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Side hustle sales threshold rising to £3000 per year from 2027
Side hustle sales threshold rising to £3000 per year from 2027 The increase in the current annual trading threshold from £1,000 to £3,000 a year is designed to help eliminate some of the confusion about what tax is payable on side hustle sales. The Treasury has advised that the change to threshold reporting ‘will be…
Read MoreOver 400,000 ‘buy to let’ owners now use limited companies!
Over 400,000 ‘buy to let’ owners now use limited companies! The number of limited companies set up to hold ‘buy to let’ property topped the 400,000 mark in February 2025, up by over 330% over the past nine years from only 92,000 incorporated landlords in 2016, according to analysis from a source at Companies House.…
Read MoreHMRC increase beneficial loan rate to 3.75%
HMRC increase beneficial loan rate to 3.75% HMRC has increased the ‘actual official rate’ for beneficial loan arrangements from 2.25% to 3.75% from 6 April 2025, the highest rate since 2014, when interest is calculated using the ‘precise method’. However, the rate for loans repaid using the ‘averaging method’ for the 2025-26 tax year has…
Read More7 things you need to know about Capital Gains Tax
7 things you need to know about Capital Gains Tax In 2024, capital gains tax (CGT) was up 13%, generating additional tax for the Exchequer, and now the CGT allowance has been cut over the years to only £3,000. What catches a lot of people out is that CGT isn’t just paid on stocks and…
Read MoreHMRC receives over £400m in late payment interest
HMRC receives over £400m in late payment interest A recent freedom of information request has found that the amount of money paid out in late payment interest to HMRC hit £409.4m in 2024, more than tripling in just three years. Back in 2021 £131.9m was paid in late interest by taxpayers who failed to pay…
Read MoreOnline Side Hustlers sent letters from HMRC about unpaid tax
Online Side Hustlers sent letters from HMRC about unpaid tax HMRC has now started sending letters to online sellers and side hustlers it suspects of not paying tax or disclosing sales on online platforms in 2022-23, giving them just 30 days to respond. The letters will need immediate action and if HMRC do not receive…
Read MoreThe importance of payroll forecasting as the employer NI increases loom!
The importance of payroll forecasting as the employer NI increases loom! With 6 April 2025 looming which is the start date for employer National Insurance contributions (NICs) to increase, working with your accountant is a crucial part of your plans to guide your business through the financial and operational implications. The rise in employer NICs…
Read MoreLandlords – look out for ‘Making Tax Digital’ letters
Landlords – look out for ‘Making Tax Digital’ letters HMRC is planning to start sending letters to taxpayers who may be affected by the introduction of Making Tax Digital (MTD) for income tax advising them they will have to report quarterly to HMRC. The first letters will hit the post in April 2025, with landlords,…
Read MoreHMRC updates when to set up ‘time to pay’ plans online
HMRC updates when to set up ‘time to pay’ plans online In the first update to ‘time to pay’ guidance since 2021, HMRC has clarified when pay plans can be set up without speaking to them directly! There has not been any change to the qualifying criteria for self-assessment taxpayers with the £30,000 limit on…
Read MoreDirectors may be able to remove their address from Companies House
Directors may be able to remove their address from Companies House Companies House is watering down registration rules to allow directors to remove some residential addresses from the register for as little as £30. From 27 January 2025, for the first time directors have been able to apply to suppress a residential address that has…
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