Business
Changes to director loan rules to stop tax avoidance for group companies
Changes to director loan rules to stop tax avoidance for group companies Anti-avoidance rules continue to be tightened up to ensure shareholders cannot extract funds untaxed from close companies with immediate effect. The measure, announced in the Budget, came into force immediately on 30 October 2024 and will amend section 455 loans to ‘participators anti-avoidance legislation’…
Read MoreKennedys Accounting are ‘here to help’ with your company start-up accounting
Kennedys Accounting are ‘here to help’ with your company start-up accounting So far in 2024, nearly 76,000 companies have been set up, with Kent, Essex and Westminster the most popular areas to start a business. In fact, with Surrey and Hampshire making up the top 5 areas, which between these 5 areas account for over…
Read More20% of tax paid by just 100,000 people
20% of tax paid by just 100,000 people The total receipts for capital gains tax (CGT) and income tax rose to £262.6bn in 2022/23, with the top 100,000 taxpayers paying one fifth of this, meaning almost £4bn being covered by just 100 people, meaning each of these taxpayers paid an average £39m, as revealed analysis…
Read MoreBudget 2024 – Hike in Capital Gains Tax and Business Asset Disposal Reliefs
Budget 2024 – Hike in Capital Gains Tax and Business Asset Disposal Reliefs The lower and higher rates of capital gains tax (CGT) were increased from 30 October 2024. Less than 1% of adults in the UK contribute to CGT, with £572m being collected in the last quarter. There are only two rates for CGT,…
Read MoreBudget 2024 – Stamp Duty changes
Budget 2024 – Stamp Duty changes The ‘temporary’ cut to Stamp Duty Land Tax (SDLT) will end on 31 March 2025 which will lower the property limit for first-time buyers to qualify for stamp duty reduction. The temporary discounts were introduced originally in the Mini Budget of September 2022 and under the current discounts, first-time…
Read MoreBudget 2024 – Higher HMRC interest rates on overdue tax
Budget 2024 – Higher HMRC interest rates on overdue tax As part of measures to clamp down on bad payers, the Chancellor advised that HMRC will have the power to hike up even further the rates of interest they charge. The current HMRC rate on late payment is 7.5%, which is 2.5% over the bank…
Read MoreBudget 2024 – National Living wage to rise by 6.7%
Budget 2024 – National Living wage to rise by 6.7% The Chancellor has confirmed in the budget the 2025 national living wage will rise which will ensure a pay rise for up to three million minimum wage workers as the hourly rate is increased in line with inflation giving a 6.7% increase. This significant rise…
Read MoreBudget 2024: In a tax raising Budget, the Chancellor has increased employers’ national insurance (NI) by 1.2% to 15% from April 2025
In a tax raising Budget, the Chancellor has increased employers’ national insurance (NI) by 1.2% to 15% from April 2025. As well as that, the secondary threshold will be cut from £9,100 to £5,000 which will see higher payments for employers as more staff become liable for NI payments. The rise in employers’ NI which…
Read MoreDividend tax expected to hit record £17.8bn this tax year
Dividend tax expected to hit record £17.8bn this tax year The number of people expected to pay dividend tax in the current tax year is likely to have doubled in just three years as the tax-free allowance is slashed. The Treasury has estimated it is set to raise nearly £18bn from dividend tax this year…
Read MoreThousands of working days lost due to late payments
Thousands of working days lost due to late payments The government has advised that they plan to clamp down on late payments which are costing small businesses up to £22,000 a year, which is leading to up to 50,000 business collapses annually. New legislation being considered will require ‘large’ businesses to include payment reporting in…
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