Shortly before Parliament closed for its summer holidays, the government announced a review of the State pension age (SPA). Pensioners are a sensitive topic for the government. Not only has it been forced to make a U-turn on winter fuel payments, but it has also had to stand firm against the Women Against State Pension […]
Taxpayers relying on HMRC to sort out the tax due on interest are given a warning. As had often been noted over the last few years, one of the strategies adopted by successive governments to increase tax revenue is the freezing of tax allowances and bands. As inflation increases income, the net result is generally […]
Identity verification is being introduced for directors, people with significant control (PSC) and those who file at Companies House. Verification is currently voluntary, but will be made mandatory from this autumn. From autumn 2025, mandatory identity verification will be required: When you file your company’s confirmation statement; If you are appointed as a director; or […]
The deadline requiring employers to report most taxable benefits through payroll software has been postponed by one year to 6 April 2027. As a result, employers can continue using form P11D to report benefits for a further year. Once mandatory reporting is introduced, all benefits, except for employer-provided accommodation and cheap/interest-free loans, will need to […]
Proposed changes to Statutory Sick Pay (SSP) will introduce entitlement from the first day of sickness, with the lower earnings threshold removed. The changes are part of the Employment Rights Bill, currently progressing through parliament. While the new rules are not expected to take effect until autumn 2025, at the earliest, employers should start revising […]
HMRC’s recently closed consultation offers further clarity on how the £1 million inheritance tax (IHT) business and agricultural relief allowance will work from 6 April 2026. The total value of business and agricultural property eligible for 100% IHT relief will be limited to £1 million. Any qualifying assets above this limit will receive relief at […]
It is now more expensive to be late when it comes to making a VAT payment. The slowest payers now face a 250% increase to an annualised rate. In addition, the rate of late payment interest has also increased. Late payment penalties Payment for each VAT return is considered separately, and penalties can be avoided […]
From this summer, employed taxpayers who have to pay the high income child benefit charge (HICBC) will no longer need to complete a self assessment tax return. Instead, they can report the charge using HMRC’s new online service. When the HICBC is payable The HICBC only comes into play when an individual – or their […]
Self-employed people and landlords with an income between £20,000 and £30,000 will be required to use Making Tax Digital (MTD) from 6 April 2028. This will bring a further 900,000 low-income taxpayers under the MTD regime. HMRC previously stated that those with an income between £20,000 and £30,000 would be mandated before the end of […]
With basic rate taxpayers now facing doubling capital gains tax (CGT) rates, and with the exempt amount a quarter of its previous level, it is no surprise that considerably more CGT is being paid to HMRC. Given the changes taking place, it is important to understand the rules. Rates of CGT Basic rate taxpayers now […]