Wednesday 10th March 7:48 pm

Clive Owen & Co LLP - News

Dragon’s Den Firm Receives Tax Cash Bonus

A company which won over the stars of television's Dragon's Den with its innovative fuel device has received a financial boost from the Government with the help of business advice specialists Clive Owen & Co LLP.

Dragon’s Den Firm Receives Tax Cash Bonus

The Tax Health Plan (THP)

HM Revenue & Customs have obtained information from various sources, including NHS trusts, private hospitals and medical insurers and are introducing the THP as an opportunity for medical professionals with tax to pay to get their affairs up to date with the benefit of a fixed penalty.

The Tax Health Plan (THP)

Dispensations - New Online Application Form

HM Revenue & Customs have introduced the facility to apply for dispensations online.

Dispensations - New Online Application Form

Tax Codes Being Issued

HM Revenue & Customs are advising employees that between January and March 2010 they will be issuing new PAYE coding for 2010/11. The tax codes should reflect the individual's personal circumstances and include the tax allowances and reliefs that individuals are entitled to.

Tax Codes Being Issued

HM Revenue & Customs Old Bank Accounts Are Closing - Make Sure You Use the New Ones

During 2009 HM Revenue & Customs moved its banking services from the Bank of England to Citi and Royal Bank of Scotland Group. This meant that all HM Revenue & Customs bank sort codes and account numbers changed during 2009.

HM Revenue & Customs Old Bank Accounts Are Closing - Make Sure You Use the New Ones

An update on JEREMIE : £125m ‘super fund’ for North East Business

An update on JEREMIE : £125m ‘super fund’ for North East Business

HMRC New Scam Emails

HM Revenue & Customs have issued a warning about a new scam email which is being sent from 'HMRC Online Services - test@test.com' stating that the recipient has one new ALERT message and should log onto their Online Account to read the message.

HMRC New Scam Emails

Reminder from HM Revenue & Customs, 2008-09 Penalties for Outstanding PAYE Employer Annual Returns

Our colleagues at HM Revenue & Customs have requested that we send you the following reminder: "From 23 January, HM Revenue & Customs will be sending a penalty notice to those employers who we believe have still not yet submitted their 2008 - 09 Employer Annual Return (P14s and P35). 2008 - 09 returns were due by 19 May 2009. The penalty will be £100 per 50 employees for each month a return is outstanding, from 20 September 2009 to 19 January 2010. So, an employer with 50 or less employees will receive a penalty of £400, this penalty is in addition to those sent in September 2009.

Reminder from HM Revenue & Customs, 2008-09 Penalties for Outstanding PAYE Employer Annual Returns

Employment Rights - Statutory Limits

The limit on the amount of the compensatory award for unfair dismissal is set to decrease from 1 February 2010. The current maximum of £66,200 is to reduce to £65,300, due to the decrease in the retail prices index measure of inflation. This new limit applies where the event giving rise to the entitlement to the payment arose on or after 1 February 2010.

Employment Rights - Statutory Limits

Using Your Own Car For Work

HM Revenue & Customs have updated their guidance on using your own vehicle for work. The guidance needs to be read in conjunction with the mileage rates which for those using their own car for work purposes are unchanged at 40 pence a mile for the first 10,000 miles dropping to 25 pence a mile thereafter.

Using Your Own Car For Work

Statutory Payments

The new Statutory Payment Rates for 2010/11 have been announced. The new rates are as follows:

Statutory Payments

Scrappage Scheme

The Vehicle Scrappage Scheme is a voluntary scheme for motor dealers under which participating dealers give buyers a £2,000 discount off the purchase price of a new car (or certain types of small van) in exchange for scrapping their old qualifying vehicle.

Scrappage Scheme

Dragon’s Den Firm Receives Tax Cash Bonus

A COMPANY which won over the stars of television's Dragon's Den with its innovative fuel device has received a financial boost from the Government with the help of business advice specialists Clive Owen & Co LLP.

Dragon’s Den Firm Receives Tax Cash Bonus

Tax Liability and Self Assessment Tax Return Deadlines - 31st January 2010

If you are filing your tax return online it must reach HM Revenue and Customs (HMRC) by midnight on Sunday 31st January 2010.

