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Latest News & Events
One step forward, two steps back for corporation Tax?
As set out in the latest budget, from April 2023 the corporation tax rate for companies earning over £50,000 is set to change. For those earning between £50,000 and £250,000 there will be tapered rates between 19% to 25%, with those companies earning over £250,000 being taxed at 25%.
Making Tax Digital
From 1 April 2022 all businesses that are VAT registered will be required to adhere to Making Tax Digital (MTD), with the soft landing for digital links within MTD functional compatible software ending in April 2021. MTD for income tax is still in secondary legislation but it is looking like 6 April 2023 and will be mandatory for unincorporated businesses and landlords with total business or property income about £10K per year.
The NI changes you need to be aware of
From 6 April 2022 National Insurance contributions will increase by 1.25% and will apply to Class 1, Class 4 & secondary Class 1, 1A and 1B earnings. Dividend tax rates are also set to increase by 1.25%.
Surprise HMRC visits
As HM Revenue and Custom's softer approach towards debt collection and time to pay during the pandemic comes to a close, there has been an increase in taxpayers receiving unannounced visits from HMRC's bailiff teams (known as 'field force').
Cryptocurrency & CGT
With the number of cryptocurrency owners increasing every day, HMRC continue to send out letters encouraging holders of crypto-assets, such as Bitcoin, to consider their capital gains tax position.
Extension to reporting duties for property disposals
Following calls from ICAEW the government has confirm that many taxpayers will now have twice as much time to report and pay capital gains tax after selling property in the UK, increasing from 30 to 60 days after completion.