We discuss benefit in kind (BIK) and other business tax implications for company cars with car manufacturers moving to subscription-based models

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.  

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.

The new government has published its first post-Brexit budget and Inheritance Tax was not on the agenda. Given the current economic uncertainties, it seems that Inheritance Tax, rarely much of a priority for governments given that it invokes passionate feelings while in reality representing a small part of the total tax take, is unlikely to change for the foreseeable future.

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

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

Entrepreneurs’ Relief has been the subject of recent changes including an extension to the length of the required qualification period and the introduction of a measure or protection for taxpayers who find that their shareholding has been diluted below the Entrepreneurs’ Relief threshold.

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.

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

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.

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.

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

Despite a massive outcry last year against suggestions that HMRC should gain powers to collect tax debts directly from taxpayers’ bank accounts under the Direct Recovery of Debts (DRD) rules, it has recently been announced that HMRC intends to push forward regardless.

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

With his summer Budget speech of 8 July 2015, Chancellor George Osborne has introduced significant changes to the UK tax system and set out the Conservatives plans to balance the budget by 2020.

There has been recent press coverage of HMRC powers being used to force the accelerated payment of inheritance tax (IHT)

Qualifying Non-UK Pension Schemes (QNUPS) are flexible retirement benefit schemes that provide alternative routes for individuals to plan for their future.

HMRC has been attempting to discourage the ownership of residential properties through limited companies and have centred around three tax charges.

HMRC is currently sending letters to companies that have made contributions to Employer Financed Retirement Benefit Schemes (EFRBS) that outline an opportunity to settle the taxation treatment of these contributions under one of two possible treatments.

Employee Share Schemes are designed to allow employees to acquire capital gains tax exempt shares in their employer company in exchange for surrendering certain employment rights.

If you hold an investment product, a recent clarification of HMRC’s position may lead to an income tax charge. Read more about Trail Commission.

There are many rules regarding what is and can be eligible for research and development tax credits (R&D credits) and we specialise in identifying whether you can claim.

New rules come into force from October 2011 to align the treatment of agency workers with employees. This will mean that if you hire an agency worker, after a 12 week qualifying period agency workers will be entitled to the same pay and basic working conditions.

The rate of income tax relief given under the Enterprise Investment Scheme (EIS) will be increased from 20% to 30% with effect from 6 April 2011, subject to State aid approval.