Tax Liability and Self Assessment Tax Return Deadlines - 31st January 2010

Extra National Insurance Burden Ahead

Extra National Insurance Burden Ahead

Special Annual Allowance Charge

Special Annual Allowance Charge

Advisory Fuel Rate Changes

Advisory Fuel Rate Changes

Cross-Border VAT Changes - now effective

Cross-Border VAT Changes - now effective

Tax Relief on Nursery Vouchers

Tax Relief on Nursery Vouchers

Offshore Investments Disclosure Extension Has Ended

Offshore Investments Disclosure Extension Has Ended

HMRC Warn of More E-mail Scams

As the end of the year fast approaches HM Revenue & Customs (HMRC) are reminding taxpayers to be vigilant as scam emails have been reported. For details of their latest guidance on scam emails, more information on this and other scams together with a copy of the latest example visit the links below.

HMRC Warn of More E-mail Scams

Pre-Budget Report Summary

Chancellor Alistair Darling presented his Pre-Budget Report to the House of Commons on Wednesday 9 December 2009.

Pre-Budget Report Summary

Tax Partner, Nicola Bellerby on the Pre-Budget Report 2009

Chancellor Alistair Darling will hit pay packets more than expected as a result of his Pre-Budget Report, say accountancy and business advisory firm Clive Owen & Co LLP.

Tax Partner, Nicola Bellerby on the Pre-Budget Report 2009

Pre-Budget Report: Wed 9th December 2009

Pre-Budget Report: Wed 9th December 2009

Online Filing of VAT Returns

Online Filing of VAT Returns

VAT change advice for New Year's Eve Traders

VAT change advice for New Year's Eve Traders

Parties for Employees

Parties for Employees

Business Rates Bills

Business Rates Bills

Trading in the EU - Intrastat Thresholds

Trading in the EU - Intrastat Thresholds

Swine Flu and Statutory Sick Pay (SSP)

Swine Flu and Statutory Sick Pay (SSP)

Accountancy Rules for Solicitors: Test Your Knowledge

How well do you know your Solicitors Accounts Rules? Take our quiz to see how you fare with some of the common issues found:

Accountancy Rules for Solicitors: Test Your Knowledge

Prepare Now for the VAT Increase - 01/01/2010

Prepare Now for the VAT Increase - 01/01/2010

Paying PAYE on Time - Avoiding New Penalties

HMRC are warning employers that from May 2010 they may have to pay a penalty if they do not pay their PAYE on time. These are generally due each month, on time and in full.

Paying PAYE on Time - Avoiding New Penalties

Online Payroll Forms - Further HMRC Penalties Introduced

HMRC are reminding employers with 50 or more employees that they should now be filing their starter and leaver information online. The forms which need to be filed electronically, and should have been online since 6 April 2009, include:

Online Payroll Forms - Further HMRC Penalties Introduced

Vehicle Scrappage Scheme

The Vehicle Scrappage Scheme is a voluntary scheme for motor dealers under which participating dealers give buyers a £2,000 discount off the purchase price of a new car (or certain types of small van) in exchange for scrapping their old qualifying vehicle. Funded by the government and manufacturers the scheme has proved very popular and according to the Department for Business Innovation and Skills (BIS) website 260,226 cars have now been scrapped under the scheme, which is set to run until February 2010.

Vehicle Scrappage Scheme

Tax Credits for the Remediation of Contaminated Land or Derelict Buildings

If you have acquired a brownfield site or a used building, then any expenditure incurred whilst removing any contamination from the land or building may qualify for Remediation of Contaminated Land (RCL) tax credits.

Tax Credits for the Remediation of Contaminated Land or Derelict Buildings

Tips Don't Count Towards the National Minimum Wage

As you may be aware the National Minimum Wage (NMW) rates increased from 1 October 2009 to:

Tips Don't Count Towards the National Minimum Wage

Tax Relief on Nursery Vouchers to be Withdrawn

In his speech to the Labour Party Conference, the Prime Minister, Gordon Brown announced an extension of free nursery places, to be financed by the withdrawal of the tax and National Insurance (NIC) exemptions for childcare vouchers.

Tax Relief on Nursery Vouchers to be Withdrawn

Protection of Residential Addresses - 1st October 2009: Companies Act 2006 Final Provisions

Protection of Residential Addresses - 1st October 2009: Companies Act 2006 Final Provisions

Online Filing of VAT Returns

Online Filing of VAT Returns

National Minimum Wage Increases

National Minimum Wage Increases

Additional Paternity Leave and Pay

Additional Paternity Leave and Pay

Over 50? Some Good News!

Earlier this year, it was announced that the over 50s could shelter up to £10,200 a year from the taxman in an ISA. ISA allowances increased with effect from 5 October 2009.

Over 50? Some Good News!

Online Filing of Corporation Tax Returns

Online Filing of Corporation Tax Returns

HMRC Warn of More Scam e-mails

HMRC Warn of More Scam e-mails

Pay For Apprentices

Pay For Apprentices

Redundancy Pay

The weekly maximum pay which can be taken into account when calculating statutory redundancy pay is set to increase from 1 October 2009.

