Business
Late payment penalties rise to 10%
Late payment penalties rise to 10% From this tax year, the slowest payers will face a ‘more than doubling’ in the penalty rate with no time to avoid this as the hike is already in place. As part of the push to close the tax gap, late payers will face a much tougher penalty regime…
Read MoreUnderstanding CITB Levy Returns: What You Need to Know!
Understanding CITB Levy Returns: What You Need to Know! A CITB (Construction Industry Training Board) Levy Return is an annual form that registered employers in the construction industry must complete and submit. The return assesses the amount of levy owed to the CITB, and the funds collected via the levy are used to fund training, such…
Read MoreHMRC expected to raise £255M in late payment interest
HMRC expected to raise £255M in late payment interest HMRC recently cut the late payment interest rate to 8.25% following the Bank of England’s 0.25% base rate cut in May but it is still historically as high as it was in 2007 at the time of the financial crash. With effect from 6 April 2025,…
Read MorePros and cons of PAYE salary, dividends or a combination of both – what is best for company directors?
Pros and cons of PAYE salary, dividends or a combination of both – what is best for company directors? With several tax changes coming into play, have you considered and discussed with your accountant the plan for this tax year (2025/26). So, to start with, let’s look at some of those important changes which may…
Read MoreBanks will have to give 90 days’ notice to close business bank accounts
Banks will have to give 90 days’ notice to close business bank accounts Legislation is now in force to protect millions of small business owners from having their bank account closed without notice or adequate reason, following the introduction of new rules which protect consumers. The legislation has been introduced to curb the debanking that…
Read MoreTax investigations lasting an average of 45 months
Tax investigations lasting an average of 45 months HMRC tax investigations are running on for as long as three years and nine months on average which is putting a significant burden on businesses with reports showing that at any given time it is predicted that half of the UK’s biggest businesses are under investigation by…
Read MoreTax receipts go over £850bn for the first time
Tax receipts go over £850bn for the first time Gross tax receipts have surpassed last years by £28.1bn, reaching a high of £857bn as stamp taxes, inheritance tax, and income tax increase drastically. HMRC’s tax receipts have risen to £857bn in 2024/25, compared with £828.1bn in 2023/24. The total tax take was only £633bn pre…
Read MoreR & D – HMRC clarifies subcontracted activities
R & D – HMRC clarifies subcontracted activities There has always been some confusion between customers and subcontractors in the R&D schemes. In fact, clarifying this was a major aim of the new Merged and ERIS schemes, which were introduced for accounting periods starting on or after 1 April 2024. However, many claims are still…
Read MoreTax changes in April 2025
Tax changes in April 2025 From April 2025, a number of tax changes will come into force affecting businesses and individual taxpayers. Firstly, Road tax will be rising for different vehicles sizes. For the first time, all electric vehicles will have to pay road tax with large rises in vehicle excise duty (VED). New electric cars will be…
Read MoreChanges to company size thresholds
Changes to company size thresholds coming into place have been driven by an attempt to cut complexity and reduce the reporting burden on companies. The new Companies (Accounts and Reports) Regulations 2024 (SI 2024/1303) has also taken into account the impact of inflation since the last threshold change in 2013! Existing thresholds The current micro,…
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