Viewing entries posted in March 2011

Budget '11 Review

Posted by admin on 25 March 2011 | 0 Comments

As promised yesterday we have an overview on how the budget will affect business, unincorporated and incorporated alike. Corporation tax; It is made known last budget that corporation tax rates are going to be falling by 1% every year. However George Osbourne decided to reduce the rate by 2% this year so it will stand at 26% for larger companies. Small companies rate only went down by 1% to 20%. Capital allowance have remained unchanged. From April 2012 the Annual Investment Allowance will be dropping from £200,000 to £25,000. Bearing this in mind it is strongly advisable to purchase capital expenditure sooner rather than later. VAT Thresholds have been tinkered slightly and have increased by £3k to £73,000, deregistration has upped from £68k to  £70k. For further details or an in depth analysis of the budget, request on our enquires page.

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Budget 2011 - Individuals

Posted by admin on 24 March 2011 | 0 Comments

With the budget over we can all breath a sigh of relief that nothing painful was announced. We are going to go over some of the key points affecting individuals. Tomorrow we will look at the bigger issue of businesses. Personal allowances for 2012/13 are going to £8105. The personal allowance is the amount you can earn before you starting paying tax. Rising to £7475 on April 6th, this will mean that it has gone up £1630 since the coalition came into power. This puts them well on their way to raising it to £10,000 before the end of their term. A review of tax & NIC has been called for with a view to simplify the system. Currently basic rate tax (what most people pay) is 20%, and 40% at the higher rate. On top of this national insurance is 11% up to £844 per week and 1% thereafter. Entrepreneur's relief has very generously been double to £10 million. This means that anyone selling an entrepreneurial business will be taxed at 10% on the first £10 million and the standard capital gains rate of 18% afterwards. This is a lifetime limit so don't get too excited and think you can start selling a business a year... Subscribe via RSS and keep up to date with our articles including the budget review for business tomorrow!

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Plumbers Tax Safe Plan

Posted by admin on 7 March 2011 | 0 Comments

You may recall last year, we wrote about medical professionals been given the chance to own up to undeclared income (article here). Well, as predicted HM Revenue & Customs are trying their hand at other trades. The first of which being plumbing. Going back up to five years, plumbers are been given the chance to declare unpaid tax, offering a special 10% penalty rate for the most plumbers, however is more serious cases a 20% penalty. These penalties will be on top of any tax payable. Disclosure must be before 31st May and if caught out after this date there will be no favourable treatment. However this opportunity is different to the earlier medical push where the tax man had actual information to basis enquiries on. This time they don't, meaning you have less chance of getting caught. However when caught, expect a tonne of bricks to land upon you. If you are a cash-in-hand plumber and would like to talk about disclosing undeclared income we can offer advice catered to your individual situation. If you would like to have a free no obligation consultation please do not hesitate to either contact us or visit the enquiries page.

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