Redundancy Pay

Paper Tax Return Deadline Looming

For those wishing to complete paper self assessment tax returns, the filing deadline of 31 October 2009 is fast approaching.

Paper Tax Return Deadline Looming

False Self-Employment in the Construction Industry

The government has been looking at the best way to address the issue of what they believe is 'false self-employment' in the construction industry. They have concluded, for income tax and national insurance purposes, that they will introduce legislation which deems workers within the construction industry to be in receipt of employment income unless one of three simple, clear and easy to apply criteria is met.

False Self-Employment in the Construction Industry

VAT Increase to 17.5%

HMRC have issued guidance for businesses dealing with the increase in the standard rate of VAT from 15% to 17.5%. The change takes effect from 1 January 2010. They hope that by issuing the guidance well in advance of the change that businesses will have sufficient time to prepare.

VAT Increase to 17.5%

Increase in Pay for Apprentices

From 1 August 2009 the national minimum wage for apprentices increased from £80 to £95 per week.

Increase in Pay for Apprentices

New Disclosure Opportunity

HMRC have provided more details of the New Disclosure Opportunity (NDO) which is due to take place from 1 September 2009 to 12 March 2010. The NDO is for people with unpaid tax connected to offshore accounts and assets and will give the taxpayers one final opportunity to disclose.

New Disclosure Opportunity

Student Loans and Income Tax

If you are in the position of having a student loan and are either self-employed or receive dividends your income tax liability may be affected.

Student Loans and Income Tax

Pension Changes Ahead

Under provisions contained in the Pensions Act 2008 employee pension enrolment and employer contributions are to be made compulsory.

Pension Changes Ahead

HMRC Warn of More Scam e-mails

HMRC have updated their guidance on scam emails as they are aware that a large number of individuals are receiving emails offering tax rebates. HMRC have also confirmed that they would not inform taxpayers of a tax rebate via email, or request that they complete an online form to receive a rebate of tax. There is a long list of web addresses being used in the scams including:

HMRC Warn of More Scam e-mails

National Payroll Week: 7 – 11 September 2009

We'd like to take this opportunity to celebrate the success of our payroll service, Accupay, which services nearly 200 clients across the North East and beyond. These clients benefit from improved data accuracy, a modern payroll system and better quality management reporting, leaving them valuable time to concentrate on their core business.

National Payroll Week: 7 – 11 September 2009

Are You Complying With the National Minimum Wage Rules?

HMRC are reminding employers that since the beginning of the current tax year automatic penalties have been introduced for those who do not comply with the National Minimum Wage (NMW) Regulations.

Are You Complying With the National Minimum Wage Rules?

Starting a New Business

HMRC have amended the form CWF1 which is completed by those individuals who have set up a new business either as a sole trader or as a partner in a partnership. The form is used to notify liability to Class 2 National Insurance Contributions (currently £2.40 a week) amongst other things.

Starting a New Business

Pension Payments

Pension contributions made by an individual are usually paid net of basic rate tax. Where the individual is a higher rate taxpayer further relief is due which significantly reduces the net cost of the contribution.

Pension Payments

Business Payment Support Services

According to government figures, as at the end of April 2009, over 116,000 businesses have agreed time to pay tax arrangements with HMRC to the value of two billion pounds.

Business Payment Support Services

HSE Warning Not to be Misled Over New Law Poster

The Health and Safety Executive (HSE) is warning businesses not to be misled into buying unnecessary and expensive copies of the health and safety law poster. Employers have a duty to display the poster prominently in the workplace or provide employees with a copy of the pocket card version. Both poster and card set out the employer's and employees' responsibilities.

HSE Warning Not to be Misled Over New Law Poster

Scrappage Incentive Scheme Successful

According to the Society of Motor Manufacturers and Traders (SMMT) 29,796 vehicles have been registered under the scrappage scheme since it started on 18 May 2009. This accounted for 9.7% of June's new car registrations a total of 17,014 units. In addition to cars 323 vans were also registered in June under the scheme (1.9% of van registrations).

Scrappage Incentive Scheme Successful

Rise in Prosecutions for Employing Illegal Workers

Businesses are being warned to undertake more rigorous checks into applicants' backgrounds as the number of prosecutions for employing illegal workers increased over 500%, according to Giant Precision a business process outsourcer.

