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Temporary measures that have given a huge boost to high streets and hospitality during the pandemic could be made permanent following a public consultation launched in September 2021. From marquees being put up in pub grounds, to street markets operating all year round, permitted development rights that have allowed people to enjoy al fresco dining and visit town centres and tourist attractions as the nation reopened from the pandemic. These planning reforms also gave businesses and councils a lifeline to ...
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There are a number of reasons why a taxpayer needs to complete a Self-Assessment return. This includes if they are self-employed, a company director, have an annual income over £100,000 and / or have income from savings, investment or property. Taxpayers that need to complete a Self-Assessment return for the first time should inform HMRC as soon as possible. The latest date that HMRC should be notified is by 5 October following the end of the tax year for which ...
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It is important to bear in mind that the 1.25% increase in National Insurance contributions (NICs) for 2022-23 will apply to National Insurance Class 1 and Class 4 contributions from April 2022. This means that the increase will apply to Class 1 (employee and employer), Class 1A and 1B and Class 4 (self-employed) NICs. Those above State Pension Age are not impacted by the April 2022 changes although see closing comments on the new Levy from April 2023. Smaller employers ...
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HMRC has, for many years, accepted that associate dentists are generally treated as self-employed. These agreements have been approved by the British Dental Association (BDA) and the Dental Practitioners Association (DPA) and are quoted in HMRC’s manuals. HMRC’s manuals state that ‘these agreements relate to dentists practising as associates in premises run by another dentist. Where these agreements are used and the terms are followed, the income of the associate dentist is assessable under trading income rules and not as ...
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The government has announced new plans to cap social care costs in England from October 2023. This change is expected to see the introduction of a new £86,000 cap on care costs across an individual’s lifetime. There will also be the following measures of financial assistance for those without substantial assets:

• Anyone with less than £20,000 of assets will not have to pay anything towards their care from their savings or the value of their home.
• People with between ...
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The government has confirmed that its triple-lock guarantee on pensions is to be abandoned for one year. The guarantee was first introduced in 2010 and has remained in place until now. This guarantee has seen the full yearly State Pension increase by over £2,050 in this period. The triple-lock is the mechanism used to calculate increases to the state pension each year. Under the triple-lock guarantees the basic state pension rises by whichever is the highest out of average earnings ...
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The Chancellor of the Exchequer, Rishi Sunak has confirmed that the next UK Budget will take place on Wednesday, 27 October 2021. This will be the Chancellor’s third Budget and the first one to revert back to the Autumn Budget schedule that was interrupted first by Brexit related issues and then by the coronavirus pandemic. It means that this year, 2021, will see 2 Budget’s the first that took place in March and the second that has been scheduled for ...
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The Equality and Human Rights Commission (EHRC) confirmed in February 2021 that enforcement action against employers for failing to report their gender pay gap data for the last reporting year (2020/21) would be suspended for six months and so would not begin until 5 October 2021. This additional six-month period is almost at an end and so, if they have not already done so, private sector employers with 250 or more staff must now submit their 2020/21 gender pay gap ...
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As children have returned to school, HMRC is reminding parents that they may be eligible for Tax-Free Childcare (TFC) to help pay for breakfast and after school clubs. The TFC scheme can help parents of children aged up to 11 years old (17 for those with certain disabilities). The TFC scheme helps support working families with their childcare costs. There are many registered childcare providers including childminders, breakfast and after school clubs and approved play schemes signed up across the ...
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There are special VAT rules that allow businesses to standard rate the supply of most non-residential and commercial land and buildings (known as the option to tax). This means that subsequent supplies by the person making the option to tax will be subject to VAT at the standard rate. HMRC had temporarily changed the time limit from 30 to 90 days for notifying an option to tax land and buildings during coronavirus. This extension applied to decisions made between 15 ...
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Taxpayers entitled to the child benefit should be aware that HMRC usually stop paying child benefit on the 31 August on or after a child’s 16th Birthday. Under qualifying circumstances, the child benefit can continue until a child reaches their 20th birthday. A qualifying young person is someone aged 16,17, 18 or 19 in full time non-advanced education or in approved training. Some examples of full-time non-advanced education are:

• A levels and other general academic qualifications of a similar ...
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If you think that you have paid too much tax to HMRC you can usually claim back any overpaid tax. The exact method for making a claim depends on a number of factors including whether or not you complete a Self-Assessment return and the length of time that has passed since the tax was overpaid. Claims can usually be backdated for up to four years after the end of the relevant tax year. This means that claims can still be ...
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HMRC’s Personal tax accounts (PTAs) were launched in 2015. The service works as an online resource to allow taxpayers to review and update their details in real time. For many routine requests and services using the PTA can help you avoid having to phone or write to HMRC. Every individual in the UK that pays tax has a PTA, but taxpayers must sign up in order to access and use the service. This can be done using either the Government ...
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The 1,25% increase in NIC contributions from April 2022 will be mirrored by a similar increase in the tax charge on dividends. From April 2022, the dividend tax increases will apply as follows:

• Basic rate taxpayers will see an increase from the present 7.5% to 8.75%.
• Higher rate taxpayers will see an increase from 32.5% to 33.75%.
• Additional rate taxpayers will see an increase from 38.1% to 39.35%.

This change will apply UK-wide. It will be scored at ...
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The Prime Minister announced increases in National Insurance Contributions (NIC) of 1.25% from April 2022, to contribute to increases in the NHS and social care budgets. The increases will apply to:

• Class 1 contributions (paid by employees). This is the NIC that is deducted from your earnings by your employer.
• Class 4 (paid by self-employed). These contributions are added to your annual Self-Assessment statement.
• Secondary Class 1 (paid by employers). Employer's NIC contributions are paid as part of the ...
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The scope and legal basis of how VAT is charged on taxable supplies is defined as follows in the VAT Act 1994: VAT shall be charged on any supply of goods or services made in the United Kingdom, where it is a taxable supply made by a taxable person in the course or furtherance of any business carried on by him. There are four conditions that must be satisfied in order for an activity to be within the scope of ...
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HMRC publishes a list of income streams that are excluded from a UK property business. The list includes fishing concerns, hotels and guest houses, tied premises, caravan sites, lodgers and tenants in their own home, extra services to tenants and letting surplus trade accommodation. In most cases the income from these activities will be taxed as income of a trade and not as property income. In addition, there are certain receipts that can arise out of the use of land, ...
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Companies use incentive award schemes to encourage their employees in various ways. For example, to sell more of their own goods and services. The award can be in various forms including cash, vouchers or other gifts. Where an employer meets the tax payable on a non-cash incentive award given to a direct employee by entering into a PAYE settlement agreement (PSA), the award is not chargeable to tax on the employee. With the exception of non-cash awards covered by a ...
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There are a number of options open to taxpayers who disagree with a tax decision issued by HMRC. It is important to note that not all decisions by HMRC can be appealed against. There is normally a 30-day deadline for making a claim, so time is of the essence. If you or your business have been affected by the coronavirus outbreak, the time limit has been extended. HMRC will give you an extra 3 months to appeal. You should still ...
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If you are a higher rate or additional rate taxpayer, you are eligible to claim relief on the difference between the basic rate and your highest rate of tax. The charity you donate to can reclaim the basic rate of tax from donations made by taxpayers. For example: If you donated £5,000 to charity, the total value of the donation to the charity is £6,250. You can claim additional tax back of:

• £1,250 if you pay tax at the ...
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