return early?
You’ve seen HMRC’s recent publicity about the advantages of filing your self-assessment tax return early. It says it can reduce your 31 July tax bill. How does this work and what other advantages might there be to filing your tax return early?
BENEFITS IN KIND - 30.06.2021
Pay increases - avoiding the OpRA rules
In 2017 HMRC clamped down on the use of salary sacrifice (optional remuneration) arrangements which offer perks instead of salary as a way of reducing tax and NI. Is it still possible to obtain tax and NI savings using similar arrangements?
CAPITAL GAINS TAX - 30.06.2021
Is tax payable on compensation for damaged property?
Last year our subscriber’s premises suffered extensive structural damage. The insurer compensated him before the repairs were made. If he doesn’t use all the money will he have to pay tax on it?
CAPITAL ALLOWANCES - 30.06.2021
Capital allowances - optimum tax efficiency
Tax relief for buying equipment used in your business is given as capital allowances. You or your company can claim the capital allowances depending on who buys and owns the equipment. But which is the most tax efficient option?
PENALTIES - 30.06.2021
How to persuade HMRC a mistake wasn’t deliberate
HMRC claimed that a taxpayer had deliberately made errors on his tax return. The taxpayer disputed this and took his argument to the First-tier Tribunal (FTT). Why did he think this was worth the effort and what did the FTT decide?
VAT - 30.06.2021
Recovering VAT on speculative expenditure
You’re thinking of branching out into a new trade to complement the existing one. You’ve incurred costs on research and feasibility but if you decide not to go ahead are you entitled to recover the VAT paid on these?
HOLDOVER RELIEF - 30.06.2021
Securing holdover relief on gifts of non-business assets
Two of your married clients are looking to undertake some inheritance tax (IHT) planning. They would like to gift shares in their investment company to their children but want to mitigate any tax charges. Can you help secure holdover relief?
CAPITAL GAINS TAX - 30.06.2021
Are your clients overlooking reportable property gains?
Since April 2020 any disposal of UK residential property where there is tax to pay must be notified to HMRC under the 30-day reporting rules. With penalties imposed for missing the deadline, which occasions of charge might your clients overlook?
CORONAVIRUS - SELF ASSESSMENT - 30.06.2021
Where are SEISS payments included on the tax return?
Your client has claimed grants under the Self-Employment Income Support Scheme (SEISS). There are various boxes for coronavirus support payments on the self-assessment tax return, so where do the figures go?
TOP SLICING RELIEF - 30.06.2021
What’s the latest on chargeable event gains?
The legislation regarding top slicing relief was amended in 2020 in an effort to provide certainty regarding calculation of the relief. But why might there still be issues with HMRC’s calculations and what should you be doing for your clients?
benefits in kind - 30.06.2021
What can you leave off P11Ds?
The P11D filing deadline for 2020/21 is 6 July 2021. Following the disruption to working patterns due to coronavirus, what items can you and your clients ignore when completing the forms this year?
DIRECTORS’ LIABILITY - 28.06.2021
Jointly liable for finance director’s misconduct
A director was held liable for his company’s losses, even though they were principally attributable to the conduct of his fellow director. To what extent are directors expected to monitor a fellow director who has responsibility for the company’s finances?
CORONAVIRUS - 28.06.2021
Ask staff about their vaccination status?
With reports of Goldman Sachs asking its staff to disclose their COVID-19 vaccination status, this raises the question of whether this is lawful. Can you ask employees about their vaccination status and then retain that data?
MICROPLASTICS - 25.06.2021
Microplastics - what are they?
With the world focused on dealing with single-use plastics, the issue of microplastics is also coming under the microscope. What are they, what’s the problem with them and what can you do to make sure you’re not causing plastic pollution?
ENVIRONMENTAL POLICY - 25.06.2021
Creating accountability for your policy
Once you have defined your environmental policy and objectives, you need to decide who is going to implement, oversee and take ultimate responsibility for the tasks at hand. Our template document will help.
ENVIRONMENTAL MANAGEMENT - 25.06.2021
Climate phrase confusion
Net zero, carbon neutral, carbon positive and carbon negative. There are an overwhelming number of climate terms being thrown about but what do they all mean and should you align your business with them?
MICROGENERATION - 25.06.2021
Hydrogen boilers - are they an option?
With the UK banning gas-fired boilers in the next 15 years, the race is on to find an alternative way of heating your business premises. But is it time to consider an alternative heating solution now?
CLIMATE CHANGE - 25.06.2021
Time to join the climate club?
A new UK business Climate Hub has been launched. What is it for and could there be benefits for your business if you sign up to it?
