From April 2027, you will need to tax most employee perks – known as Benefits In Kind – through payroll instead of annual forms. Payrolling Benefits In Kind involves adding the value of employee perks to payroll calculations. Instead, of reporting benefits once a...
Payroll doesn’t need to be complicated. With the right information, it becomes a smooth and manageable process. What is Payroll? Payroll is the system you use to pay your employees. It includes calculating wages, making deductions for tax and National Insurance,...
The Bank of England has cut interest rates from 4.5% to 4.25%, marking the fourth cut since rates peaked at 5.25% in 2024. Why Did the Bank of England Cut Interest Rates to 4.25%? The decision followed a closely divided vote by the Bank’s Monetary Policy...
The Structures and Buildings Allowance encourages investment in commercial infrastructure by allowing businesses to recover some of the costs spent on constructing, purchasing or improving non-residential properties. What is the Structures and Buildings Allowance? The...
When it comes to taxes, most people are familiar with Stamp Duty Land Tax (SDLT) on property purchases. However, the lesser known Stamp Duty Reserve Tax (SDRT) applies to buying shares and securities electronically. What is Stamp Duty Reserve Tax? Stamp Duty Reserve...
If you are planning to buy property or land in England or Northern Ireland, you may need to pay Stamp Duty Land Tax (SDLT). This tax can significantly impact your overall budget. What is Stamp Duty Land Tax? Stamp Duty Land Tax is a tax that buyers must pay when...
Benefits In Kind (BIKs) are any perks or services an employer provides to an employee or director that they do not include in their regular salary. The employer provides these extras to enhance the employee experience or make their job easier. Although employers do...
A recent Facebook post recently claimed that if you earn £1,200 in your business, you only leave your children with £300 after tax. The post blames high UK taxes and claims this is why people are leaving the country. But how true is this? The Starting Point: A Sale...
If you regularly use your personal vehicle for work, Mileage Allowance could help you save money and reduce your tax liability. What is Mileage Allowance? Mileage Allowance is a tax-free reimbursement for individuals who use their own vehicle for work-related...
In simple terms, “Plant and Machinery” refer to the essential tools, equipment and systems that a business needs to keep running smoothly. These assets are not just helpful for daily operations, they also offer businesses the opportunity to claim tax...
If you are self-employed, run a business or receive income is not taxed through an employer’s payroll, you have likely come across the term “Unique Taxpayer Reference” or UTR number. While it might sound technical, understanding what a UTR number is,...
The UK Government is accelerating its rollout of Making Tax Digital for Income Tax (MTD IT) and recent announcements have added greater clarity to the direction of travel, from a threshold drop to no more online filing alternative. MTD IT Income Threshold to Drop in...
With the gradual rollout of Making Tax Digital for Income Tax (MTD IT), HMRC is introducing a new penalties system. These updated rules are stricter, more structured and far more time-sensitive that many taxpayers are used to. Who Will Be Affected By MTD Penalties?...
Making Tax Digital (MTD) for Income Tax Self Assessment (ITSA) aims to simplify the UK’s tax system by moving to digital records and regular reporting. Instead of submitting an annual Self Assessment tax return, you will: Keep digital records of income and expenses...
Making Tax Digital (MTD) is a government initiative to modernise the tax system, making it more effective and efficient. It requires businesses to keep digital tax records and submit VAT returns using HMRC-approved software. MTD helps businesses avoid common mistakes...
Making Tax Digital (MTD) is a government initiative to modernise the tax system by encouraging businesses, landlords and individuals to keep digital records and submit tax information using compatible software. The goal is to simplify tax compliance and ensure tax is...
A CIS tax refund is the money HMRC returns to subcontractors who have overpaid their tax through the Construction Industry Scheme. If you are registered under CIS, contractors deduct 20% from your payments. If you are not registered, they deduct 30%. These deductions...
As a director of a limited company in the UK, you have flexibility in how you pay yourself. The most tax-efficient approach is often a blend of salary and dividends. In this blog, we will explore the optimum director’s salary for 2025/26, helping you stay...
The Spring Statement 2025, introduced by Chancellor Rachel Reeves, comes with a strong focus on fiscal discipline, economic growth and government reform. New Fiscal Rules At the heart of the Spring Statement 2025, are two key fiscal rules: Balancing the budget by...
The UK Budget is a financial statement presented by the Chancellor of the Exchequer. It outlines the government’s economic plans, including taxation and spending changes. The decisions made in the Budget influence the economy, determine the level of public...
Marginal Relief helps businesses with moderate profits pay less Corporation Tax. However, if you own multiple businesses, the Marginal Relief rules change. By knowing the rules, you can save your company money and avoid unexpected tax bills. What is Marginal Relief?...
As a company director, your Director’s National Insurance Contributions work slightly differently compared to regular employees. What is Director’s National Insurance? The National Insurance system requires individuals to make contributions to qualify for...
Marginal Relief is a tax relief scheme that helps companies reduce their Corporation Tax bill if their profits fall between certain thresholds. Since 1st April 2023, the UK Corporation tax System has introduced a gradual increase in tax rates for businesses with...
If you are a UK taxpayer, you will not have to pay tax on your lottery winnings. Whether you win a small sum or a jackpot, the entire amount is yours to keep. This applies to prizes won from the National Lottery, EuroMillions, scratch cards or any other legal lottery....
