Find out how Annual Investment Allowance (AIA) is changing from 31st December 2020. AIA lets you deduct 100% of qualifying expenditure from your tax bill. It has been capped at £1,000,000 for the years 2019 and 2020. However, from 31st December 2020 the cap is being lowered to its previous level of £200,000. During the transition… Read more »
Posts By: ilyas Patel
Avoiding the Pension Cap
Thousands of people may have unexpected tax bills, because they have contributed too much to there pension schemes. Most people are entitled to contribute up to £40,000 a year into a private pension tax-free. This cap applies across all of your pension schemes, and includes contributions made by employers, or on your behalf by someone… Read more »
Tax Expert Earns First Review on Clutch!
Accounting and financial paperwork for a company can be an additional hassle. However, with proper tax keeping and finance practices, companies can focus on maximizing their quantified sales and revenue in a highly efficient manner. We want our clients to reach their full potential, and for them to do that, we are here to help…. Read more »
Big Changes with Employment Allowance
The current rules on employment allowances are undergoing big changes in April 2020. From April 2014 employers have been entitled to £3,000 off their National Insurance bill. But from April 2020, employers will only be eligible if their total secondary Class 1 NIC liability was under £100,000 in the previous tax year. This… Read more »
Big Change with Capital Gains
From 6th April 2020 there are three changes that will affect Capital Gains Tax. Currently you file your Capital Gains Tax in your Tax Return. This means you have until the 31st January to declare it. However, from the 6th April 2020 you will have 30 days following the sale to submit your provisional… Read more »
Non staff entertainment: Claiming VAT on entertaining on Valentine’s Day
Claiming VAT on entertaining non-staff is usually not allowed, but there are certain times when you can do it. The input VAT is usually not claimable on the costs of entertaining non-staff. This rule also applies to staff whose role is to look after the guests and make sure they enjoy themselves. It is possible, however,… Read more »
Stripping away what a dancer can and can’t claim
When in dispute with HMRC case law can be helpful. Daniels v HMRC is one such case where HMRC took on an exotic dancer. Ms Daniels, the dancer in question, had been claiming all the expense incurred when travelling from her home to Stringfellows and back again. Travelling costs are only allowed between… Read more »
Tax Allowances When working From Home
The amount you can claim when you work from home depends on several conditions. The general tax rule is that deductions are only allowable where the expense has been incurred wholly and exclusively for work. This means that the tax relief can only be allowed for; The additional cost of gas and electricity… Read more »
VAT credit note
New rules for credit notes came into effect in September 2019. Find out more about VAT credit notes and how they affect you. You are more likely to reduce the price of goods than increase them, for example if the goods are faulty. Credit notes can reduce the VAT accounted for on the original invoice…. Read more »
Is employing family tax efficient?
Putting family on your payroll can be tax efficient if HMRC allow it, but what happens if they challenge it? For an expense to be tax deductible it has to be incurred wholly and exclusively for business purposes. If you employ your family members, this may gain HMRC’s interest. HMRC will want to establish that… Read more »