HLAS

Where a company makes a trading loss of no more than £200,000 in an accounting period it is now possible to claim relief for that loss even though the corporation tax return CT600 has not been submitted. This will enable the company to carry back the loss to earlier years and obtain a repayment of tax previously paid. HMRC will however need evidence of the loss to support the claim, in particular a PDF of the company’s management accounts for the period. In determining whether the loss is no more than £200,000 the company is required to claim all available [...]

VAT registered business making taxable supplies above the £85,000 registration threshold have been grappling with Making Tax Digital (MTD) since April 2019. The next roll-out will be the introduction of MTD for income tax which is scheduled to start in April 2023. The obligation to keep records in a digital format and report information quarterly will apply to unincorporated businesses and property landlords with gross income in excess of £10,000 a year. Businesses operating MTD for VAT will already have MTD compliant accounting software but the extension of MTD to income tax will mean a major change for property rental [...]

Businesses can delay sending HMRC full information about goods by up to 175 days before the deadline of 31 December 2021. After that full customs declarations must be made at the point of import for all goods. For goods brought into Great Britain (England, Wales and Scotland) from the EU, you (or someone who deals with customs for you) may be able to delay sending HMRC the full information about your goods by up to 175 days after import. However, you cannot delay declarations and must follow the normal rules for making an import declaration if either: your goods are controlled HMRC has [...]

Since 6 April 2021 large and medium-sized organisations, based on the Companies Act criteria, have had to determine whether or not a worker supplying his services via their own personal service company would be treated as an employee if directly engaged. This replaced the IR35 rules for these larger organisations. HMRC suggest organisations use their Check Employment Status for Tax (CEST) tool on their website to check the worker’s status, although that is not obligatory. The tool is an interactive database of questions and will normally provide a ruling after 15 to 20 questions depending on the answers given about [...]

Duty suspensions are designed to help UK and Crown Dependency businesses remain competitive in the global marketplace. They do this by suspending import duties on certain goods, normally those used in domestic production. These suspensions do not apply to other duties that may be chargeable like VAT or the anti-dumping duty. Duty suspensions allow unlimited quantities to be imported into the UK at a reduced tariff rate. Autonomous Tariff Quotas (ATQs) allow limited quantities to be imported at a reduced rate. Duty suspensions and ATQs are temporary and can be used by any UK business while in force. They are [...]

The Department for Digital, Culture, Media & Sport has provided a resource to help event organisers to reduce the risk of COVID-19 transmission in event settings. This resource sets out examples of the types of risk mitigation measures event organisers can put in place to reduce the risk of COVID-19 transmission at events. This should be used in conjunction with the events and attractions guidance, which explains the types of events which may need to take additional measures and how these measures can help to reduce risk. It also includes more detail on how you can put these measures in place [...]

Businesses are still able to use postponed VAT accounting (PVA) to account for import VAT on their VAT returns. Accounting for import VAT on your VAT Return means you will declare and recover import VAT on the same VAT Return, rather than having to pay it upfront and recover it later. You will need to get your monthly postponed import VAT statement to do this. The normal rules about what VAT can be reclaimed as input tax will apply. See: Check when you can account for import VAT on your VAT Return - GOV.UK (www.gov.uk)

All workers are legally entitled to be paid the National Minimum Wage (NMW). This includes temporary seasonal staff, who often work short-term contracts in bars, hotels, shops and warehouses over the summer. The National Minimum Wage hourly rates from 1 April 2021 are: £8.91 - age 23 or over (National Living Wage) £8.36 - age 21 to 22 £6.56 - age 18 to 20 £4.62 - age under 18 £4.30 - apprentice Employers who do not pay the NMW can be publicly ‘named and shamed’ and those who blatantly fail to comply can face criminal prosecution. Employers can contact the Acas helpline for [...]

Last week the milestone of more than 35 million adults receiving both doses of a COVID-19 vaccine (more than two thirds of the adult population) was passed. From today all remaining limits on social contact are removed and there will be no more restrictions on how many people can meet in any setting, indoors or outdoors. All settings will be able to open, including nightclubs. Large events, such as music concerts and sporting events can resume without any limits on attendance or social distancing requirements . All restrictions on life events such as weddings, funerals, bar/bat mitzvahs and baptisms will [...]