HLAS

The government are concerned about the lack of take up of tax-free childcare accounts, with HMRC estimating that only about 25% of families eligible for the scheme had joined. With many parents returning to work following the pandemic, they should be encouraged to set up a tax free childcare account to help with their childcare costs. For every £8 paid into an online account, the government will add an extra £2, up to £2,000 per child per year and that money must be used to pay eligible childcare costs. Tax-free childcare is available for working families (including the self-employed) who are not [...]

HMRC have recently updated their guidance for VAT registered importers. These traders must account for postponed import VAT on their VAT returns for the accounting period which covers the date they imported the goods. The normal rules apply for what VAT can be reclaimed as input tax and the trader’s monthly statement will contain the information to support their claim. HMRC is aware of the problems some importers are having when trying to access their monthly VAT statements. If you cannot access your statement or you’re having problems when viewing your statement, you can estimate your import VAT figures for [...]

Early in the COVID-19 pandemic, the Chancellor reduced the rates of VAT for the leisure and hospitality sector to just 5%. That reduced rate applied from 15 July 2020 until 30 September 2021 when the rate was increased to the current 12.5%. However, the rate is scheduled to revert to the normal 20% rate from 1 April 2022.   The businesses affected by the temporary rate reduction are those supplying catering services including restaurants and takeaways operating hotels and providing holiday accommodation and operating leisure attractions such as zoos and theme parks   Businesses should listen to the Chancellor’s Spring [...]

HMRC have updated the advisory fuel rates for employees reimbursing their employer for private mileage to eliminate a private fuel benefit. There appears not to have been a significant increase in petrol and diesel prices in the period under review and as such the reimbursement rates have remained the same. The only change is to one of the LPG rates. However, we expect a change when the 1 June 2022 rates are published. Note that where employers do not pay for fuel for company cars these same rates can be claimed by employees in respect of business mileage. These are [...]

ATED is an annual tax payable mainly by companies that own UK residential property valued at more than £500,000. You will need to complete an ATED return if your property is a UK dwelling and was valued at more than £500,000 and is owned completely or partly by a: company partnership where any of the partners is a company collective investment scheme - for example a unit trust or an open ended investment vehicle Returns must be submitted on or after 1 April in any chargeable period. There are reliefs and exemptions from the tax, which may mean you do [...]

Recruiting new employees is tough just now so be different! For example, some employers are now offering “Wellbeing leave” in addition to the usual holiday package. If you want to recruit more you have to get serious about the process and be on it 24/7, 365! There are a number of actions you can take to make your business attractive to new staff. In addition to reviewing your pay and conditions to be as competitive as possible, these include: Tasking recruitment as a permanent process; Regularly asking existing staff, customers and suppliers for introductions; Offering incentives for referrals; Make sure [...]

Working capital finance solutions offer businesses the opportunity to improve cash flow. The world of commercial finance and asset based lending (ABL) is complex and expansive with products, terminology and contractual interpretation varying from lender-to-lender. The Benefits of arranging Working Capital are: Up to 90% of outstanding invoice value can be advanced within 24 hours; Flexible lending - funding increases in line with your growth (UK and Export); Confidentiality - lenders can offer a completely confidential service - your customers need not know you have a facility in place; Lenders allow you to manage your funding at all times; Sector-specific [...]

The new tax year starts 6 April 2022, so you have one month to consider your options, once we pass this date the majority of the tax planning options for Income Tax and Capital Gains Tax purposes will cease unless actioned before the 6 April. Do you fall into any of these categories? You have or are thinking about a change in your personal status (single, married, separating, joining or dissolving a civil partnership). You claim Child Benefit and the income of either parent is likely to exceed £50,000 for the first time during tax year 2021-22; Your annual income [...]

The COVID-19 testing and quarantine rules for travel to England changed on the 11 February. If you qualify as fully vaccinated for travel to England, you: will not need to take a COVID-19 test before you travel to England or after you arrive will not need to quarantine when you arrive You will need to complete a passenger locator form before you travel to England. Check if you can follow the rules for people who are fully vaccinated – includes people aged 17 and under. If you do not qualify as fully vaccinated for travel to England, you will need to: show proof [...]