FLORA - 25.06.2021
Do your bit to stop invasive non-native species
The Environment Agency, Wildlife Trusts and the National Trust have been highlighting the importance of controlling invasive non-native species. What should you look out for on your land and how can you find out more?
PLASTIC - 25.06.2021
Which bag to choose?
Carrier bags are back in the news again. The charge for them has gone up and been extended to small businesses too. What do you need to know and which bags should you stock?
FIRE SAFETY - 23.06.2021
Fire incidents down in 2020
The Home Office has released summary details of the incidents attend by the Fire and Rescue Services in England. What do the numbers show?
ELECTRIC VEHICLES - 23.06.2021
The safety of electric vehicle charging stations
A leading engineering safety organisation has published a guide to the inspection of electric vehicle charging stations. The document is useful if you have this equipment on your site. What does it say?
RISK ASSESSMENT - 23.06.2021
Not going over the top on risk assessment
You’ve made a start on your risk assessments and are concerned about the time involved, the growing mountain of paperwork and whether it will actually make a difference. How can you keep a lid on it?
FORK LIFT TRUCKS - 23.06.2021
Crushed by three tonne load in lifting error
A uPVC window and door manufacturer has appeared in court after a fork lift truck operation went badly wrong and an employee was left with two broken legs. What happened and how could the firm have prevented it?
HEALTH SURVEILLANCE - 23.06.2021
What is health surveillance?
The HSE has issued web-based advice on the subject of health surveillance. What does the term encompass and is it something that you should be implementing for your workers?
OCCUPATIONAL HEALTH - 23.06.2021
£600,000 hand-arm vibration fine slashed
A social housing provider has successfully appealed against a fine that was issued after five employees developed occupational diseases from hand-arm vibration. What happened and why was the fine reduced so much?
ACCIDENTS - 23.06.2021
Dishonest worker loses compensation claim
An employee who had a genuine accident at work has lost his chance to receive thousands of pounds in damages due to his dishonest attempt to obtain 50 times the amount. What happened?
UNFAIR DISMISSAL - 23.06.2021
Fake drug prank resulted in unfair dismissal
An employee who was sacked after he left lines of sherbet powder and rolled up paper on his desk pretending that they were drug related has won his claim for unfair dismissal. Why was the employer’s dismissal decision unfair?
RACE DISCRIMINATION - 23.06.2021
“English prick” jibe costs employer £13,000
A delivery driver who was called an “English prick” by his Scottish boss has been awarded over £13,000 in compensation by the tribunal. Why did this comment end up costing the employer involved so much money?
REDUNDANCY - 23.06.2021
Redundancy: must you consider bumping?
You’re considering redundancies and have been told that you could keep more experienced employees in preference to inexperienced ones if you implement “bumping”. What is this and to what extent must you consider it?
DISCIPLINARY PROCEEDINGS - 23.06.2021
Extend the length of written warnings?
Where an employee has committed misconduct, you’ll probably issue them with a written warning or a final written warning as a disciplinary sanction. How long should the written warning remain valid for, and can you ever extend it?
HOLIDAYS - 23.06.2021
New hires and pre-booked holidays
A job candidate has asked if you will honour their two-week holiday which has already been booked. Must you grant a new hire’s pre-booked holiday and if so would they be entitled to pay during this time?
RECRUITMENT - 23.06.2021
Recruitment: the downsides of refer-a-friend schemes
The restaurant group Hawksmoor has decided to offer its employees a bonus of up to £2,000 if they recommend one or more friends for a vacant job role. What are the downsides of recruiting via refer-a-friend schemes?
EMPLOYER BULLETIN - 23.06.2021
COVID tax easements summarised
In the latest edition of its Employer Bulletin, HMRC covers easements on working from home, office equipment supplied to staff, SSP and RTI penalties. What are the key points?
COMPLIANCE - 23.06.2021
Carrying out a payroll health check
With many payroll teams working from home for well over a year there have been new challenges to embrace. But are you sure that all the legal formalities have been properly complied with?
VAT - 23.06.2021
HMRC phases in new IT system
The current VAT mainframe computer will be decommissioned next year. HMRC is preparing for this by moving businesses to a new IT system over the next few months. Why might this mean problems with payments?
SICKNESS ABSENCE - 22.06.2021
Conduct issues related to sickness absence
Where an employee is absent from work due to illness, you don’t have absolute control over their activities, even if they are in receipt of contractual sick pay. How should you tackle conduct issues related to their sickness absence?
APPRENTICES - 22.06.2021
Cash boost for apprenticeships
The government has announced an extension to its cash incentive scheme for hiring apprentices. How much can you claim for each new apprentice hired?
