Scottish Taxes are here to stay – but will taxpayers want to stay in Scotland ?

This is an updated blog to reflect changes announced in the Chancellor’s Autumn Statement speech made on 22 November 2017.

Trust Registration Service

This is an update on a previous blog to reflect changes made announced in the Chancellor's Autumn Statement speech made on 22 November 2017.

Enhanced Capital Allowances

Taxpayers can boost their cash flow by claiming 100% of the cost of their investment in energy-saving plant or machinery as a deduction from their taxable profits provided the asset purchased qualifies under the Enhanced Capital Allowances (“ECAs”) scheme. This is claimed in addition to the Annual Investment Allowance (“AIA”) which allows the first £200,000 of qualifying capital expenditure as a deduction against taxable profits.

Working Overseas?  Understanding the Resultant Tax Consequences

Our earlier blogs discussed the importance of “Understanding the Project” and “Reviewing the draft contract”, ideally before contract price negotiations commence. This blog explains how we use this information to research, analyse, understand and, where possible, mitigate, all the overseas tax consequences affecting both our client’s business and their employees.

Requirement to Correct

As most people are now aware, there is a consensus among worldwide tax authorities to gather and share information to minimise tax avoidance through utilising offshore interests. The aim is, of course, to ensure that all tax revenue is collected. The Common Reporting Standard (CRS) was introduced as a global standard for the automatic exchange of information and the UK now has reciprocal agreements with hundreds of other countries to share relevant tax information.

The Trip with Tips - When is tax due and by who?

Gratuity, a sum we as a customer, give as a reward based on the level of service we feel we have received at a restaurant or bar. There are different ways in which we can tip service staff, whether it is by adding it onto our card payment or leaving some change on the table, and typically, we will choose to leave change on the table as we believe this will go directly to the individual who served us. However, for service staff, tips are seen as part of their income and so sometimes tax and National Insurance will be due.

The Evolution of IR35 and your Business- Are you protected?

Summary

Scottish Taxes are here to stay- but will taxpayers want to stay in Scotland?

Scottish taxpayers earning more than £43,000 pa, are already paying £400 more tax pa, because Holyrood flexed its tax powers for the first time last year, and froze the basic rate tax band at £43,000, despite this rising to £45,000 in the rest of the UK.

Charity VAT- Beware the income traps

In our first Charity VAT blog, we looked at the various VAT reliefs that may be available to you as a charity. Moving on from the expenditure side, in this Blog, we will start to look at the issues that Charities have to consider from an income point of view.

Don’t let VAT be a cost of doing business in the UK – 13th Directive Claims

One of the most common questions we are asked by our overseas clients when they are looking to do business in the UK is – “Can we recover the VAT we incur in the UK?”

Landlords Beware – Potential block on loan interest relief for capital withdrawn from letting businesses

HMRC recently amended their existing online guidance on the subject of tax relief for interest paid by taxpayers on relevant loans, but in particular when remortgaging properties in their letting business.

VAT on Pension Scheme Costs- The final answer?

Historically, HMRC have allowed a simplification for the VAT incurred on the administration of a pension fund.  This simplification allowed employers to treat 30% of the VAT charged by scheme managers as relating to the management of the fund and, therefore, recoverable by the sponsoring employer.  However, following the 2013 judgment in Fiscale Eenheid PPG Holdings BV (PPG), HMRC withdrew this simplification subject to a transitional period (which was due to end on 31 December 2017).

Does Your Business Voluntarily Payroll Company Cars?

For businesses who voluntarily payroll company cars as a Benefit in Kind (BiK), from April 2018 you will have to payroll all your car data. It will be mandatory from this time to submit all of the car data information through your FPS (Full Payment Submission).

Your Data is your Asset, use it- the Power of Data Analytics

Do you fully understand your employer costs and employee demographics? Are you monitoring key trends and analytics?

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