Articles

Although you might have thought that service providers had learnt by now that compliance is not an optional extra, there are still a surprising number of umbrella companies that are trying to bend the rules. Since the demise of managed service companies, most contractors now work either through limited companies or through umbrella schemes.  But had you considered that recruitment agencies now...

Just when we thought the dust has settled on the Arctic Systems case with a defeat for HMRC, the tax man is back in the judicial ring fighting against Dragonfly Consultancy Ltd, a company which specialises in IT testing services. Although the circumstances are completely different from Arctic Systems, the fact remains that the rules on IR35 are constantly being redefined by HMRC, leaving an...

The EU Temporary Workers Directive seems likely to come into force in the near future but, allowing for Brussels horse-trading with the UK Government, it is probable that it will exclude the highly paid top end professional contractors. This is good news for many of JSA’s clients, as any attempt to suck them into the proposed bureaucratic web might cause end users to stop employing them...

In certain circumstances it may be possible to claim expenses from your employer and not be required to include a formal receipt. New guidance has been published by HMRC which empowers employers to set scale rates for particular expenses. Where these scale rates are agreed, employees can claim them without the normal requirement to produce a receipt. Examples illustrated by HMRC's web site...

To accommodate non-UK tax considerations, a growing number of UK taxpayers have been advised to purchase property abroad by using a company to make the purchase. Potentially this created a risk that owners who were directors or shadow directors of the company, would be assessed on their private use of the property as a benefit in kind. The Finance Bill 2008 now includes legislation that exempts...

You may be interested to learn that HMRC have increased the tax-free allowance that employers can pay their employees if they are required to work from home. The allowance is intended to compensate employees for the additional costs of home working, heat and light etc. From 2008-09 onwards the allowance has been increased to £3 a week (Previously £2 per week). If you would like more information...

Presently self assessed tax payers are required to make a payment on account in January and July each year if their previous years self assessment exceeded £500. This limit is to be increased to £1, 000 and will be effective from 6 April 2009 (for tax years 2009/10 onwards). i. e. payments on account due January and July 2010.

Even though many of our clients do already account for VAT on a Cash Accounting basis, for those that do not, it is worth considering the advantages. Management of your cash resources will be critical in the coming months as businesses chase liquidity by tightening up on their credit control. This process will of course be frustrated as creditors hang on to cash reserves by extending the credit...

We are often asked to comment on the types of state benefits you will not be able to claim if you are self-employed and pay the basic Class 2, and the earnings related Class 4 contributions. Class 2 contributions will qualify you for most of the benefits that an employed person can claim. (Employed persons pay Class 1 contributions.) The two main exceptions are earnings related state pension and...

1 July 2008 - Due date for corporation tax due for the year ended 30 September 2007. 6 July 2008 - Complete and submit forms P11D return of benefits and expenses and P11D(b) return of Class 1A NIC's. 6 July 2008 - Deadline for submission of new Tax Credit application for 2008-2009, if you want to secure a full years claim. 19 July 2008 - PAYE and NIC deductions due for month ended 5 July 2008....