News & Events

HMRC has recently reported a consultation on how basis periods can be reformed for income tax for the self-employed. The consultation seeks to gather views on how best to implement a proposal to simplify the rules under which profits of an unincorporated trading business are allocated to tax years using basis periods. The consultation also includes suggestions regarding transitional rules for moving to the new system. HMRC aims to simplify the system before Making Tax Digital (MTD) for income tax…

A fifth grant covering May 2021 to September 2021 will be open to claim from late July 2021, the size of the grant will be made by how much your turnover has been reduced, in the years from April 2020 to April 2021. The grant is taxable and will be paid out in a single installment You must have traded in the tax year: Eligible applicants for the fifth SEISS grant must have been actively trading during the 2019/20 and…

HMRC is reminding tax credit claimants that they have until 31 July 2021 to renew their claims. According to HMRC, 440,000 claimants have yet to renew their claims. More than 2.5 million annual tax credits packs were posted to claimants between late April and early July 2021. Claimants will have either received an ‘auto-renewal’ reminder or a ‘reply required’ notice. All ‘reply required’ claimants must renew their claims or contact HMRC to notify them of any change in circumstances ahead…

More than 282,000 working families used a Tax-Free Childcare (TFC) account during March 2021, according to figures from HMRC. HMRC stated that it is the highest recorded number of families in any one month since the scheme was launched in April 2017. These families received a share of more than £33 million in government top-up payments for their childcare. The TFC scheme can be used to help pay for accredited holiday clubs, childminders or sports activities – enabling parents and…

Three schemes were launched on 1 July to deal with VAT on business-to-consumer supplies of goods and services to EU customers. They are known as the ‘Union’, ‘non-Union’ and ‘import’ schemes. The schemes are designed to facilitate the collection of VAT by one EU member state, which is then passed on to the member state in which the supply is deemed to take place. The ‘Union scheme’ covers intra-EU supplies of goods and services for businesses with their place of…

The government has confirmed that employers of all sizes in England can now apply for £3,000 in extra funding to help them take on new apprentices. The boost to the apprenticeship incentive scheme was confirmed by Chancellor Rishi Sunak in the Budget in March. The claims portal opened on 1 June and businesses can apply for £3,000 for each new apprentice hired as a new employee from 1 April until 30 September. The cash incentive is designed to help more…

HMRC has confirmed that the fifth Self-employment Income Support Scheme (SEISS) grant covering the period May 2021 to September 2021 will open to claims from late July. To be eligible for the grant, an individual must be self-employed or a member of a partnership. They must have traded in the tax year 2019/20 and submitted their tax return on or before 2 March 2021, and also have traded in the tax year 2020/21. Claimants must either be currently trading but…

New company car advisory fuel rates have been published and took effect from 1 June 2021. The guidance states: ‘You can use the previous rates for up to one month from the date the new rates apply’. The rates only apply to employees using a company car. The advisory fuel rates for journeys undertaken on or after 1 June 2021 are: Engine size Petrol 1400cc or less 11p 1401cc – 2000cc 13p Over 2000cc 19p Engine size LPG 1400cc or less…