Rise in Prosecutions for Employing Illegal Workers

Identity Fraud: Directors and Trustees beware

Fraudsters have been attempting to steal or appropriate the identifying information of Directors, Company Secretaries, Trustees and Audit Partners for the purposes of identity fraud. The latest scams are believed to be making use of digital versions of personal signatures included in a company's accounts, which are available online from Companies House and the Charity Commission.

Identity Fraud: Directors and Trustees beware

HMRC Warn of Fraudulent Email

HMRC are warning that an email is currently being sent to some taxpayers advising them that HMRC have "approved them to receive monies". Apparently the email states that this is as a result of an HMRC program on 15 June 2009.

HMRC Warn of Fraudulent Email

Advisory Fuel Rates

To reflect the changes in fuel prices, HMRC have issued new advisory fuel rates for employees driving employer provided cars. These take effect for all journeys undertaken from 1 July 2009 so employers wishing to use the new rates should advise affected employees and update any expense forms as soon as possible.

Advisory Fuel Rates

HMRC PAYE Services Interruption

HMRC are advising taxpayers and employers that, as part of its ongoing plans "to improve customer service and efficiency", they are in the process of changing the way they process PAYE records. In order to make all PAYE records available on one computer system they are undertaking a major IT upgrade.

HMRC PAYE Services Interruption

HMRC New Disclosure Opportunity

HMRC have announced some details of the New Disclosure Opportunity (NDO) which is due to take place this autumn. In order to encourage taxpayers to disclose an undeclared offshore account the penalty level has been set at 10%. HMRC hope that the low penalty will encourage taxpayers to come forward. HMRC are currently liaising with various banks to obtain details for offshore account holders.

HMRC New Disclosure Opportunity

Employees Accrue Holiday Pay While on Sick Leave

The House of Lords has ruled in the case of Stringer v HMRC that workers who are refused holiday pay while on sick leave can make a claim to an employment tribunal for an unauthorised deduction from wages (under the Employment Rights Act 1996).

Employees Accrue Holiday Pay While on Sick Leave

Extra Paternity Leave Put On Hold

Proposals to introduce six months' paid paternity leave for new fathers have been put on hold by the government in the light of the current economic climate.

Extra Paternity Leave Put On Hold

P11D Deadline Looming

The forms P11D and where appropriate P9D, which report employees and directors benefits and expenses for the year ended 5 April 2009, are due for submission to HMRC by 6 July 2009. The process of gathering the necessary information can take some time so it is important that this process is not left to the last minute.

P11D Deadline Looming

Furnished Holiday Lettings

The Budget 2009 contained announcements about significant changes to the rules for furnished holiday lettings (FHL) but those who are affected may have to act fast. The main announcements are set out below:

Furnished Holiday Lettings

Tips and the National Minimum Wage

HMRC have won their case in the Court of Appeal as to the treatment of tips and service charges for bar and restaurant workers.

Tips and the National Minimum Wage

National Minimum Wage Increases

The adult rate of the National Minimum Wage (NMW) will rise to £5.80 (£5.73) an hour in October 2009. This is payable to those age 22 and over.

National Minimum Wage Increases

Vehicle Scrappage Scheme

The vehicle scrappage or discount scheme is a voluntary scheme for motor dealers. Participating dealers will give buyers a £2,000 discount off the purchase price of a new car or small van in exchange for scrapping their old qualifying vehicle which must, amongst other criteria, be registered on or before 31 August 1999.

Vehicle Scrappage Scheme

HMRC Warn of E-mail Scam

HMRC are warning that they have become aware that a large number of individuals are receiving emails offering tax rebates. These emails, which are being sent from HMRC Tax Refunds Online and HMRC Tax Refunds On-line, are not genuine.

HMRC Warn of E-mail Scam

Capital Allowances on Plant and Machinery

Additional capital allowances are to be available for expenditure incurred by a business in the 12 month period (starting 1 April 2009 for companies and 6 April 2009 for individuals and partnerships).

Capital Allowances on Plant and Machinery

Enhanced Relief for Trading Losses

Under current rules businesses already have a number of mechanisms to relieve trading losses against other income including past trading profits.

Enhanced Relief for Trading Losses

Standard Rate VAT

The standard rate of VAT was reduced from 17.5% to 15% for the 13 month period 1 December 2008 to 31 December 2009. HMRC have confirmed that the standard rate of VAT will revert to 17.5% from 1 January 2010.

Standard Rate VAT

Personal Tax Changes

The Chancellor has not only brought forward proposals which were to take place in 2011, he has also made changes to his original announcements.

Personal Tax Changes

Restricted Tax Relief on Pension Contributions

Pension contributions made by an individual are usually paid net of basic rate tax. Where the individual is a higher rate taxpayer further relief is due which significantly reduces the net cost of the contribution.

