What are your responsibilities to pay the National Minimum Wage


April 20th, 2017

The current state defined wage rates are divided between the National Living Wage (NLW) – this is currently set at £7.50 per hour and only applies to workers aged 25 years and over – and the NMW for workers under 25 years. The NMW hourly rates are currently: Age group 21 to 24 – £7.05 […]

Tax free capital gains


April 19th, 2017

Is there such a thing as a tax-free capital gain? In fact, there is… Every UK resident tax payer is allowed to make tax-free gains of up to £11,300 during the current tax year, 2017-18. Additionally, you can sell personal possessions and make a gain of up to £6,000 without paying capital gains tax (CGT). […]

Is the State Pension taxable


April 17th, 2017

Short answer, yes it is… The State Pension is worth between £6,359.60 (the old version), and £8,296.60 (the new version), and many pensioners may receive additional payments based on additional contributions made in prior years. In both cases, this pension income is treated the same as earned income for income tax purposes. For 2017-18, every […]

Utilising tax losses


April 11th, 2017

We have listed below a few of the ways you can make best use of tax losses. Generally speaking, a tax loss arises when a claim for expenses and other allowances (for example capital allowances for equipment purchases) exceeds the income of the relevant trade. Many losses arise as a direct result of a difficult […]

Tax-Free Childcare to be rolled out from 28 April 2017


April 10th, 2017

Tax-Free Childcare, the new government scheme to help working parents with the cost of childcare, will be launched from 28 April 2017. For every £8 a parent pays in, the government will pay in an extra £2. Parents can receive up to £2,000 per child, per year, towards their childcare costs making a total amount […]

Making Tax Digital for Business update


April 10th, 2017

Extensive changes to how taxpayers record and report income to HMRC are being introduced under a project entitled Making Tax Digital for Business (MTDfB) . MTDfB is to be introduced in stages and the government has confirmed in the Budget the deferral of some of the obligations for one year. The result of this announcement […]

VAT Flat Rate Scheme – Limited cost trader


April 10th, 2017

Changes are being made to the Flat Rate Scheme (FRS) which take effect from 1 April 2017. These changes may mean that the FRS is less attractive to some businesses and this may result in these businesses deciding to no longer operate under the FRS. In some cases where a trader has voluntarily registered for […]

Tax Diary April/May 2017


April 6th, 2017

1 April 2017 – Due date for Corporation Tax due for the year ended 30 June 2016. 19 April 2017 – PAYE and NIC deductions due for month ended 5 April 2017. (If you pay your tax electronically the due date is 22 April 2017) 19 April 2017 – Filing deadline for the CIS300 monthly […]

Dividend tax set-back


April 6th, 2017

The final matter we want to showcase for this month is the proposed reduction in the dividend allowance from April 2018. At present, shareholders with dividend income below £5,000 will pay no Income Tax on their dividend income. From April 2018, Mr Hammond looks set to reduce this to £2,000. The average dividend yield for […]

Class 4 NICs


April 6th, 2017

The Chancellor announced two increases in Class 4 NI contributions for the self-employed in his budget and in the following week withdrew the increases for the term of the current parliament. His original notion was to start the process of equalising the NI contributions made by the employed and self-employed now that State Benefits, particularly […]