Monthly Archives: March 2016

Gift aid donation rules clarified

Recent reports in the national media have suggested that HMRC has sought to restrict Gift Aid on donations which are accompanied by a message of support from a donor’s family. According to a recent announcement by HMRC this is absolutely not the case. HMRC’s position as set out in their recent website posting is reproduced...

Read more

Tax free childcare update

HMRC have updated their online “top ten things you should know about the new tax-free childcare scheme”. The notes are reproduced below and they provide parents with and easy read overview of the changes that will start early 2017:

1. You’ll be able to open an online account

You’ll be able to open an online account, which...

Read more

Budget for business

Just in case you were wondering what was in the Budget last week for small businesses, we have reproduced below the comments made by George Osborne and posted to the GOV.UK website:

Backing business and creating opportunity

This Budget backs business and enterprise to drive up productivity growth and create job opportunities. This Budget continues to lower...

Read more

Budget Statement 16 March 2016

 Personal Tax and miscellaneous matters

 Personal Tax allowance

 From 2016-17, there will be one Income Tax personal allowance regardless of an individual’s date of birth.

  • For 2016-17 the allowance is set at £11,000, and
  • For 2017-18 at £11,500

 Income Tax rate bands

 The Chancellor confirmed his intention to remove taxpayers from the higher rate of income tax by increasing the levels...

Read more

Dividend tax increase from 6 April 2016

One issue that the director shareholders of small companies will need to get to grips with from April 2016 is the radical change to the taxation of dividends.

Up to 5 April 2016, dividends are paid after the deduction of a deemed income tax credit of 10%. So, as long as your dividends are taxed as...

Read more

Aligning national insurance and income tax

The Office of Tax Simplification (OTS) has published the findings of a detailed review into bringing the two payroll taxes closer together. Here’s what they have to say:

“Bringing National Insurance Contributions (NICs) and income tax closer together would create a simpler and fairer system for businesses and taxpayers, the Office of Tax Simplification announced Monday...

Read more

Air passenger duty exemption now applies to under 16s

Children under 16 will join under 12s in no longer having to pay Air Passenger Duty in economy class.

Families planning an Easter break will get a boost today when the cost of their foreign holidays are slashed as children under 16 will join under 12s in being exempt from paying Air Passenger Duty (APD)...

Read more

Simpler tax system for smaller companies

On the 3rd March, the Office of Tax Simplification (OTS) unveiled a package of recommendations aimed at making the tax system simpler and easier to use for small companies. The press release says:

“These incorporated micro-businesses, employing less than ten people, currently face the same tax system as large companies with hundreds of employees and turnovers...

Read more

Institute for Apprenticeships

Just in case you have not been acquainted with this new Institute, and the rather confusing acronym, we have reproduced below the Department of Innovation and Skills fact sheet that explains what it is about…

Institute for Apprenticeships: To deliver a genuinely world-class apprenticeship programme in the context of the apprenticeship levy, we will need a...

Read more