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

Beat the Vehicle Excise Duty changes
11/01/2017 - More...
Some major changes to the way Vehicle Excise Duty (VED) commonly known as road tax works will come into effect from April this year. The government has been concerned for some time that the current VED structure is too lenient and that the proliferation of low emission cars is having an adverse effect on the amount of money raised from

VAT Flat Rate Scheme changes
11/01/2017 - More...
HMRC is to introduce an additional test from 1 April 2017 that will determine the VAT flat rate percentage used by VAT registered businesses using 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 scheme.

Best tax return filing rates
11/01/2017 - More...
HMRC has released an interesting analysis showing that men are more likely than women to send in their tax return on time. The statistics were compiled by analysing the filing of 2014-15 tax returns up to the end of April 2016. The paper return for that tax year was due to be filed by 31 October 2015 and the online deadline was 31 January

Scam emails and phone calls
11/01/2017 - More...
Fraudsters are continuing to target taxpayers with scam emails in advance of the 31 January deadline for submission of Self Assessment returns. This fraudulent activity will continue after the due date for submission with requests for personal information at a time when many taxpayers will be expecting to hear from HMRC. A number of

Withdrawal of Extra Statutory Concessions
11/01/2017 - More...
An Extra Statutory Concessions (ESC) is a concession granted by HMRC that usually reduces a taxpayer’s tax liability to a level less than they would expect to pay based on a strict reading of the law. The majority of the ESCs introduced by HMRC deal with anomalies in the legislation which under certain specific situations create

HMRC reminder to claim the marriage allowance
11/01/2017 - More...
The marriage allowance came into force on 6 April 2015 and allows lower earning couples to share part of their personal tax-free allowance. HMRC has announced that some 1.3 million couples have applied for the tax break since it was introduced. However, this figure is low when compared to the estimated 4.2m married and civil partner

Launch of the new £1 coin
04/01/2017 - More...
It is now less than three months until the new £1 coin enters circulation on 28 March 2017. The new £1 coin will be 12-sided and will replace the round shaped £1 coin that has been in use for 30 years. The new coin is being introduced to help combat the problem of counterfeit coins and will, according to the Royal Mint, be the most secure

Saving options for 2017
04/01/2017 - More...
A new infographic has been jointly published by HM Treasury and HM Revenue & Customs. The one page document lists information about various ways to save in 2017 including ISAs and other savings options. The following are some of the most popular tax efficient savings options: ISA accounts are free from Income Tax and Capital Gains

Annual revalorisation of the euro to pound
04/01/2017 - More...
HMRC has published details of revised limits affected by the 2016 revalorisation which came into force from 1 January 2017. The threshold for qualifying gifts to be free from customs duty and import VAT when arriving in the UK (from outside the EU) has been updated. The threshold which is only available to private individuals has

Online tax returns filed over Christmas period
04/01/2017 - More...
A number of recent tweets from HMRC highlighted the fact that almost 2,000 taxpayers took the time to file their tax return online on Christmas Day and over 6,000 returns were filed on Christmas Eve. At the tail end of the holiday period over 16,000 taxpayers filed their tax returns on New Year’s Eve and 13,000 people spent part of the

DIY Housebuilders Scheme
04/01/2017 - More...
The VAT DIY Housebuilders Scheme is a special scheme that enables self-build homeowners to benefit from the special VAT rules that allow the qualifying construction costs of new homes and certain conversion works to be zero-rated. A recent tweet by HMRC reminds persons building a house in 2017 of the benefits of the scheme. The use of the

Merchandise in Baggage
04/01/2017 - More...
There are special customs requirements for commercial goods or samples which are imported or exported by passengers in their accompanied baggage (hand carried). This is known as Merchandise In Baggage or MIB. MIB goods include the following: goods acquired for company use goods for sale spare parts trade samples whether or not

Expected employment law changes in 2017
04/01/2017 - More...
Some significant changes to employment law are expected to be rolled out this year, whilst at the same time there remains the ongoing uncertainty about what is to happen to employment and immigration law as a result of Brexit. The eight key employment law changes that employers may, depending on their size, need to tackle this year

Scott Says …. Tips for Tax Efficiency
03/01/2017 - More...
Happy New Year from us all at 1st Option. As we enter the last quarter of the 2016/2017 tax year, here are some ‘tips’ that may help you be more tax efficient: Personal Income Have you utilised your tax free allowance for this year? Remember you may have £11,000 which can be taken as income, between 6th April 2016 and 5th April

VAT enforcement measures for overseas retailers
02/01/2017 - More...
One of the measures included in the Finance Act 2016 concerns the introduction of new powers to help combat the growing problem of overseas traders selling goods in the UK using online marketplaces (such as Amazon and eBay). This measure was first announced by the government at Budget 2016. HMRC has now published an update which has

Excuses for missing Self Assessment deadline
02/01/2017 - More...
A recent press release by HMRC revealed some of the oddest excuses for submitting a late tax return. The excuses ranged from the sublime to the ridiculous and included: 'My tax return was on my yacht…which caught fire' 'A wasp in my car caused me to have an accident and my tax return, which was inside, was destroyed' 'My wife helps

Company cars and vans – taxable benefits
02/01/2017 - More...
Where employees are provided with fuel for their own private use by their employers, the car fuel benefit charge is applicable. The fuel benefit charge is determined by reference to the CO2 rating of the car, applied to a fixed amount, currently £22,200. For example, a CO2 rating of 150g/km would create a taxable benefit of £5,994. HMRC

Air Passenger Duty and Scotland
02/01/2017 - More...
Air Passenger Duty (APD) is a departure tax levied on most air travel. Each geographical band has two rates of Air Passenger Duty, one for standard class and the second for 'other' higher classes of travel (usually business / first class). Since 1 April 2016, band A ranges from £13 for a standard class journey and £26 for an 'other' class

Inheritance Tax main residence nil-rate band
02/01/2017 - More...
The new Inheritance Tax main residence nil-rate band (RNRB) comes in to effect from April this year. The initial allowance will be £100,000 from 2017-18, increasing to £125,000 in 2018-19, £150,000 in 2019-20 and £175,000 in 2020-21. The RNRB is a new transferable allowance for married couples and civil partners (per person) when their