Making Tax Digital - Update

From April 2022, the programme will be extended to all VAT registered businesses with turnover below the VAT threshold.

From April 2023, it will apply to taxpayers who file income tax self-assessment tax returns for business or property income over £10,000 annually.


VAT 5% hospitality rate now in effect: 

Pubs, restaurants and attractions can now charge less tax with value added tax dropping from 20% to 5% for six months.

The cut applies to food and non-alcoholic drinks as well as accommodation and admission to attractions across the UK, such as zoos and cinemas.


If you bring back someone who was furloughed - and continuously employ them through to January HMRC will pay you a one-off bonus of £1,000.


Flexible Furlough

From 1st July businesses can bring furloughed employees back to work on a part time basis 

Firms will be given the flexibility to decide the hours and shift patterns of their employees – with the government continuing to pay 80% of salaries for the hours they do not work.

The scheme will remain open until the end of October and will continue to support jobs and business in a measured way as people return to work.


SEISS Deadline

COVID-19: Self-Employment Income Support Scheme (SEISS) 

The deadline for claiming the self employed grant is 13 JULY 2020. 

You can apply for the grant even if you have continued to work as long as you have been adversely affected by the coronavirus crisis. 

The Claims for the second round of grants at the lower rate may be made in August. - Further information to follow closer to the time.


The introduction of the domestic reverse charge for construction services will be delayed for five months.

The new way of accounting and paying for VAT had been due to come into force on 1 October 2020 and will now be delayed until 1 March 2021 due to the impact of the coronavirus pandemic on the construction sector.

The Reverse Charge moves the responsibility for reporting a VAT transaction from the seller to the buyer of goods or services.


Covid 19 Furlough Update.

Still undecided on furloughing employees?

Today is the last day employers can place employees on furlough who have so far not been on the government’s job retention scheme. 

Employees who have previously been furloughed can however be furloughed again in the future.


SEISS SCHEME EXTENDED

You’ll be able to make a claim for a second and final grant in August 2020.

The online service for the second and final grant is not available yet. 

The second and final grant will be a taxable grant worth 70% of your average monthly trading profits capped at £6,570 in total.


CONFIRMED

Furlough scheme extended till October with employers meeting 10% of the cost in September & 20% of the cost in October.

Employers will also have the ability to recover furlough payments for staff that have resumed work on a part time basis.

NB. Employers will pay National Insurance and Pension contributions from August.

Open for Business

We have partially re-opened our offices with a minimal workforce adhering to social distancing.

You can now reach us on the usual office number - 01384 401050 and we can also offer a contact free drop off for any clients wishing to bring in books and records. 

Hope to see you all (at a 2m distance) soon!

Stay Safe!