IR35: HMRC launches updated CEST tool and has updated its much-criticised CEST tool to determine the employment status of contractors, but is it good enough?

MTD for VAT is compulsory for all vat periods starting on or after 1^st April 2019. For most VAT traders that will be their vat quarter ending 30^th June 2019. VAT registered traders need to sign up for making Tax Digital at least 72 hours before their VAT Return is due, or 7 days before if they pay by direct debit.

A Lords committee has called for a delay of at least one year to the mandatory rollout of Making Tax Digital for VAT, asserting that HMRC has neglected its responsibility to support small business and claiming costs will be far more than the government’s impact assessment

The message from the Chancellor was that ‘this is a budget that shows the British people that the hard work is paying off.’... well that what he claims!

As part of HMRC’s work to implement the Welsh rate of Income Tax, HMRC will identify Welsh taxpayers based on information within their systems.

Accounting and tax treatment of IR35 deductions in the public sector.HMRC’s approach is not popular with everyone. Catch up on our latest advice.

The rent-a-room scheme is a relief which provides that the rent received by an individual from a lodger (currently £7,500) can be exempt from income tax.

This limit is halved if another person is also entitled to the income. For example, where a husband and wife own the property jointly the limit is reduced to £3,750 (£2,125 prior to 2016/17) each.

MTD starts for VAT from April 2019, but HMRC will be happy to collect penalties from those that miss the deadline. VAT registered traders need to plan now and act soon to make sure they are ready. 

 

An individual should file a tax return if they have a liability to tax, and that tax will not be collected through PAYE. For years before 6 April 2016, the tax deducted at source from interest and the tax credit attached to dividends would cover the tax liability of basic rate taxpayers who received large amounts of investment income.

With the festive season fast approaching, employers may be planning to take on temporary staff to help their business survive the rush. Automatic enrolment applies to these employees in the same way as permanent employees, even if they will only be working for a short time.