Incorporation no longer automatically resets the two year requirement for sole traders

Incorporation no longer automatically resets the two year requirement for sole traders

Entrepreneurs’ Relief (ER) entitles a business owner to significant relief from Capital Gains Tax (CGT) on the disposal of their business, often halving the consequent tax bill. To qualify for ER, the company must normally have been the business owner’s personal company for the whole of the last two years and they must have been an officer or employee throughout. Until now, this has created Read more…

Remember to pay the annual data protection charge

Remember to pay the annual data protection charge

Businesses across the UK are being reminded that, if they process personal data, they are subject to a legal requirement to pay the Information Commissioner’s Office (ICO) an annual data protection charge, unless they have a relevant exemption. Any businesses that fail to pay the correct charge are at risk of a fine of up to £4,350. A list of businesses that have paid the Read more…

More than 150 chief financial officers and senior finance executives personally fined by HMRC last year

More than 150 chief financial officers and senior finance executives personally fined by HMRC last year

Research by law firm, Pinsent Masons, has found that more than 150 chief financial officers and other senior finance executives have been fined personally by HM Revenue & Customs (HMRC) in relation to tax accounting issues during the last financial year. This is an increase of 22 per cent on the previous year when 125 were fined and around three times more than the 46 Read more…

Value of UK SMEs reach £3 trillion

Value of UK SMEs reach £3 trillion

New research has found that the total value of UK SMEs has reached more than £3 trillion – with the average small business now worth £2.9 million. The study by MarketInvoice found company valuation is something that two-thirds of owners consider a top priority and something they think about all the time. Business owners cited their premises, product and people, as well as the financial Read more…

Businesses encouraged to increase readiness for no-deal Brexit

Businesses encouraged to increase readiness for no-deal Brexit

Businesses across the UK are being encouraged to increase their readiness for a no-deal Brexit. The Institute of Directors (IoD) said that, while all firms should be preparing for a no-deal Brexit, it had found that fewer than half of businesses had plans in place. The IoD has also called on the Government to make Brexit planning vouchers available to SMEs to access professional advice Read more…

SMEs unaware of £1 million annual investment allowance

SMEs unaware of £1 million annual investment allowance

A new study has found that more than half (58 per cent) of SMEs are not aware of a temporary two-year increase in the annual investment allowance (AIA), which could help them secure £1 million in funding. Last year, the Government increased the AIA from £200,000 to £1 million from 1 January 2019 to 31 December 2020 to assist businesses with plant and machinery investments. Read more…

Taxpayers’ bills delayed by payment on account errors

Taxpayers’ bills delayed by payment on account errors

The Association of Taxation Technicians (ATT) has revealed that problems with HMRC’s IT systems earlier this year, relating to calculations for payment on account, mean that some taxpayers will not receive tax demands this month. The glitches in the tax authority’s systems during the self-assessment tax return season also mean that calculations for payment on account on some returns may not be adjusted correctly. It Read more…

Wealthiest UK families save nearly £700 million a year in Inheritance Tax

Wealthiest UK families save nearly £700 million a year in Inheritance Tax

A new report has found that a significant proportion of the UK’s Business Relief goes to those with more than £1 million in assets. Tax Justice UK, a campaigning organisation, has revealed that 234 wealthy families shared £458 million in tax relief in the 2015-16 year thanks to Inheritance Tax breaks via Business Relief. The group said that this accounted for almost 80 per cent Read more…