Tax credits – do I have to tell HMRC if my circumstances change? Tax credits are benefit payments that are paid to people in work who are on a low income or have children. There are two tax credits – working tax credit (for those working...
When is a car a pool car? Rather than allocating specific cars to particular employees, some employers find it preferable to operate a carpool and have a number of cars available for use by employees when they need to undertake a business journey. From a tax...
Check your tax calculation Each year HMRC undertake a PAYE reconciliation for employed individuals who are not required to submit a tax return to check that the correct amount of tax has been paid. Where it has not, HMRC will send out either a P800 tax...
Avoiding common errors when computing business profits HMRC produce a range of Toolkits for agents, which highlight errors commonly made in returns so that agents can take steps to avoid them. The business profits toolkit provides guidance on errors that are found in relation to business profits for small...
Government childcare scheme – tax-free top-up Working parents can receive a tax-free top up from the Government to help with their childcare costs. The top up is worth £500 every three months (£2,000 a year). A higher top-up of £4,000 a year (£1,000 every three months) is available where...
Inheritance tax and spouses and civil partners Special rules apply for inheritance tax purposes to married couples and civil partners. To ensure valuable tax reliefs are not lost, it is beneficial to consider the combined position, rather than dealing with each individual separately. Married couples and civil partners benefit from...
The word “chartered accountant” gives off a certain vibe that often makes people think of pricey services that they could never afford. In reality, however, the costs of hiring a chartered accountant are trivial compared to how much money you can save. The prospect of...
When starting a business, it is imperative that you completely understand all business functions. One of the most significant business functions is, undoubtedly, accounting. While the idea of going through countless piles of financial documents is intimidating and overwhelming, accounting is still necessary...
From 2013-14 onwards, businesses may use a fixed rate per business mile to compute their vehicle expenses under the new simplified expenses rules. They can use this method of relief as an alternative to keeping detailed records of actual expenditure. The fixed rate deduction covers expenditure...
In any given business, a systematic process of recording, measuring, and communicating financial information and transactions should be in place. That is where the concept of accounting comes in. Accounting is essential in regulating the business cash flow, taxes, and everything else that has to do with a company’s finances. If...