Sunak delivers Budget to meet ‘challenging times’

Chancellor Rishi Sunak delivered his first Budget, and the first since the UK’s departure from the European Union, against the backdrop of the coronavirus outbreak.

The Chancellor announced a £30 billion stimulus package to support the economy through coronavirus contagion and pledged to give the NHS whatever extra resources are needed to cope. 

Following the news that the Bank of England had reduced interest rates to 0.25%, in an emergency response to the coronavirus, Mr Sunak put further measures in place. 

These include Statutory Sick Pay (SSP) for employees who are advised to self-isolate, even if they are displaying no symptoms. The government will also meet some SSP costs for businesses.

In addition, business rates for shops, cinemas, restaurants and music venues in England with a rateable value below £51,000 have been suspended for a year. This tax holiday will be worth up to £25,000 to thousands of businesses across the retail, leisure and hospitality sectors. 

Citing the latest economic forecasts from the Office for Budget Responsibility, Mr Sunak said the economy is predicted to grow by 1.1% this year. However, the GDP forecast does not fully account for the impact of coronavirus. 

Click here to view the full March 2020 Budget Report


Huge Congratulations

to Richard Ratcliffe on passing his final ICAEW examination and on his qualification as a Chartered Accountant. Richard is seen here being welcomed into the Institute in London and receiving his very well and hard earned prize for being the highest placed student in Staffordshire and Shropshire, quite an achievement!

Image


Excuses, excuses!

Here are HMRC’s Top 10 excuses from last year for late tax returns– You’ll be glad to know that “the dog ate it” makes a welcome return, but what was the Number One reason?

In reverse order:

10. Sorry, but the postman doesn’t actually deliver to my address
9. My internet was broken
8. It’s my husband’s fault – he told me the deadline isn’t until 31 March
7. One of my workmates borrowed my return to photocopy…..and lost it
6. I couldn’t send it in as my child drew all over it
5. My husband left me…..with the accountant. I’m now trying to find a new accountant. [No mention of finding a new husband, though!]
4. The dog ate it!! [And it was a hungry dog as the excuse also claimed the dog ate all the reminders as well.]
3. My wife helps me do it but she had a headache….for ten days
2. There was a wasp in my car and it caused an accident, destroying the car and the tax return

And, this year’s Number One is…..

1. My tax return was on my yacht…..which caught fire!!!

Please be careful! 

A number of our clients have been receiving an email or text message pretending to be from HMRC stating that they are due a tax refund.

This email/text usually contains a link which when clicked can download a virus to your computer or alternatively when clicked has an option to put in your bank details!

HMRC will never send you an email or text stating you are due a refund, therefore please delete anything of the sort to avoid these sorts of scams/virus's.

Stay Safe!

Socks and Chocs donation

Dalton Pardoe donating £250 to a local charity group 'Socks and Chocs for the Homeless‘ who do a great job in Wolverhampton and surrounding areas providing homeless people with a few basic home comforts at Christmas.

https://www.facebook.com/sockschocs

Extracting cash from your company in the most tax efficient way.

The way in which your business is structured will affect the amount and type of tax and National Insurance that you pay.

Depending on the set up, ways to extract money from your business range may include Salaries, Benefits in Kind, Dividends and Pension provisions along with other more complex ways.

It is worth giving some thought to the best way to extract profits from your company as planning ahead can generate substantial tax and NIC savings.

Well done Lucy

We would like to congratulate Lucy here in the office on passing her AAT Level 2 Foundation Certificate in Accounting', Now onto level 3!

Keep up the great work!!

 

WELCOME TO THE DALTON PARDOE BLOG

 

Hello and welcome to the Dalton Pardoe blog. You may currently use our services, be interested in our services or are simply passing through. Here’s a bit about us, we are a friendly firm of chartered accountants and business advisers based in Kingswinford and we serve mainly small and medium-sized businesses and individuals in the West Midlands providing services ranging from an individual’s self assessment to full limited company accounts. We currently have a team of five staff with a combined experience of over 100 years and our ethos is to provide an excellent service on a personal level.

SCAM ALERT

Please be careful! 

A number of our clients have been receiving an email or text message pretending to be from HMRC stating that they are due a tax refund.

This email/text usually contains a link which when clicked can download a virus to your computer or alternatively when clicked has an option to put in your bank details!

HMRC will never send you an email or text stating you are due a refund, therefore please delete anything of the sort to avoid these sorts of scams/virus’s.

If you are unsure on anything you have received from HMRC please speak to us for assistance.

HMRC also now has a new service and you can forward suspicious text messages to 60599. (Text messages will be charged at your network rate).

Stay Safe!


Tax Free Childcare

Tax Free Childcare is run by the Government, and employers will have no involvement with the administration of the scheme. 

  • Tax Free childcare can save you 20% on your childcare costs but up to a maximum saving of £2,000 per child.
  • Anyone can apply for tax free childcare including the self employed.
  • You must however earn a minimum of £155 per week and if you are a couple both parents must work.
  • The maximum child’s age is 12 years old.

Childcare Vouchers

HMRC have confirmed that childcare vouchers will close to new starters in April 2018. After April 2018, any employee who is in the scheme will be able to continue to receive childcare vouchers.

  • Childcare vouchers can save you 32% on your costs if you’re a basic rate tax payer but to a maximum saving of £933.12 per parent.
  • Childcare vouchers are only available if the employers offer them.
  • There are no minimum earnings but the vouchers requested must not take you below minimum wage.
  • The maximum child’s age is 15 years old.

 

MARRIAGE ALLOWANCE

Are you taking advantage of the MARRIAGE ALLOWANCE? 

This year, 2017/18 the transferable allowance increases to £1,150. This entitles you up to a £230 tax saving during the tax year.

HMRC are still allowing backdated claims which means if you didn't claim in the last two tax years you may be entitled to a £432 refund of tax.(£212 for 2015/2016 & £220 for 2016/2017)

To benefit as a couple, you (as the lower earner) must have an income of £11,500 or less.

You can get Marriage Allowance if all the following apply:

 

  • you’re married or in a civil partnership
  • you don’t earn anything or your income is £11,500 or less
  • your partner’s income is between £11,501 and £45,000 (or £43,000 if you’re in Scotland)