HLAS

The table below sets out the HMRC advisory fuel rates from 1 September 2023. 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 [...]

Draft legislation released for consultation on 18 July indicates that business and individual taxpayers will be required to provide more information to HMRC in the next few years. It is proposed that from 2025/26, employers will be required to provide more detailed information on employee hours worked via real time information (RTI) PAYE reporting. The information to be reported will be set out in separate regulations. From 2025/26 shareholders in owner-managed businesses will also be required to provide additional information via their self- assessment tax returns. These shareholders will be required to disclose the amount of dividends received from their [...]

Currently, where an individual pension holder dies before age 75, drawdown pensions paid to a successor can generally be received free from income tax. Where the pension holder dies over the age of 75, then the amounts drawn by the successor are taxed at their marginal income tax rate. Note also that the current tax rules provide that the value of the fund passes free of inheritance tax to the successor and thus forms an important part of estate planning. Policy documents published in July 2023 include draft legislation to abolish the pension lifetime allowance and associated income tax charge. [...]

The government have issued draft legislation for consultation on the proposal to merge the two forms of corporation tax relief for expenditure on research and development (R&D) For expenditure incurred on or after 1 April 2024, it is proposed that the two schemes providing for R&D relief - R&D expenditure credit (RDEC) and Credit Relief for SMEs, will be merged and replaced with a single unified scheme. This will operate alongside a new scheme to provide additional relief for “R&D intensive” SME companies. It is suggested that this merged scheme will operate in a similar manner to the existing RDEC [...]

Parents and carers need to be aware that if either of the couple have ‘adjusted net income’ in excess of £50,000 then the one with the higher income will potentially be charged to tax on some or all of the child benefit and will need to request a self-assessment tax return to report the amount of child benefit received in the tax year. The High Income Child Benefit Charge (HICBC) was introduced in 2012/13 and imposes a 1% charge on the amount of child benefit received for every £100 that the taxpayer’s adjusted net income exceeds £50,000. ‘Adjusted net income’ [...]

The Government’s Tax-Free Childcare Accounts provide a 25% subsidy towards the cost of childcare. The account can be used to pay nursery fees, breakfast clubs, after school clubs and registered childminders. The scheme operates by topping up savings of up to £8,000 per child by 25%, potentially an extra £2,000 a year from the Government to spend on qualifying childcare. The scheme generally applies to children under 12. In the case of disabled children the age limit is 16 and the amount that can be saved is £16,000 a year, topped up by the Government by a further 25% to [...]

The Small Business Britain's Small & Mighty Enterprise Programme to help grow small businesses with expert guidance and mentoring is a six-week programme, designed to supercharge sole traders and micro businesses and concludes with a growth plan to support the next year of business opportunity. It will be delivered entirely online, allowing access from anywhere in the UK with flexible learning enabling opportunities for all. What does the course include? Live weekly sessions recorded and available on a private Small Business Britain website available exclusively to course participants. Weekly worksheets to embed learning outcomes accessible on the private website hub, developed by [...]

Facial recognition technology (FRT) identifies or otherwise recognises a person from a digital facial image. Businesses can use FRT in a variety of contexts - for example, in allowing access to devices, taking payments, or allowing entry to secure areas. Depending on the use, FRT involves processing personal data, biometric data and special category personal data. Such technologies can intrude on people's privacy, so businesses need to think carefully when deciding if they should implement them. If you are a small business looking to begin using facial recognition technology, read the ICO's latest FAQ about using FRT for payment, entry, or [...]

The SME Climate Hub is here to help small businesses deliver on their climate goals and they have developed free, practical resources specifically tailored to support SMEs on their net zero journey, through strategic emission reductions and opportunities for climate leadership. Businesses can calculate their emissions with the Business Carbon Calculator, learn how to take action with the Climate Fit education course, and access support through the Financial Support guide and 1.5°C Business Playbook. Research shows that such measures can significantly save companies on their overheads. For example: switching to EVs can not only cut running costs but also lower servicing and maintenance costs by around 40% [...]

The National Cyber Security Centre (NCSC) states that UK organisations should prepare for an extended period of heightened cyber security threat. It has guidance for organisations on the steps to take to improve security. The guidance is designed to be applicable to any period of sustained heightened cyber threat, including the one arising from Russia in light of events in and around Ukraine. The NCSC says that the cyber threat to the UK remains heightened and they expect it to stay that way for some time. The NCSC guidance aims to help organisations avoid complacency and staff burnout. It advises [...]