Restricted Tax Relief on Pension Contributions

Change of HMRC Bank Account Details

HMRC bank account details for paying self employed Class 2 and voluntary Class 3 National Insurance Contributions have changed. HMRC have advised that individuals will need to use the new account details when making a payment.

Change of HMRC Bank Account Details

Businesses Given More Time to Pay Business Rates

Alistair Darling made a late change to the impact of business rate rises which were due to take effect in England from 1 April 2009.

Businesses Given More Time to Pay Business Rates

Business Payment Support Service

The Business Payment Support Service is designed to meet the needs of businesses affected by the current economic conditions. Any business that is worried about being able to meet tax, National Insurance or other payments owed to HMRC, or anticipates that payments becoming due will cause them problems, can get in touch with HMRC to discuss payment options to help them deal with temporary cash flow difficulties on 0845 302 1435.

Business Payment Support Service

Rise in late payments to SMEs

According to Bacs Payments Schemes Limited (Bacs) small and medium size enterprises (SMEs) are now owed £25.9 billion. This is apparently due to a 40% increase in overdue payments over the last year.

Rise in late payments to SMEs

National Insurance Contributions from April 2009

From 6 April 2009, changes have been made to how employers will have to record National Insurance Contributions (NICs) due to changes to the State Second Pension. Employers will have to record NICs in the following four earnings bands, with the introduction of the Upper Accrual Point:

National Insurance Contributions from April 2009

Statutory Maternity Leave, salary sacrifice and non-cash benefits

Salary sacrifice is a change to an employee's contractual pay entitlement. It often involves the giving up of some entitlement to pay in return for some other form of benefit, such as employer pension contributions or childcare vouchers. Depending on the sort of benefit involved, tax and/or National Insurance savings can often result for both the employer and employee.

Statutory Maternity Leave, salary sacrifice and non-cash benefits

New Statutory Payment Rates for 2009/10

The new Statutory Payment Rates for 2009/10 have been announced (subject to Parliamentary approval). The new rates are as follows:

New Statutory Payment Rates for 2009/10

'How to Pay' changes

During 2009, HMRC will be changing the bank accounts into which businesses and individuals make payments. These changes will be phased in throughout the year but HMRC will keep businesses and taxpayers informed of any changes.

'How to Pay' changes

PAYE changes

HMRC have issued a reminder to employers with 50 or more employees that they must send their employee starter and leaver information - P45s, P46s and P46(Pen) for pensions - online from 6 April 2009. As always, failure to comply with these new rules could result in a penalty.

PAYE changes

HMRC warn of latest fraud attempt

HMRC are warning taxpayers of the latest fraud attempt to be reported to them.

HMRC warn of latest fraud attempt

Pensions Act 2008

Questions and Answers

Pensions Act 2008

Reduction in the Standard Rate of VAT

The standard rate of VAT was reduced from 1 December 2008 from 17.5% to 15%. HMRC have published some further frequently asked questions which clarify the correct treatment in several situations.

Reduction in the Standard Rate of VAT

New HMRC Penalties

There is a significant change in the approach which HMRC will be taking in dealing with tax returns relating to periods starting on or after 1 April 2008, where the return is due to be submitted on or after 1 April 2009.

New HMRC Penalties

Higher Late Filing of Accounts Penalties

If you run your own company you will no doubt be aware that company law requires all companies to file a copy of their annual accounts at Companies House by their 'due date'. Penalties become payable if these accounts are filed late.

Higher Late Filing of Accounts Penalties

HMRC Warn About E-mail Fraud

HMRC are warning taxpayers that recently they have been made aware of the following scams:

HMRC Warn About E-mail Fraud

Pay HMRC by Direct Debit

HMRC have announced that they are now able to offer more customers the option of paying by Direct Debit. If taxpayers are registered to use Self Assessment Online, PAYE Online for employers or Corporation Tax Online they can now set up Direct Debit payments online.Taxpayers can also make tax credit repayments by Direct Debit.

Pay HMRC by Direct Debit

Grant for Business Investment in England (GBI)

This grant replaces the previous SFI (Selective Finance for Investment) grant. The aim of the GBI scheme is to encourage capital investment in projects that lead to long-term improvements in productivity, skills and employment.

Grant for Business Investment in England (GBI)

Accountants put Growth Under the Microscope

One of the leading regional accountancy businesses is branching out in a new direction with the launch of a dedicated forensics team.

Accountants put Growth Under the Microscope

In the Spotlight: John Davison

The spotlight this issue focuses on John Davison, Associate Director at Clive Owen & Co LLP. With almost 17 years service with the practice, he has a lot of knowledge to share on his role in the Business Planning and Development department.

