News

Scott Says - IR35 in the Public Sector - We need your feedback
29/07/2016 - More...
A Consultation on IR35 in the Public Sector is now underway. The proposals suggest that a hirer, or an agency acting on the hirer’s behalf, will complete a ‘test’ for those working in the public sector. If the test is passed gross payments will be paid to your limited company. However, if the assignment fails (the test) Tax and NIC will

A new partnership with UK's most innovative CRM company
01/07/2016 - More...
1st Option is delighted to announce it has added a CRM solution to its portfolio of products and services. The cloud-based small business CRM solution from UK based Monii, is a winner when it comes to productivity gains, which means more billable hours for you. Monii is your secret weapon to track tasks, contacts, and notes. One of the

Scott Says - How to reduce your Corporation Tax
01/07/2016 - More...
Everyone loves paying taxes right? Well if you don’t, this article provides a few basics every business owner should know to ensure they are not paying too much! Jim Callaghan, the Chancellor of the Exchequer introduced Corporation Tax in 1965. Since 1965 the Corporation Tax rates have ranged from 42% in the seventies to 19% in the

Professional bodies approved for tax relief
27/05/2016 - More...
Many professionals such as accountants, lawyers and health professionals are required to make a subscription to a professional body or learned society. HMRC has recently published an updated list of the organisations that they will accept as valid professional bodies. This list is updated from time to time and a recent update lists all

Healthcare when away from home
27/05/2016 - More...
· Do you work away from home? · Are you often too busy to visit your local GP? We are delighted to introduce i-GP. Designed and run by UK trained family doctors with over 30 years of NHS experience between them, they provide free online assessments for over 20 minor illnesses. They offer instant access to the

State Pension age review
19/04/2017 - More...
In March 2016, John Cridland CBE, the former Director General of the Confederation of British Industry (CBI) was appointed by the government to lead an independent review of the State Pension age. The State Pension age for both men and women is set to increase to 67 by April 2028. The review was tasked with looking beyond the existing

Furnished holiday lettings
19/04/2017 - More...
The furnished holiday let (FHL) rules allow holiday lettings of properties that meet certain conditions to be treated as a trade for specific tax purposes. Individuals, partnerships, trustees and companies who let furnished holiday accommodation situated within the UK or elsewhere in the EEA can benefit from having a FHL. HMRC’s guidance

Prime Minister calls for snap election
19/04/2017 - More...
In a shock announcement following the Easter weekend the Prime Minister Theresa May declared plans to call a snap election on 8 June. The announcement marked a seismic shift from her earlier declarations that there would be no new elections until 2020. Her dramatic speech on the steps of Downing Street made it clear that she felt she

Tax codes for employees
19/04/2017 - More...
The P9X form is used to notify employers of the tax codes to use for employees. The form shows the tax codes to use from 6 April 2017. The basic personal allowance for the tax year starting 6 April 2017 is £11,500 and the tax code for emergency use is 1150L. The basic rate limit is £33,500 except for those defined as Scottish taxpayers

Claiming the employment allowance
19/04/2017 - More...
An annual employment allowance for businesses and charities, to offset against their employer's Class 1 NICs, was introduced in April 2014. The allowance can be claimed as part of the normal payroll process through RTI using an employer’s payroll software or HMRC’s Basic PAYE Tools. The maximum amount available is currently £3,000 per

EU VAT refund scheme
19/04/2017 - More...
The VAT paid in other EU countries is often recoverable by VAT-registered businesses in the UK, who bought goods or services for business use. The amount refundable depends on the other country's rules for claiming input tax. It is important to note that VAT incurred in foreign countries can never by reclaimed on a domestic UK VAT return.

