HLAS

HM Revenue and Customs (HMRC) have issued a reminder to be careful about scam attempts that target people filing Self Assessment tax returns. In the last year, nearly 150,000 scam attempts were referred to HMRC, a 16.7% increase on last year. With the 31 January 2025 filing deadline approaching, fraudsters are likely to step up their activities. HMRC reports that around half of all scam reports in the last year were fake tax rebate claims. Fraudsters are usually aiming to get hold of personal information and banking details. If you receive an email, text or phone call from someone claiming [...]

With last week being Charity Fraud Awareness Week, the Charity Commission has unveiled updated guidance to help trustees protect their charities from fraud and cyber crime. This follows the regulator revealing that it opened 603 cases related to fraud and 99 cases involving cyber crime in the past year. Simplified and focused guidance  The newly launched resources include: Fraud guidance: Explains what trustees should do if fraud or attempted fraud occurs. Provides practical tips to mitigate fraud risks, such as implementing robust internal financial controls. Cyber crime guidance: Focuses on common threats, such as phishing, which the Commission has identified [...]

The table below sets out the HMRC advisory fuel rates from 1 December 2024. These are the suggested reimbursement rates for employees' private mileage using their company car. Where the employer does not pay for any fuel for the company car, these are the amounts that can be reimbursed in respect of business journeys without the amount being taxable on the employee: Where there has been a change the previous rate is shown in brackets. You can also continue to use the previous rates for up to 1 month from the date the new rates apply. Note that for hybrid [...]

There remains no taxable benefit for employees, provided all staff are invited and the cost to the employer does not exceed £150 per head, inclusive of VAT. If you have already held a summer event, as long as the combined cost of both events is no more than £150 per head, there will be no taxable benefit in kind. However, if the summer event cost £80 per head and the Christmas party £100 per head, only one event will qualify for the exemption, and employees will be taxed on the £80 benefit. Alternatively, the employer could cover the tax and [...]

Employers should be aware that certain Christmas gifts to staff can be tax-free if structured appropriately. Employers are permitted to provide directors and employees with certain “trivial” benefits in kind that are exempt from tax. This exemption applies to small gifts given to staff at Christmas, provided the cost to the employer does not exceed £50. This is in addition to gifts given on birthdays or other occasions and includes items such as food, wine, or store vouchers.

Some employers find it necessary to pay their employees earlier than usual in December. This can happen for various reasons, such as businesses closing over the festive period and needing to process payments ahead of time. As in previous years, HMRC has confirmed a relaxation of the RTI (Real Time Information) reporting requirements for such situations. If you do make an early payment during the Christmas period, it is essential to report your employees’ usual or contractual payment date on the Full Payment Submission (FPS). For example, if you pay employees on 20 December but their normal payment date is [...]

HMRC have developed an app that can help people prepare for their retirement.  Individuals can use the app to check their State Pension Forecast, allowing them to: see their State Pension age; view their forecast State Pension amounts based on potential contributions; and view how much their State Pension would currently be worth, based on National Insurance contributions to date. The app can also be used to check National Insurance contribution (NIC) years, and view any gaps in your record, including how many weeks you have paid and how much you need to pay for it to become a full [...]

The current tax rules incentivise farmers and other business owners to retain their businesses until death, allowing the assets to pass to the next generation at market (probate) value for capital gains tax (CGT). This results in a tax-free uplift of the business’s value, and when combined with 100% APR and BPR, it represents the most tax-efficient strategy. However, as people live longer, the next generation often inherits the business in their late 50s or early 60s, when they are already nearing retirement themselves. There is a compelling argument that this dynamic stifles growth in the family business economy. If [...]

The announcement in the Autumn Budget regarding restrictions to inheritance tax (IHT) agricultural and business property relief from April 2026 has caused significant concern among farming businesses, prompting a demonstration in London on 19th November. From 6 April 2026, it is proposed that 100% relief will only apply to the first £1 million of combined agricultural and business property, with relief reducing to 50% on any value exceeding £1 million. This change is aimed at focusing the relief on small family farms and businesses. However, with prime agricultural land prices currently exceeding £10,000 per acre and the cost of a [...]

The government has now published the legislation to deliver the business rates changes announced in the recent Budget. These reforms, set to take effect from the 2026/27 tax year, are designed to create a more balanced system, with notable benefits for smaller retail, hospitality, and leisure (RHL) businesses. Here’s what you need to know and how it might affect your business. Relief for retail, hospitality, and leisure  Businesses in the RHL sectors with properties valued below £500,000 will benefit from “two permanently lower business rates multipliers”. This means a reduced tax bill for smaller high-street businesses, which could free up [...]