Since the start of the Covid pandemic in March 2020, the number of people working from home in the UK has increased. With more employees now home-based, benefits-inkind that are centred on the workplace are less attractive; but there is also the issue of fairness for those who, through their job role or domestic situations, […]
Benefits Packages: Allowing Employees to Choose Read More »
On 1 October 2024, the Employment (Allocation of Tips) Act 2023 came into force, aiming to ensure a fairer distribution of the payments customers leave as gratuities to staff. The tax treatment of tips and service charges depends on how staff are paid – does the new legislation change the tax position? PAYE for income
Service With A Smile: The New ‘Tipping’ Rules Read More »
For directors, remuneration is typically assessed on an annual earnings period basis; all earnings for the tax year are considered, rather than looking at each pay period individually. This approach recognises that directors often have irregular payment patterns and bonuses rather than a set amount per month. The payment date is broadly deemed to be:
When Are Director’s Remuneration and Dividends Deemed to Be Paid? Read More »
Employers complete PAYE form P45 for the leaving employee. In HMRC’s ideal world, a new employee presents their P45; the tax code, previous pay and tax and pay are then brought forward from the previous employment. P45 purpose fulfilled! Unfortunately, this Eldorado world and the real world are not aligned. Frequently, an employee does not
Time to P45 the P45? Read More »
Are you self-employed, a freelancer, or receive income that isn’t taxed through PAYE? You’ll need to know how to pay self-assessment tax to submit a self-assessment tax return. Paying your Self Assessment tax bill is an essential part of meeting your tax obligations. HMRC offers various payment options to make it more manageable. If you’re
How to Pay Self Assessment Tax? Read More »
Payments on account (POAs) for the selfemployed or those taxpayers who have significant income from sources other than employment have been compulsory for nearly 30 years. POAs are advance payments towards the final tax bill, made twice a year (in January and July) based on the previous year’s tax liability. The payment dates could not
Business Strategies: Spreading Tax Payments Read More »
There are various reasons why HMRC may issue a tax penalty. You may receive a penalty if you file your tax return late, your tax return is inaccurate, you are late paying tax that you owe or you fail to keep accurate records. If you do not agree with the penalty, you can appeal against
How to Appeal a Tax Penalty Read More »
Even if you pay all your tax through PAYE, you may still need to complete a Self-Assessment tax return if you are a high earner. For 2022/23 and earlier tax years, this is the case if your income is more than £100,000. However, for 2023/24 onwards, the trigger threshold is increased to £150,000. Unless you
Do You Need to Complete a Tax Return? Read More »
If you are associated with the film industry, you must have the idea that being a freelancer in this industry is actually a big factor. This is especially for the individuals who are working behind the screen. The case of the general self-employed workforce is different in this scenario. This is because the employment status,
How is Tax Different for Film Industry Jobs? Read More »
Legislation surrounding ‘Trivial Benefits’ was introduced to save employers from having to report relatively small amounts given to employees as taxable on a form P11D. Under the rules there are no tax or NIC consequences for the employee receiving the benefit of the gift: costs less than £50 (HMRC consider this amount to be the
‘Trivial Benefits’ – PAYE Read More »