Repayment of student loans
11/04/2017 - More...
Student loans are part of the government’s financial support package for students in higher education in the UK. They are available to help students meet their expenses while they are studying and it is HMRC’s responsibility to collect repayments where the borrower is working in the UK. The Student Loans Company (SLC) is directly

Employer P11D, P11D(b) and P9D deadline
11/04/2017 - More...
Employers are reminded that the deadline for submitting the 2016-17 forms P11D, P11D(b) and P9D is 6 July 2017. P11D forms are used to provide information to HMRC on certain benefits and expenses that employees and directors receive during the tax year such as company cars, loans and private medical insurance. Since 6 April 2016,

Welsh land transaction tax
11/04/2017 - More...
The new land transaction tax (LTT) which will replace the UK stamp duty land tax (SDLT) in Wales will be launched on 1 April 2018. The LTT marks the first new Welsh tax in almost 800 years and has moved a step closer following the passing of the Bill by the National Assembly for Wales. The Bill is expected to receive Royal Assent (when

Working Tax Credit
11/04/2017 - More...
The Working Tax Credit (WTC) assists taxpayers on low incomes by providing top-up payments including to those who do not have children. There are extra amounts available for qualifying childcare expenses and working households in which someone has a disability. The basic amount of WTC for 2017-18 remains unchanged at £1,960 a year. In

Let property campaign
11/04/2017 - More...
HMRC’s Let Property Campaign provides landlords who have undeclared income from residential property lettings in the UK or abroad with an opportunity to regularise their affairs by disclosing any outstanding liabilities, whether due to misunderstanding the tax rules or because of deliberate tax evasion. HMRC’s guidance on making a

Rent-a-room scheme
11/04/2017 - More...
The rent-a-room scheme is a set of special rules designed to help homeowners who rent-a-room. The limit increased to £7,500 from 6 April 2016 and remains at the same level for the current tax year 2017-18. HMRC’s rent-a-room scheme guidance has been updated for 2017-18. The relief applies only to the letting of furnished accommodation

Personal tax changes for 2017-18
05/04/2017 - More...
A number of changes to personal taxation have come into effect with the start of the 2017-18 tax year. These changes include the following: National Living Wage and the National Minimum Wage rates The new National Minimum Wage (NMW) and National Living Wage (NLW) rates came into effect on 1 April 2017. This is the first time that the

Business tax changes for 2017-18
05/04/2017 - More...
A number of changes to business taxation have come into effect with the start of the 2017-18 tax year. These changes include the following: Corporation Tax The Corporation Tax rate from 1 April 2017 has been reduced to 19% and set at this rate for 2018 and 2019. From 1 April 2020, the Corporation Tax rate will be further reduced to

Mortgage relief restriction for landlords
05/04/2017 - More...
The tax relief available to residential landlords has been reduced from the start of the 2017-18 tax year. The new rules mean that tax relief on mortgage costs will be gradually restricted to the basic rate of tax. Landlords of residential properties have benefited from full tax relief on finance charges, such as mortgage interest for

VAT Flat Rate Scheme
05/04/2017 - More...
HMRC has introduced an additional test from 1 April 2017 that will help determine the VAT flat rate percentage used by VAT registered businesses that use the Flat Rate Scheme. It appears that HMRC considers the benefits obtained by certain businesses to be excessive. Whilst in theory some businesses win and some lose when adopting this

Help to Buy sales update
05/04/2017 - More...
The latest statistics on the uptake of the government’s flagship Help to Buy schemes were published on 30 March 2017. The figures show that over 259,000 homes have been bought since the schemes were first launched in October 2013. The portfolio of Help to Buy schemes include: ISA, Shared Ownership, Mortgage Guarantee, Equity Loan and

Adding new employees to the payroll
05/04/2017 - More...
Employers that take on a new employee need to work out which tax code and starter declaration to use in their payroll software. Incorrect tax codes can lead to the new employee paying more tax than is due. The necessary information can be collected by asking the new employee to complete HMRC's new starter checklist and / or from the

Legislating for the UK’s withdrawal from the EU
05/04/2017 - More...
Following the UK Prime Minister, Theresa May, giving notice under Article 50 of the Treaty of the European Union of the UK’s intention to leave the EU, the government has published a White Paper on “Legislating for the United Kingdom’s withdrawal from the European Union”. This confirms that a new Great Repeal Bill will: repeal the