EMPLOYMENT LAW REFORM - 22.06.2021
What’s happened to the Employment Bill?
The Employment Bill was due to be published and introduced in Parliament in early 2020 but there’s still no sign of it. Has it been shelved, or will it eventually appear?
CONTRACTS - 22.06.2021
Collective consultation on changing employment terms
You’re under a duty to collectively consult if, in order to change employment terms, you’re proposing to dismiss and offer re-employment to 20+ employees within 90 days or less. How does this differ from collective consultation on redundancy?
FOREIGN WORKERS - 22.06.2021
New graduate visa route under immigration system
The new Graduate visa route under the UK’s immigration system opens for applications from 1 July 2021, enabling international students to stay and work in the UK after their graduation. What do you need to know about this new route?
SDLT - 22.06.2021
Refund now, check later SDLT claims
HMRC has changed its policy with the intention of speeding up refunds of stamp duty land tax. This sounds like good news but there’s a sting in the tail. What’s the full story?
RECRUITMENT - 22.06.2021
Is accent discrimination unlawful?
According to new research by the University of Essex, London and Essex accents are deemed to be “less intelligent” than those from other parts of south east England. Can you use someone’s accent to reject their job application?
BENEFITS IN KIND - 18.06.2021
Keep-fit tax incentive for company owners
Because of the pandemic you let your gym membership lapse but you’re about to renew it. You’ve heard that there’s a tax break relating to sporting facilities if your company provides them. Is it something you might take advantage of?
VAT - CARS - 18.06.2021
VAT on charging electric vehicles
HMRC has published new VAT guidance on its policy for the supply and purchase of electricity for electric vehicles. What’s the full story?
BENEFITS - RETURNS - 18.06.2021
Double check your P11Ds while there’s time
Many employers made unusual or special payments to employees because of homeworking or other coronavirus-related reasons during 2020/21. The question is, should they be reported on Form P11D?
NATIONAL INSURANCE - 18.06.2021
Employing family through multiple contracts
You own several businesses, and your spouse is on the payroll of one of them. A colleague has suggested you could save NI for her and the company if you split her salary between the companies. Is he correct?
PROPERTY - 18.06.2021
Tax deductions for your buy-to-let property
In between tenants you’re doing some work on your rental property. How you categorise this - repairs or improvements - determines whether or not you’re entitled to an income tax deduction. What factors should you take into account?
ENQUIRIES - 18.06.2021
Resolving HMRC disputes - tribunals, ADR or both?
Alternative dispute resolution (ADR) for tax has changed a lot since its introduction. With HM Courts & Tribunals Service currently suffering delays should you now consider it the best way to resolve a deadlock with HMRC?
VAT - 18.06.2021
Reclaiming VAT on staff homeworking allowances
You’re downsizing your office and have asked a few staff to permanently change to homeworking. You’ll pay them a one-off allowance towards the cost of setting up their home workspace. Can you reclaim the VAT they incur?
BENEFITS IN KIND - 11.06.2021
Payrolling benefits to become mandatory?
In the April 2021 Employer Bulletin, HMRC’s language in respect of the reporting of benefits in kind showed a clear shift towards promoting payrolling. If this is to become mandatory what do you need to know?
COMPLIANCE - 11.06.2021
How to respond to an HMRC inspection
With HMRC checks on coronavirus business support ramping up and on the cards for the next six years, what are your rights and obligations if your business is singled out for a compliance check?
record keeping - 10.06.2021
Director banned for poor record-keeping
A company director has been disqualified from being involved in the management of any company for eleven years. What went on and why should you take notice of the circumstances?
VAT - 09.06.2021
VAT deadline imminent
If you used the VAT deferral scheme in 2020 you have less than two weeks to make your intentions for repayment known. What do you need to do and what are the consequences if you miss the cut-off?
OCCUPATIONAL HEALTH - 08.06.2021
Buying in occupational health support
The HSE has published new web-based guidance on what to look for when purchasing occupational health services. What does it cover?
ACCIDENTS - 08.06.2021
Jailed for failing to report a RIDDOR accident
A builder has been handed a prison sentence after an accident occurred which he failed to report under the Reporting of Injuries, Diseases and Dangerous Occurrences Regulations 2013. What happened?
FIRE SAFETY - 08.06.2021
How many fire extinguishers do you need?
A fire extinguisher supplier has made recommendations of the types of equipment you should buy and where to position it. However, you’re wondering if it’s all necessary. How can you check?
MACHINERY CHECKS - 08.06.2021
Lost fingers caused by missed machinery checks
A major food producer has appeared in court after a worker’s arm was drawn in to an auger up to his elbow, leading to a severe hand injury. What routine machinery checks would have prevented the accident?
