Increased minimum wage rates have been announced to take effect from 1 April 2021. The government has announced that the National Living Wage (NLW) will increase by 2.2% from £8.72 to £8.91, and will be extended to 23 and 24 year olds for the first time. For workers aged under 23, Commissioners recommended smaller increases in recognition of the risks to youth employment, whic ...

HMRC have written letters to VAT-registered businesses in Great Britain trading with the EU and/or the rest of the world, highlighting actions they need to take to continue trading with the EU from 1 January 2021. The  letter explains what businesses need to do to prepare for new processes for moving goods between Great Britain and the EU from 1 January 2021, including: Mak ...

Two self assessment deadlines are approaching: 5th October 2020 For those individuals who have not previously completed a tax return but need to report a liability for 2019/20. 31st October 2020 For those individuals who have previously submitted 'paper' self assessment tax returns the deadline for the 2019/20 return is 31 October 2020. Returns submitted after that ...

HMRC has announced a five-month delay to the introduction of the domestic reverse charge for construction services, due to the impact of the coronavirus pandemic on the construction sector. The VAT change will not now apply until 1 March 2021. The new rules mark a complete overhaul of the way VAT is payable on building and construction invoices. Under the domestic reverse char ...

Individuals who previously made an election to stop receiving child benefit due to the high income child benefit charge (HICBC) may wish to consider revoking the election in order to restart their claim, if they feel that their income is likely to drop in the current climate below the HICBC upper income threshold of £60,000. The child benefit, or a proportion thereon, may need ...

Phishing is the fraudulent act of emailing a person to get their personal or financial information. These emails often include a link to a bogus website encouraging you to enter your personal details. If you are unsure if you have received a bogus email or text from the HMRC. Please follow the link for a current list of digital and other contact issued from HMRC. ...

HMRC has just updated its guidance on the extension of existing off-payroll working rules (IR35) to the private sector, scheduled for April, with a new contractor factsheet setting out the changes.   Download Off worker - Contractor factsheet on IR35 rules   While the factsheet references the review the government has launched into the implementation of changes to the off-p ...

The Institute of Chartered Accountants in England and Wales (ICAEW) has urged the government to simplify the complexities of accessing apprenticeship funding. The Apprenticeship Levy took effect from 6 April 2017 and changed the way in which apprenticeships are funded. Larger employers are required to pay a levy of 0.5% of their annual pay bill. However an annual allowance of ...

In order to try and ensure that businesses are ready to trade post-Brexit, HMRC is automatically enrolling them in the customs system. HMRC has confirmed that more than 88,000 VAT-registered businesses across the UK will be allocated an Economic Operator Registration and Identification (EORI) number in order to enable them to keep trading with customers and suppliers in the EU ...

A domestic reverse charge means the UK customer who get supplies of construction services must account for the VAT due on these supplies on their VAT return rather than the UK supplier. This removes the scope for fraudsters to steal the VAT due to HMRC and follows similar measures introduced in response to criminal threats for mobile telephones, computer chips, emissions allow ...