Influencers Subject To Tax On Non-cash Gifts
There is currently no legislation specifically targeted at social media influencers, however the fast-growing industry is very much on HMRC’s radar. Earlier this year HMRC sent nudge letters to thousands of influencers as well as gamers and online traders on sites such as Etsy and…
Sales Till Manipulation
The traditional way to hide sales from HMRC is to take payment in cash and not put it through the books. Nowadays technology helps dishonest traders to hide sales by using electronic sales suppression (ESS) software. The sale is not recorded on the normal till…
Payroll Settlement Agreement (PSA)
Occasionally you may reward your employees with something special such as a holiday or a hamper. If the value exceeds the tax-free amount permitted under the rules for say long service awards, trivial benefits, or staff suggestions it will be taxable. To avoid your employees…
Student Loands, Property And Pensions
Student loan repayments (SLR) are normally deducted under PAYE from employment income so many people incorrectly assume that SLR are not due on other ‘unearned’ income such as rent or pensions. SLR will in fact be payable where the unearned income exceeds £2,000 per year…
Getting Ready To Retire
The changes to the pension rules announced in the Spring Budget were designed to dissuade higher earners from retiring early to avoid pension charges on high contributions but the new rules could have the opposite effect. Individuals can now contribute up to £60,000 per year…
Avoid Payroll Problems With Duplicated Employees
When HMRC asks for more PAYE than you have deducted from your staff’s wages it is often the result of double-counting somewhere in the process. A persistent bug in the PAYE system is caused by the HMRC computer creating a duplicate employment record which it…
Excess Mileage Payments
Petrol and diesel pump prices are high but the tax-free mileage rates payable to employees who use their own vehicles for business have not been adjusted for over a decade. Many employees cannot afford to use their own car or motorbike for business journeys if…
Recognising Capital Losses
The annual capital gains exemption (currently £12,300) may cover most of the capital gains that you make on your share portfolio. However that exemption will be cut to £6,000 on 6 April 2023 and £3,000 in April 2024. If you are planning to make large…
The autumn 2018 budget: what it means for your small business
Consider yourself, in chancellor Phillip Hammond’s words, a striver or a grafter? Then, the autumn 2018 Budget was aimed at people like you. With a number of specific concessions and incentives targeted at small business owners, the budget offers a fair few benefits to entrepreneurs…