Tax Tips and News – December 2017

Welcome to our monthly blog designed to bring you tax tips and news to keep you one step ahead of the taxman.

If you need further assistance just let us know or you can send us a question for our Question and Answer Section.

We are committed to ensuring none of our clients pay a penny more in tax than is necessary and they receive useful tax and business advice and support throughout the year.

This Month’s News

· Abolition of Class 2 NICs delayed
· Childcare scheme extended
· HMRC consult on PAYE reporting requirements
· Employment status case turned on right of substitution
· December questions and answers
· December key tax dates

Please contact us for advice in your own specific circumstances. We’re here to help!

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Budget Immediate Reaction – November 2017

We feel that there are four key areas from today budget that we would like to highlight for you…

  • Support for Small Businesses – The chancellor rejected calls to reduce the VAT threshold and no changes were made to dividend or corporation tax.
  • Tech and Innovation – R+D Tax Credits will be boosted to 12% and EIS limits doubled for key sectors.
  • Housing Measures – Councils to charge 100% council tax premium on empty properties. Also land banked by developers for financial reasons will be subject to compulsory purchase.
  • Stamp Duty Gift for 1st Time Buyers – Effective immediately no stamp duty will be payable by first time buyers, up to £300,000.


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Protecting your sensitive data

As Chartered Certified Accountants our responsibility to protect your financial and sensitive data is paramount to us. We have prepared this brief summary to highlight some of the key security issues and steps we take on your behalf.

General Data Protection Regulation (GDPR)

This new data protection law will have direct effect in UK law from 25 May 2018. It requires businesses to protect the personal data and privacy of EU citizens for transactions that occur within EU member states. The government has confirmed that the UK’s decision to leave the EU will not affect it as it will be incorporated into UK law.

Learn more from the Information Commissioners Office.

Email is NOT secure

Did you know that information sent by email is not encrypted? This means that if intercepted on the internet it can be read by anyone. We recommend that you try not to send any sensitive information by email, even as an attachment.

Website Security (HTTPS)

Whenever sharing sensitive information on a website make sure that the connection is secure. Most browsers highlight this by displaying a padlock icon and the website address begins with https NOT http. By using “secure http” (https) your information is encrypted as it is transmitted so that it cannot be read.

Make sure you trust the website in question. Secure transmission is no protection if you send the information to an unreputable website or imposter.

Davis Grant Document Portal

We provide all our valued clients with free access to our Secure Document Portal. This industry leading solution provides you with a virtual “document safe” with numerous features:

  • Secure Account Login.
  • Submit and Store Documents.
  • View Files Instantly.
  • Electronic Signing.

Review our Privacy Policy, General Terms and Document Portal T&Cs for full information.

Are you prepared for your personal tax payment?

Make sure you have approved your self-assessment tax return for the year ending 5th April 2017 in order to be able to make the payment due to HMRC in January. You may receive payment reminders directly from them and you can learn how to pay on their website.

Frequently asked questions…

1. How much do I have to pay?

When you approve your tax return with us we provide you with all the details of the payment due. You may also receive reminders from HMRC separately.

2. How do I approve my tax return?

If you have not approved the tax return we have sent you – it has not yet been submitted on your behalf. Please make sure to approve it as soon as possible to allow us to process it in advance of the deadline.

3. Why have I not received a tax return yet?

If you have not received details from us yet please contact us immediately. We are most likely waiting for you to confirm some additional information so that we can complete your return.

You will receive a penalty from HMRC if your return is not submitted on time and risk incurring fees if your payment is late.

Contact our friendly team of tax experts, email tax@davisgrant.co.uk or call 020 8477 0000.

Ban on Credit Card surcharges

What to expect in the Budget – November 2017

The pressure is on the Chancellor who has promised a “bold” budget to be revealed on Wednesday. Don’t worry if you won’t have time to watch – we’ll be watching for you and our Full Report will be available on Thursday Morning.

Here are the key areas that we are looking for:

Self-Employed NICs

In the spring the government proposed an increase in Class 4 National Insurance contributions from 9% to 11%. This was subsequently abandoned but could it be revived in this budget? The atmosphere is that the government may have to make concessions in Student Loans and Stamp Duty for first time buyers, any tax gifts will have to be paid for somewhere.

