News
January 2010
Act Now To Save On Tax
With money tight for many individuals and businesses, and tax rises on the horizon over the coming years, it makes sense to start planning now for the end of the financial year, to ensure no-one is paying any more tax than necessary.
Extra National Insurance Burden Ahead
One of the significant announcements in the Pre-Budget Report is a further increase in national insurance contributions (NIC) which is to take effect from 6 April 2011.
Special Annual Allowance Charge – New Limits For 2009/10
In the Pre-Budget Report changes were announced to the complex rules for the Special Annual Allowance (SAA) charge which affects those with substantial income who make significant pension contributions. The current rate of the SAA charge is 20% on excess pension contributions. The aim of the charge is to discourage individuals from making significantly higher pension contributions in anticipation of the removal of higher rate tax relief which will occur in 2011.
Bank Payroll Tax
In a move designed to tackle certain remuneration practices that are considered to have contributed to ‘excessive risk taking’ in the banking industry, a temporary bank payroll tax of 50% is to apply to certain bonuses regardless of how they are paid. The tax will apply to the amount of the bonus which exceeds £25,000 for any individual employee and is applicable to banks, building societies and other related financial businesses.
Changes To The Advisory Fuel Rates From 1 December 2009
To reflect the increase in fuel prices, HMRC have issued new advisory fuel rates for employees driving employer provided cars. These take effect for all journeys undertaken from 1 December, so employers using the advisory rates should advise affected employees and update any expense forms as soon as possible.
HMRC Warn Of More Scam Emails
As the end of the year fast approaches HMRC are reminding taxpayers to be vigilant as scam emails have been reported. For details of their latest guidance on scam emails, more information on this and other scams together with a copy of the latest example visit the links below.
Internet links: HMRC guidance and Latest example
Tax Relief On Nursery Vouchers
Gordon Brown had revised his proposal to withdraw the income tax and NI exemption on employer provided childcare vouchers.
Cross-Border VAT Changes 2010
HMRC issued some important guidance regarding the changes in the place of supply of services rules which take effect from 1 January 2010.
Bad Weather Advice
The Institution of Occupational Safety and Health (IOSH) are warning people to be prepared for poor weather conditions when travelling. They have produced a few tips to help ensure that travel, whether it is for work or pleasure, remains safe despite the weather.
Their advice can be found by visiting the link below.
Internet link: IOSH website