DANGEROUS SUBSTANCES AND EXPLOSIVE ATMOSPHERES POLICY - 08.06.2021
Make it your policy to avoid explosions
The use or storage of fuels, flammable gases and explosives is not to be treated lightly, even in small quantities. Why not use our policy to ensure that you have these hazards under control?
LOAD PULLING - 08.06.2021
Are staff at risk when pulling a load?
When staff reported frequent back pain associated with pulling loads by rope, our subscriber arranged for some measurements to be taken. What did they find, and should you follow suit?
WORKING HOURS - 08.06.2021
Long working hours shorten life expectancy
A global study has confirmed that working very long hours is linked to life-shortening illness, with it being a contributor to 745,000 deaths from stroke and heart disease in one year. What’s the full story?
PAYROLL YEAR END - 07.06.2021
P11Ds for 2020/21
6 July 2021 is the deadline for filing your company’s P11Ds which show employees’ taxable benefits and expenses. What do you need to pay attention to this year?
FINANCIAL MANAGEMENT - 07.06.2021
Guarding against supplier insolvency
Data shows that despite coronavirus government support, levels of insolvent business debt increased last year. When the support ends, there is likely to be a spike in insolvencies. How can you protect yourself against supplier insolvency?
RAISING FINANCE - 07.06.2021
How to use the seed enterprise investment scheme
If your company is less than two years old and you are looking for finance to expand, the seed enterprise investment scheme (SEIS) could make it attractive for investors. How does it work and does your company qualify?
CASH FLOW - 07.06.2021
Using VAT to improve cash flow
Cash flow is the lifeline of many companies and in these difficult economic times it’s more important than ever. While VAT is usually viewed in a negative light, there are ways you can use it to improve cash flow. What are they?
VAT - 07.06.2021
How to correct a VAT error
You’ve found a batch of sales invoices from twelve months ago that didn’t include VAT but should have. What is the best way to correct the error and not leave the company out of pocket?
TAX RELIEF - 07.06.2021
Business losses and tax relief
Budget 2021 included good news for those hit hard by the pandemic with a temporary loosening of the loss relief rules. What’s to know and how can your company make the most of this?
EXPENSES - 07.06.2021
Travel, tax and “temporary” workplaces
Some staff must work across various sites for extended periods (temporary workplaces). The First-tier Tribunal (FTT) recently considered the tax implications for travel costs in such cases. What was the outcome?
LOANS - 07.06.2021
When to notify HMRC of employee loans
Some companies have helped staff out with hardship loans during the pandemic. What are the tax rules on these and what needs to be reported to HMRC?
EXIT PLANNING - 07.06.2021
Share buy-back in instalments
One of the original owners of your company wants to retire and has asked if the company can buy back his shares. As the company doesn’t have sufficient funds to pay for them all in one go, can it do a share buy-back over several years?
STRATEGY - 07.06.2021
How to create a one-page strategic plan
The board have asked you to draft a clear and concise overall strategic plan for the business, preferably a single-page document that anyone in the company can easily understand. What should you include?
SPREADSHEETS - 07.06.2021
How to avoid rounding distorting data
If you’re rounding to a whole number, you were probably taught to round down decimals from 0.1 to 0.4 and round up from 0.5 to 0.9. This is how Excel does it too, but this could skew the data. What’s the problem and how can you fix it?
APPRENTICESHIPS - 07.06.2021
Extra cash if you hire a new apprentice
The government has announced that employers of all sizes in England can now apply for extra funding to take on new apprentices. What’s the deal?
HOLIDAYS - 03.06.2021
Pay rights during quarantine?
As the restrictions on foreign travel are lifted, many employees are planning to go abroad. If they are required to quarantine on their return to the UK what are their pay rights?
GRIEVANCES - 03.06.2021
£23,000 for employee left out of “Pizza Friday” order
A part timer who was intentionally left out of a regular “Pizza Friday” lunch delivery order after she raised a grievance against a manager has been awarded £23,000 by the tribunal. What’s the main takeaway from this case?
EMPLOYMENT STATUS - 03.06.2021
Minimum hours needed to qualify for worker status
The Employment Appeal Tribunal (EAT) has considered whether an individual must work minimum hours before they can qualify for worker status and enjoy the corresponding legal rights. What did the EAT decide?
appeals - 03.06.2021
How long to appeal against a disciplinary sanction?
Where you impose a disciplinary sanction on an employee, you must always offer them a right of appeal. In the event the employee decides to challenge your decision, how long do they have to appeal against your disciplinary sanction?