Corporation Tax

In the 2016 Budget, the government pledged to reduce the corporation tax rate from the current rate of 20% to 17% by 2020. Given the uncertainty around Brexit negotiations and a public perception that big business is not paying it’s way, it’s unclear if any changes will be made.

Pensions

It’s possible that the Chancellor may target pensions tax relief in order to maintain the state pension. With a study by the FCA revealing that almost a third of UK adults have no pension provision there is also talk that the Auto-Enrolment regime may be extended to the Self-Employed with deductions being made during Self-Assessment.

Our full report on the key announcements will be available on Thursday. 
Subscribe to our newsletter to ensure you receive it.

 

Tax Tips and News – November 2017

Welcome to November’s Tax Tips & News, our blog designed to bring you tax tips and news to keep you one step ahead of the taxman.

If you need further assistance just let us know or you can send us a question for our Question and Answer Section.

We are committed to ensuring none of our clients pay a penny more in tax than is necessary and they receive useful tax and business advice and support throughout the year.

This Month’s Hot Topics…

  • HMRC launch new business support service
  • Office of Tax Simplification outlines future work plans
  • All change for termination payments
  • Using inheritance tax gift exemptions
  • November questions and answers
  • November key tax dates

Please contact us for advice on your own specific circumstances. We’re here to help!

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Ban on Credit Card surcharges

New law coming into effect in January bans the passing on of credit card surcharges to consumers. The second EU Payment Services Directive (PSD2 – EU Directive 2015/2366) comes into effect on 13 January 2018. It introduces a range of measures designed to increase consumer protection, security and better regulate payment processing.

HMRC will no longer accept Personal Credit Cards for Self-Assessment Payments.

HMRC is only allowed to accept credit card payments on the basis that there is no cost to the public purse. They will therefore stop taking personal credit cards for payment when they can no longer pass on the fee (from 13 January 2018).

Corporate, business and commercial credit cards are not affected by this change and HMRC will continue to accept personal and commercial debit cards.

Alternative payment options include:

  • Direct Debit
  • Faster Payment
  • BACs
  • Debit card
  • CHAPs

More information about how to Pay your Self Assessment tax bill is available online.

What we learnt from our Partners at Xero

Last week we got together with our Partners at Xero to discuss the future of our industry and we want to share a few exciting insights that will directly impact all business owners and tax payers.

It’s an exciting new world of technology

The pace of change created by new technologies shows no sign of stopping. In fact if anything it’s really now reaching it’s peak where your experience is going to be revolutionised. Better artificial intelligence is going to make your life easier and automate some of the boring tasks but your accountant will always be there to help advise you on planning, especially when it comes to growth consultancy. Xero is going to make this as easy as possible for you with new learning and help right within the product to guide you through common tasks and the ability to Ask questions and submit information directly to us, your trusted advisor who understands yours business and industry niche.

Regulators are fuelling this change

You can read on this blog about how critical a change we think HMRC’s Making Tax Digital initiative is going to be. This will essentially force tax records to be digitised and submitted online quarterly by 2020. We know how the idea of this may keep you up at night but we’re ready and waiting to help with a team of Xero Certified Advisors. A new banking regulation (Revised Payment Service Directive – PSD2) will help us advise you better when introduced in the next few years. This will give you more and easier control of the information stored with your bank enabling you to share it securely and simply with us and other advisors when you need to.

Better and Personalised Advice

The suite of apps you can plug-in to Xero continues to grow and provide new functionality that can be tailored to your needs. We are proud to have already helped many to use Receipt Bank to spend less time bookkeeping and more time growing their business. We will shortly be launching a new forecasting and dashboard tool (powered by Futurli) that will enable you to harness the information from your financial past to help you achieve what you want in the future.

Concerned about Digital Tax, Need Advice or Ready to Migrate to the Cloud?
Contact our friendly team of experts today for a free chat.

Tax Tips and News – October 2017

Welcome to our blog article designed to bring you tax tips and news to keep you one step ahead of the taxman.

If you need further assistance just let us know or you can send us a question for our Question and Answer Section. We are committed to ensuring none of our clients pay a penny more in tax than is necessary and they receive useful tax and business advice and support throughout the year.

This Month’s Topics

  • Getting ready for GDPR
  • HMRC launch further Help-to-Save consultation
  • The cost of driving a ‘greener’ car
  • MTD VAT regulations to be available by April 2018
  • October questions and answers
  • October key tax dates

Please contact us for advice on your own specific circumstances. We’re here to help!

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