From 2024/25, restrictions to the cash basis will be removed, making it the default method for calculating trading profit for the self-employed and most partnerships. The accruals basis is currently the default, with a business having to opt in to use the cash basis. In future, a business will need to opt out of the […]
The two existing research and development (R&D) tax relief schemes are set to merge, although the newly created scheme will be similar to the R&D expenditure credit currently claimed mainly by large companies. Although the merger will remove the complexities when companies move between schemes, there will invariably be some who significantly lose out as […]
National insurance contribution (NIC) changes for the self-employed announced in the Autumn Statement come in from 6 April 2024 and will be welcome news. But the reforms don’t go far enough to offset the continuing cost of frozen tax thresholds. NICs classes The self-employed currently pay two classes of NICs: Class 2 NICs are at […]