In the Spotlight: John Davison

New Penalty Regime – Be Prepared and Be Proactive!

You will hopefully be aware of the fact HMRC are introducing a new penalty regime which will apply to all VAT returns rendered with a due date of 1 April 2009 onwards but which will cover not just VAT but Corporation Tax, Capital Gains Tax, National Insurance Contribution (NIC), PAYE and CIS.

New Penalty Regime – Be Prepared and Be Proactive!

How Reorganising Your Company Can Make Commercial Sense

In recent years, we have acted on behalf of several companies to review, advise and reorganise their ownership structures. Many companies, particularly those which have been trading for a number of years, have diversified from one or two core activities into other areas. A common scenario is the company which has purchased one or more properties as investments. In such circumstances, a scheme of reconstruction can be used to break up an existing business with varied trading activities into separate undertakings.

How Reorganising Your Company Can Make Commercial Sense

Forensic Focus

A FORENSIC accountant who has trapped countless fraudsters is warning businesses that they could be the next target as the recession begins to bite.

Forensic Focus

Experts Help Charities Cut Through Red Tape

CHARITIES in the North East can now access specific expertise that can help them comply with the complex regulations they face.

Experts Help Charities Cut Through Red Tape

Changes to the Advisory Fuel Rates From 1 January 2009

To reflect the reduction in fuel prices, HMRC have issued new advisory fuel rates for employees driving employer provided cars. These take effect for all journeys undertaken from 1 January 2009, so employers using the advisory rates should advise affected employees and update any expense forms as soon as possible.

Changes to the Advisory Fuel Rates From 1 January 2009

Demand For Advice on Redundancy and Lay-offs

Acas, the Advisory, Conciliation and Arbitration Service, have reported a sharp increase in the number of businesses and employees seeking advice on redundancy, lay-offs and business transfers.

Demand For Advice on Redundancy and Lay-offs

Capital Allowances on Cars

HMRC have issued some draft legislation and guidance on how the tax relief on business cars, known as capital allowances, will be calculated from April 2009.

Capital Allowances on Cars

VAT - Extension Of 14 Day Limit

HMRC have issued further guidance to businesses on the reduction in the standard rate of VAT from 1 December 2008. The guidance clarifies certain issues regarding the 'tax point' rules for the date of supply.

VAT - Extension Of 14 Day Limit

Taxation Of Business Travel

Further details have been provided on the changes to the capital allowance treatment of cars. The changes will have effect from 1 April 2009 for corporation tax purposes and 6 April 2009 for income tax. The special rules that restrict the amount of capital allowances for cars costing more than £12,000 will be abolished.

Taxation Of Business Travel

Child Trust Fund

According to HMRC data the success of the Child Trust Fund (CTF), the tax exempt long-term savings and investment account for children born on or after 1 September 2002, continues to grow.

Child Trust Fund

Parties For Employees

Are you planning a party for your staff? Make sure you are clear on the tax implications.

Parties For Employees

Standard Rate VAT

The standard rate of VAT will be reduced from 17.5% to 15% for the period 1 December 2008 to 31 December 2009. The rate will then revert to 17.5%. No changes have been made to the 5% reduced rate or the 0% rate.

Standard Rate VAT

Pension Forecast

Do you know how much your state pension could be when you retire? The Pensions Service will provide a forecast of this information either by letter or an online email service.

Pension Forecast

Gift Aid Form Amended

HMRC have updated their model Gift Aid declaration form for charities and community amateur sports clubs to reflect the reduction in the basic rate of tax from 22% to 20% from the beginning of this tax year.

Gift Aid Form Amended

Intestacy Rules

The Ministry of Justice has announced an increase in the amount of the statutory legacy on intestacy. The statutory legacy is the amount which an individual is entitled to receive from the estate of their husband, wife or civil partner where the individual has not made a Will.

Intestacy Rules

‘Paper’ tax return deadline 31 October

HMRC are reminding taxpayers who wish to complete paper self assessment tax returns that the new 31 October 2008 deadline is here. They are advising that 'tax doesn't have to be taxing' with an advertising campaign fronted by well known newsreader Moira Stewart.

‘Paper’ tax return deadline 31 October

Entrepreneurs' Relief

The system of capital gains tax (CGT) for individuals and trustees changed radically from 6 April 2008. The changes included the abolition of taper relief and indexation allowance and the introduction of a single rate of CGT of 18%.

Entrepreneurs' Relief

Shopping On The Internet

HMRC have updated their guidance on buying goods on the internet explaining when duty and / or VAT will need to be paid.

