Accountants in Cannock who help you keep more of what you earn.
Recently The Chancellor has made the rules on tax on overseas dividends more generous, however, HMRC are not keeping up with the nicety Mr Darling is offering us all. Because of the rule change, HMRC are allowing us to put foreign dividends of up to £300 in with UK dividends. Saving you the hassle of filling in more pages. Sounds good, but only for some people. If your a lower rate tax payer there are no benefits of filling in more foreign pages. However high rate tax payers could be getting taxed inappropriately and lose a small amount each year, eventually adding up to a couple of hundred quid. Not much, but more than you want to give away.
Find out why there are so many vacancies for a Financial Director (FD). If the FD is really good, he will be headhunted - leaving a vacancy. If the FD is really bad, he will be fired - leaving a vacancy. If the company prospers the FD may well land the top job - leaving a vacancy. If the MD dies or retires only the FD has sufficient familiarity with all aspects of the business to take over - leaving a vacancy. If the company is doing badly, the FD will know first and will leave before anybody else finds out - leaving a vacancy.
According to Peter Vaines and Roger Nuttall in their book "The Bottom Line"
Most students are unaware of the the affect tax has on them and if they actually have to pay it. Unfortunately they do and HMRC have tagged onto the unawareness and launched a website to target it. It contains all sorts of helpful tools for helping students work out how much tax they have to pay, details on the minimum wage and information on student finance.
Following a similar strand to our article yesterday on being self employed, contractors affected by IR35s have also been warned to be on there guard. But the question must be raised, who is affected by IR35s? As a rule of thumb if
Nothing is better than a big steaming BACS payment from HMRC. However, if your refunds are more than three years old, time is running out. Though you may be able to issue a protective claim for your refund, your best bet is to claim the refund as soon as possible. If you would like us to put your tax return together, get in contact with us either on 01543 468500 or advice@hatepayingtax.co.uk 2003/04 - Jan 21 2010 2004/05 - Mar 31 2010 2005/06 - April 5 2010 2006/07 - April 5 2011 And so on... If you need help filing in your tax return to get that repayment get in contact with us.
HMRC have some interesting tactics for getting tax out of people. But there is a new technique. HMRC are now trying to get companies to pay employee's tax out of their own pocket. Say if an employee has benefits in kind (BiK) and they have been missed off a P11D. Class 1 NI is going to be due on these BiKs, however the payment would be due under self assessment for the individual NOT the company. HMRC will encourage you to pay the class 1 NI and he will then squash the penalty for the incorrect P11D. In doing this the taxman is focusing all his efforts on one defensive employer for the lot than lots of employees for a relatively small percentage of tax due. After this the employer could be left with a nasty bill to pick up and interest on all amounts due. If there is evidence that it was a genuine mistake there could be no penalty due, and if there is, it is most likely lover than the cost of the tax and interest due. When in a situation like this the important things to do are:
Though it can be a costly expense having to cough up when one of your services or products goes wrong it doesn't have to cost you in VAT. Say your a builder and doing some work on a clients home. You leave for the night but due to negelgance one of your tools fall onto the client's car. The client doesn't want it through the insurance company and asks you to give him £800 for repairs and the stress of having to get her car fixed. Now the typical thing to do here is to pay the compensation, but because it does not relate to the supple of goods or a service you would pay £10.90 VAT. However, if you give the client a credit note or discount on the building work you can claim a reduction in the taxable value of the supply. In doing this the client gets her £800, you keep your name as a reputable builder and the VAT man doesn't get more than he should of your money.
The answer sounds straight forward, however it may not be as clear as you think. Philip Wright used labourers to carry out work for him and thought that because there was no written contract of employment or employment rights such as sick or holiday pay, they were not employed by him and therefore did not need a PAYE scheme. However, because he gave specific instructions and had control of sorts over the workers, they were constituted as employed. Despite not having a written contract of employment, HMRC will argue that because you are telling them what do and taking control of the workers they count as employed. The two important things to note from this article are these:
From April 2010 HMRC will be making it mandatory for VAT100 forms to be filed online. This will mean no more paper returns will be issued and will be filed on The Revenue's website.They will also be encouraging electronic payments such as direct debit or BACS. The implications of compulsory VAT online are quite considerable. The process of being setup for VAT online is full of pitfalls but we are confident that we can navigate the minefield with ease. We will be informing all of our clients about this change later this year and giving instructions on what to do. If you think your business could benefit from being VAT registered give us a call on 01543 468500.
Below is a link to a real reply from HMRC to a letter they recieved. Needless to say, they clearly do have a sense of humor as demonstrated by the quote
1. The reason we don't simply write "Muggins" on the envelope has to do with the vagaries of the postal system.http://www.guardian.co.uk/money/2003/sep/27/tax.jobsandmoney