Furnished Holiday Let Property – abolished

The EU seems to have caused a problem for the Chancellor. As a direct result of EU rulings the UK has been compelled to extend the various tax advantages of ‘Furnished Holiday Lettings’ status to properties located within the European Economic Area (EEA) – as long as they meet the required qualifying criteria. Clearly the…

Disputes at work – the new rules

The regulations that govern how employers handle discipline, dismissal and grievance issues in the workplace change as from 6 April 2009. The new system is designed to be more straightforward and flexible, the aim being to help employers resolve disputes before they reach the point of an employment tribunal. The hope is the new rules…

Tax on cars

From 2009/10 (i.e. from 1st  or 6th April 2009) the notion of an ‘Expensive Car’ will disappear for tax purposes. Instead of there being single asset pools for these vehicles, based on purchase cost to the business, cars will be added to the 10% or 20% pools depending on their CO2 emissions: Over  160 g/km…

Medical check ups – now tax free

HMRC have now agreed that all medical check-ups provided by employers to an individual employee will be treated as tax and NIC free, even if the check-ups are not available to all employees. This clarifies a number of changes in their approach, and informal concessions, in the last few years. The change will be acknowledged…

Notifying HMRC about self employment

From 6 April 2009 there is a change in the penalty you will pay if you are late notifying HMRC that you have commenced self-employment. Up to 6 April 2009 the penalty was £100 and you had 3 months after commencement of trade to let HMRC know. From 6 April 2009 the rules are changed…

PAYE code changes

If your local tax office sent you a demand to pay tax you would obviously take some interest in the issue – is this change correct? When do I have to pay it? Would you feel the same if you received a notification of change to your PAYE code number? Your tax code is set…

National Minimum Wage changes April 2009

All employers should be aware that changes have been introduced to the penalties that will automatically be levied after 6 April 2009 if you fail to observe your obligations regarding payment of National Minimum Wage rates. From 6 April 2009, a new automatic penalty will be levied where HMRC compliance officers find arrears of the…

Tips for new employers

The basic rules for employers with new employees are important for any business. There is no ‘Casual Labour’ exemption, if you take an employee on with intention of keeping them for just a couple of weeks on a temporary basis – the rules still apply. If the correct PAYE and NIC is not deducted off…

Service companies and the year end return

It’s time for employers to complete and file the annual PAYE return (form P35), and for the second year the form asks about the status of the company, causing some confusion and concern. The form has these two questions which require yes or no answers: – Are you a Service Company? –  If “yes”, have…