Shopping On The Internet

Changes To Rights During Maternity Leave

Following changes made to the Sex Discrimination Act and to the Maternity and Parental Leave Regulations, the law on contractual terms of employment during Additional Maternity Leave (AML) changed in respect of women whose babies were due on or after 5 October 2008. The date the baby is due, as shown on the MATB1 certificate (provided by the midwife or doctor at around 20 weeks into the pregnancy) is the relevant date and not the date the baby is actually born.

Changes To Rights During Maternity Leave

NMW Rates to Rise

National Minimum Wage (NMW) rates are set to rise from 1 October 2008. The increased rates will be as follows:

NMW Rates to Rise

NMW Changes

HMRC have announced that some changes to penalties and calculation of arrears of National Minimum Wage (NMW) payments have been delayed to April 2009. The delay is apparently due to the slower than expected passage through parliament of the Employment Bill.

NMW Changes

Change to Benefits System

From 27 October 2008, in a change to the benefits system, Employment and Support Allowance (ESA) will replace the current state benefits (Incapacity Benefit and Income Support) which are paid to individuals on incapacity grounds. The new ESA will initially only be payable to new claimants.

Change to Benefits System

CBI Forecast

A CBI forecast has predicted a ‘shallow recession’ during the final part of 2008 and that growth in the economy in 2009 will be the lowest since 1992.

CBI Forecast

Licence to Bring in Migrant Workers

The UK Border Agency has started a television campaign aimed at employers to help prepare them for the introduction of the government's new rules for skilled migrant workers which become effective from November 2008.

Licence to Bring in Migrant Workers

Gift Aid Transitional Relief

Charities are entitled to claim a tax repayment in respect of gift aid donations made by individuals. The tax repayment was 22% until 5 April 2008 being the basic rate of tax on payments made through gift aid. As you are no doubt aware the basic rate of tax was reduced to 20% from the beginning of this tax year. In order to compensate charities for this drop in income the government has introduced Gift Aid Transitional Relief which tops up the tax repayment due to the charity until 5 April 2011.

Gift Aid Transitional Relief

Reducing Employers' Administration

The Department for Business, Enterprise & Regulatory Reform (BERR), has launched a campaign advising employers on how they can reduce the amount of administration involved in dealing with their employment law obligations. The BERR believe that some employers are routinely over-complying or duplicating work.

Reducing Employers' Administration

VAT Treatment of Charity Challenge Events

HMRC have issued revised guidance on Charity Challenge Events, including those that qualify for the VAT Charity Fundraising Exemption.

VAT Treatment of Charity Challenge Events

Professional Subscriptions

Do you pay any professional subscriptions? If so then tax relief may be due on the subscription as long as the professional body appears on the latest HMRC list. The list includes all bodies approved by HMRC up to 30 May 2008.

Professional Subscriptions

£10,000 VAT Errors

Businesses have long been allowed to correct net errors not exceeding £2,000 in their VAT returns. From the first new VAT period commencing on or after 1 July 2008, HMRC have raised the previous limit of £2,000 to a minimum figure of £10,000.

£10,000 VAT Errors

Report on HMRC's Lost Discs

Alistair Darling has made a statement to Parliament following the Poynter Review, which was commissioned following the loss of the child benefit data discs. The Independent Police Complaints Commission (IPCC) has also issued a report into the circumstances surrounding the loss.

Report on HMRC's Lost Discs

HMRC Powers

HMRC has been busy aligning its own rights and powers following the merger, several years ago, between the two old organisations of the Inland Revenue and HM Customs. This process will take a number of years as the different organisations previously had different powers, from rights to view paperwork and in some cases to rights of access to business premises.

HMRC Powers

Newcomers Must Earn the Right to Stay in the UK

The government has announced that foreign nationals who wish to become British citizens will have to earn the right to stay here.

Newcomers Must Earn the Right to Stay in the UK

Corporate Days Out – Financially Do They Stack Up?

By Angus Allan, Corporate Finance Partner at Clive Owen & Co LLP

Corporate Days Out – Financially Do They Stack Up?

National Minimum Wage and Tips

An Employment Appeal Tribunal has ruled in HMRC’s favour in the case of Annabel’s Restaurant and Nightclub. The case concerned the payment of tips through a ‘tronc’, which is an arrangement which sometimes operates in the restaurant industry. The ‘tronc’ which operates as a separate independent payroll, run by a ‘troncmaster’ is used by some restaurants as a means of distributing tips or service charges paid by customers. HMRC have argued successfully that where the tips are paid in this way they do not count towards national minimum wage (NMW) entitlement.

