Accounting Resources

In this blog post, we review the recent case of Robson v Revenue and Customs on employment status, highlighting valuable lessons for businesses and contractors engaging in similar arrangements.

As the tax year-end (5 April) approaches, now is the perfect time to review your finances and make sure you’re making the most of available tax reliefs. A few simple steps could help you save money and ensure your tax affairs are in the best possible shape.

Employment Allowance (EA) is a valuable relief available to eligible employers in the UK, allowing them to reduce their annual National Insurance (NI) liability by up to £5,000. This initiative helps businesses manage employment costs and encourages job creation. Understanding whether you qualify and how to claim this allowance can lead to significant savings for your business.

For many small business owners, incorporating their business once made sense for tax efficiency and limited liability. However, with recent tax changes, some owner-managed businesses may now find that reverting to a sole trader or partnership structure is more beneficial. Disincorporation is not as straightforward as incorporation, and business owners must carefully consider the tax and legal implications. This article explores the key practicalities of disincorporating a business, providing insights and examples to help you navigate this complex decision.

For years, many small business owners have chosen to operate as limited companies because of the tax advantages. The ability to control when and how profits are withdrawn, combined with lower National Insurance contributions (NICs) on dividend payments, made incorporation an attractive option. However, with recent tax changes, it may no longer be the most efficient structure for all businesses.

If you're self-employed, you might have considered bringing in a family member, like your university-aged child, to help out in the business. It’s a great way for them to earn extra cash and gain experience, but when it comes to tax deductions, things can get a little tricky. Paying wages to a family member has to be done properly to stay compliant with HMRC rules.

Bringing paydays forward during the festive season is a common practice for many employers, but it comes with important Real Time Information (RTI) reporting obligations. This article examines the implications of early paydays and the correct handling of payment dates.

Understanding how interest and dividends are taxed can be more complex than it initially appears. With changing tax rates and specific rules, the simplicity one might expect is often clouded by intricacies. This article provides a brief overview of how savings income is taxed. However, if the income also falls under employment or business income, the rules for those income sources take precedence.

In this post we consider how company directors can be held personally liable for penalties imposed on the company, particularly through a Personal Liability Notice (PLN), in cases of fraud or serious negligence. We highlight situations where HMRC can issue a PLN, making directors or officers responsible for penalties related to VAT fraud, especially when the company becomes insolvent. Understanding these risks is crucial for directors to avoid personal financial liability.