With a cost-of-living crisis as a backdrop and a recession on the horizon, the new Chancellor, Kwasi Kwartang, delivered what is widely termed a mini budget on 23 September, although it lacked the forecasts from the office for Budget Responsibility that would usually accompany such an event.

HMRC have suspended the payment of certain R&D tax credits while it investigates some “irregular claims” for the tax credit.

This 2021 budget summary covers the key tax changes announced in the Chancellor’s speech and includes tables of the main rates and allowances.

There are still benefits to incorporating a property portfolio into a limited company, despite a proposed increase in the rate of corporation tax.

Under EU VAT rules applicable up until 1 July 2021, no import VAT had to be paid for commercial goods of a value up to €22. The new VAT e-commerce rules abolished this provision from 1 July 2021 and since that date, all commercial goods imported into the EU from the UK, are subject to VAT irrespective of their value. Registration with the IOSS may simplify the VAT position.

Self-assessment tax returns for 2019/2020 are due for submission by 31 January 2021, but HMRC has announced that late filing penalties will not be charged if the return is submitted online by 28 February 2021.

The Employee Ownership Trust (EOT) was introduced by the Coalition Government in 2014 with the aim of promoting employee ownership in the UK, similar to the John Lewis model. The 2014 rules provide an incentive for owners to sell a controlling stake in their business.

Companies are increasingly being used as a vehicle for family investments due to a low rate of tax (Corporation Tax is currently payable at just 19%) and the ability to use shares and directorship roles to keep control with certain family members, while allowing the whole family to benefit from income and capital growth.

Further details have been announced about the new Coronavirus Job Retention Scheme, but the online service through which claims will be made is not yet available.

The April 2019 loan charge was introduced to tackle tax avoidance using employer-funded third parties, but following an independent review, this measure has been significantly rolled back.

The Government has clarified that company directors and office holders are eligible for furloughing under the COVID-19 Job Retention Scheme, but many small business owners are still receiving minimal assistance.

The Coronavirus Job Retention Scheme allows employers to claim a grant to cover wages of furloughed employees, including directors, but dividend payments will not be covered.  

People are being prevented from travelling from the UK to other countries at present due to the Coronavirus epidemic. This could affect their UK tax residence status and therefore; their UK tax liabilities.

COVID-19 is changing the way all of us live and work – Tax Innovations is changing its working practices too, but our services will not be interrupted. This article sets out the government’s current assistance package and an update on how to keep in contact with us.

On 11 March 2020, the new Chancellor outlined his first budget. The detailed budget documents set out the following notable tax changes.

From April 2020 the Enhanced Capital Allowances (ECAs) available on energy and water efficient assets will be withdrawn. Currently, 100% first-year allowances are available on these assets, and where the allowances create a loss, this can be converted into a payable tax credit from HMRC.

The 2020 Finance Act is set to reduce the scope of the valuable Private Residence Relief (PRR), which prevents Capital Gains Tax (CGT) being charged when you sell your home. From 6 April 2020, the CGT payable on the sale of a residence may increase by up to £11,200 due to a restriction to PPR ‘Letting Relief’.

The UK corporation tax relief for expenditure on Research and Development (R&D) is extremely generous, particularly for small and medium-sized enterprises (SMEs).

On 6 April 2017, changes to the way that the taxation of workers’ services provided through intermediaries was implemented has had a huge impact for workers in the Public Sector. The Government now intends to roll out similar changes for the Private Sector, with effect from 6 April 2020.

From 6 April 2019 the scope of UK CGT on non-residents is being extended to include all UK real estate property as well as to assets deriving at least 75% of their value from UK land.

Changes to Entrepreneurs Relief potentially threatened the availability of capital gains tax relief for owners of companies with alphabet share classes.

HMRC is making changes to the taxation of Qualifying Non UK Pension Schemes (QNUPS) but, if structured correctly to provide for your future and that of your family, a QNUPS remains an attractive retirement planning opportunity.

On 15 May 2018, the EU reinstated State Aid Approval for the Enterprise Management Incentive (EMI) Scheme, which had lapsed on 6 April 2018. This means that EMI options granted to employees will once again receive a beneficial tax treatment.

On the 15th March 2018, the Finance Act 2018 received Royal Assent, bringing the third Finance Act of the 2017/18 period into force. We discuss the main items brought into force from the 6th April 2018.

The Enterprise Management Incentive (EMI) Scheme is a popular scheme for smaller companies to provide their key employees with tax-advantaged share options, but delays in obtaining renewal of EU State Aid approval for the EMI scheme means that the benefits will be switched off for an unknown period.

As had been expected, the 2018 Spring Statement update did not include any major tax policy announcements; rather it provided a number of consultations that suggest potential legislative changes in the future. Read more about the areas set for exploration here.

Taxpayers you should be aware of the overseas tax disclosure deadline approaching.  Taxpayers who know or suspect that they have unpaid income tax, capital gains tax and inheritance tax relating to overseas assets, income or activities need to act before the deadline of 30 September 2018 to avoid incurring much higher penalties for non-compliance.

Now that the deadline for submission of tax returns for the 2016/17 tax year has passed, it is time for this financial year's company remuneration planning. You need to consider the level of salary and dividends you may require from your limited company in the 2017/18 tax year, as this needs to be in place by 5 April 2018.

HMRC have introduced a restriction to the amount of mortgage interest relief that is available for property businesses. Even so, if you have a property letting business you may find that restructuring your borrowing between properties could still have substantial tax benefits.

Deadlines for registration for the 2016/17 tax year have already passed, but the trust registration penalty deadline is now looming, on the 5th March 2018.

Continuing HMRC’s long-running campaign against abusive tax avoidance, Finance (No. 2) Act 2017, which was enacted on 16 November 2017, contains legislation to create a one-off tax charge on loans from disguised remuneration (DR) schemes if those loans are not repaid by 5 April 2019.

Changes to the way VAT on imports of goods from the EU is paid after Brexit could leave over 130,000 UK businesses out of pocket.

On 22 November 2017, Philip Hammond gave his first Autumn Budget as Chancellor. The main tax announcements are set out in Autumn Budget 2017.

Following the election result 2017, many are still left in limbo regarding their current UK tax position, at least until the next Finance Bill is published.

The VAT Flat Rate Scheme is an effective way of managing VAT reporting by being far more straightforward to operate than the standard VAT basis.

Plans to increase the main rate of National Insurance for self-employed individuals have been cancelled in a quick U-turn from the Chancellor.

On 8 March 2017, Philip Hammond gave his first Spring Budget as Chancellor. The main tax announcements out in this summary.

The Autumn Statement 2016 has significant implications for your finances and tax. So what does it mean for you? Read Tax Innovations Summary.

HMRC are reporting that they are aware of a telephone scam where telephone calls have been received claiming to be from HMRC. 

From 30 June 2016, UK Limited Companies are required to submit a ‘Confirmation Statement’ and ‘Persons with Significant Control’ on the PSC Register.

UK domiciled individuals have to file their UK tax returns on the “arising basis,” reporting worldwide income and gains. The remittance basis is available to UK residents that are non-UK domiciled (often called “non-doms”) which means that UK tax is paid on foreign and overseas income or gain but only if remitted (brought) to the UK.

In recent times, running a business through a limited company has provided a significant tax saving over a sole trade, by allowing profits to be extracted from the business at similar rates of tax but with little or no charge to National Insurance Contributions (NICs).

The Chancellor has announced measures to support British businesses that are suffering due to the debt crisis in Greece.