National Minimum Wage and Tips

Tax Credits Renewal

Tax credits are state benefits which are generally available to lower income families. However, entitlement to the credits is significantly increased where individuals pay for childcare or have a dip in normal levels of income perhaps due to incurring trading losses.

Tax Credits Renewal

Advisory Fuel Rates

To reflect the increases in fuel prices, HMRC have issued new advisory fuel rates for employees driving employer provided cars. These take effect for all journeys undertaken from 1 July 2008 so employers wishing to use the new rates should advise affected employees and update any expense forms as soon as possible.

Advisory Fuel Rates

Employees' Mileage Payments

As you may be aware there is a statutory system of tax and NIC free mileage rates for business journeys in an employee’s own vehicle. These mileage payments are known as ‘Authorised Mileage Allowance Payments’ (AMAP).

Employees' Mileage Payments

Family's Firm Choice for the Future

North Shields-based family company Tom Swan Builders’ Merchants has made a firm choice for its future by dovetailing with North Yorkshire Timber (NYT).

Family's Firm Choice for the Future

Brothers Expand Empire in Style

TWO brothers have launched the latest phase in the expansion of their business empire by opening a contemporary fashion outlet in Yarm.

Brothers Expand Empire in Style

Wilton Engineering Services Ltd acquires PD&MS Ltd

Middlesbrough-based Wilton Engineering Services Limited has acquired Project Design & Management Services Ltd of Aberdeen.

Wilton Engineering Services Ltd acquires PD&MS Ltd

Update your Will

The Law Society has warned that thousands of Wills could need updating as a result of rising care and nursing fees which force the elderly to sell their assets, in many instances their homes, to pay for care. The home is generally the largest asset left to loved ones.

Update your Will

SMP and Salary Sacrifice Arrangements

HMRC have published some guidance on the complex area of salary sacrifice and entitlements to both statutory maternity pay and continuing non cash benefits during maternity leave.

SMP and Salary Sacrifice Arrangements

Drive to Help Women Boost their State Pension

Women pensioners could boost their state pension or even be in line for a windfall payment under special terms.

Drive to Help Women Boost their State Pension

Flexible Working Extention

The government has announced plans to extend the right to request flexible working to parents with children up to the age of 16.

Flexible Working Extention

Implementation Date for Rights During Maternity Leave

Following changes being made to the Sex Discrimination Act and, later this year, to the Maternity and Parental Leave Regulations, the law on contractual terms of employment during Additional Maternity Leave (AML) is due to change in respect of women whose babies are due on or after 5 October 2008. HMRC had previously advised that this change would be effective for babies due from 6 April 2008.

Implementation Date for Rights During Maternity Leave

Credit Squeeze

It appears that many businesses are suffering a cash “squeeze” from delayed payment of their invoices as the credit crunch begins to impact on the economy. There are complaints from businesses that some large customers have begun to extend their payment period terms. This is putting a strain on the cashflow of businesses.

Credit Squeeze

No PAYE/NIC or CIS Deduction Payments Due

Even if no PAYE/NICs or CIS deductions payments are due for a given month or quarter, businesses are still generally required to notify HMRC by way of a ‘nil’ return.

No PAYE/NIC or CIS Deduction Payments Due

Homeworking Costs Increase

From 6 April 2008, HMRC has increased the tax and NIC free guideline rate that employers can pay home working employees without keeping records from £2 to £3 per week.

Homeworking Costs Increase

Entrepreneurs' Relief

After business leaders voiced their objections to the abolition of taper relief, the Chancellor introduced a new Entrepreneurs’ Relief (ER). ER may be available for disposals, reorganisations and relevant transactions taking place on or after 6 April 2008.

Entrepreneurs' Relief

Employment Support Allowance

 Incapacity Benefit and Income Support are to be replaced by Employment Support Allowance (ESA). The change takes effect from 27 October 2008.

Employment Support Allowance

Don’t Miss Out on Grant Assistance

Are you thinking of investing in plant and machinery and creating or safeguarding jobs during the next six months?

Don’t Miss Out on Grant Assistance

Marks & Spencer VAT Win

M&S have won a landmark victory in the European Court of Justice.

Marks & Spencer VAT Win

Clive Owen & Co LLP Appointment to Lead Company Expansion

CHARTERED accountants and business advisers, Clive Owen & Co LLP has taken on Lee Huck as director of IT. Mr Huck will take on the newly formed position to head up a new IT department and enable Clive Owen & Co LLP to offer a range of new services to its clients.

Clive Owen & Co LLP Appointment to Lead Company Expansion

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