Useful websites

Trying to keep track of all the different websites you’ll need for tax and business support isn’t easy, so we’ve tried to give direct links to the important ones on this page.  Simply remember Youraccounts2.co.uk/takemethere to navigate to this page and then you can click on the links below.  We’re constantly reviewing the links on this page and if you’d like something added to it, get in touch and let us know.

First and foremost, you should always keep your online security under review – the Scottish Government have a great section on their website with lots of hits and tips – we recommend you visit this site often as a refresher! 

HMRC Gateway:  the website for most interactions you’ll have with HMRC.  You will need your own individual log-in details.

HMRC payments:  whether you are paying corporation tax, VAT, or any other tax, you’ll find the way to do it here.

HMRC tax and duty rates:  this is an information page detailing the current rates for all sorts of taxes

ACAS: provides employees and employers free, impartial advice on workplace rights, rules, and best practice. Free templates for letters, forms and policy documents are available at this site

Coronavirus Support (UK):  the website for support available from the UK Government

Coronavirus Support (Scotland):  the website for support for the Scottish Government.

New Tax Year 06/04/2022 – Important Information

Important Information relating to new Tax Year starting on Wednesday, 6th of April 2022

HOSPITALITY and CATERING REDUCED RATE VAT

As of 1st April 2022, this has now reverted up to the full Standard Rate of 20% VAT on all sales made.

MARRIAGE ALLOWANCE:

A reminder that if you are married or in a civil partnership you can transfer up to £1,260 of your personal allowance to each other. This can be worth up to £252 in the current Tax Year which ends on Tuesday.

This can also be backdated to 2017/18, so long as you claim by Tuesday.

These are the links to the guidance on the scheme and how to apply for it, about a 2-minute read.

https://www.gov.uk/marriage-allowance

https://www.gov.uk/marriage-allowance/how-to-apply

This can be claimed if one partner is a basic rate taxpayer and the other earns less than their Personal Allowance, currently £12,570 per year.

You must claim this relief yourself and let us know if you do so.

Please note you also need to stop your claim should your circumstances or earnings change.

CLASS 2 NATIONAL INSURANCE (NIC):

This is a tax that provides self-employed people with their entitlement to benefits and State Pension.

Historically, NIC was paid separately but is now merged with your Self-Assessment Income Tax payments.

There is an earnings limit under which you do not need to pay this tax (£6,515 in the current Tax Year to 05/04/2022), but we will ask for NIC to be paid voluntarily, if required, as this is in your best interests and keeps your NI contributions current as cheaply as possible.

Unfortunately, HMRC are removing these payments from your Tax Return without authority if you have earnings under £6,515. Ignore HMRC if they send a tax demand not including this amount and contact us. We will deal with the paperwork for you to have the Class 2 National Insurance reinstated.

If we say you are to pay only Class 2 National Insurance, the amount will be £158.60 for this Tax Year.

Pay it, and do so by 31st January 2023, otherwise you will lose an entire year of contributions.

We believe this will become a major issue and are trying to protect you with this advice.

NUISANCE PHONECALLS

I know many of you suffer from endless nuisance calls from telesales operations, so here is a service you may wish to register for. https://www.tpsonline.org.uk/register/corporate_tps

It is free, called the Corporate Telephone Preference Service (CTPS). We use it and it helped us.

National Minimum Wage Increase April 2022

As you may be aware the minimum wage increases from 1 April 2022.  The changes are as follows:-

 

Category of worker Current Hourly Rate New Hourly Rate
Aged 23 and above (national living wage rate) £8.91 £9.50
Aged 21 to 22 inclusive £8.36 £9.18
Aged 18 to 20 inclusive £6.56 £6.83
Aged under 18 (but above compulsory school leaving age) £4.62 £4.81
Apprentices aged under 19 £4.30 £4.81
Apprentices aged 19 and over, but in the first year of their apprenticeship £4.30

 

£4.81

 

 

Please follow this link to the government website which details minimum wage information: https://www.gov.uk/government/publications/minimum-wage-rates-for-2022

 

Reduced VAT rate increase

This is a reminder the reduced VAT rate of 5% is due to increase to 12.5% with effect from 1st October 2021.

Please keep your relevant business records to 30th September, and from 1st October separate so that we can identify sales and expenses affected either side of this date.

This applies if you charge VAT or incur business expenses which you reclaim VAT on, in relation to:

  • Hospitality
  • Provision of Hot Food
  • Hotel/holiday accommodation in relation to business trips

For full guidance please follows these links:

  • Main rules in relation to reduction of VAT rate

https://www.gov.uk/guidance/vat-reduced-rate-for-hospitality-holiday-accommodation-and-attractions

  • Rules specifically in relation to hot food

https://www.gov.uk/guidance/catering-takeaway-food-and-vat-notice-7091

Important Furlough Scheme Compliance Information

If you took advantage of the Government Corona Virus Job Retention Scheme (Furlough) we want to ensure your compliance. You MUST ensure that your PAYE is up to date, especially the tax year ending 5th April 2021 and the current tax year. Part of the entitlement criteria is you keep these payments up to date. 

If you do not do this, you could be liable to pay the following:

  • Furlough monies you have received back to HMRC
  • 100% Penalties on your Furlough monies i.e., the total Furlough amount again
  • All outstanding PAYE, both current and historical
  • Daily interest and charges on the outstanding PAYE amounts

There may be further interest and charges on the Furlough monies as well.

Further non-entitlement criteria are as follows:

  • Staff were working
  • Staff were not paid in full
  • Incorrect calculations resulting in an overclaim

Failure to notify HMRC of non-entitlement equates to 100% penalty.

There may be personal liability for directors for tax and penalties.

A declaration must be signed by directors on the CT600 stating the amount of report received vs the amount entitled to. This is the director’s disclosure to HMRC.

We strongly advise that you ensure your PAYE is up to date, and advise us of any possible issues in relation to entitlement to this support.

It is better we tell HMRC, rather than HMRC tells us.

Your Accounts 2 launch new website

Phew, it’s taken us a while, but we’ve finally got our new website live!  In this section we’ll post regular blogs that we hope will be of interest to clients (just as soon as we can get Scott to sit down and write one!).

More generally, we hope our new website will provide a ‘one stop shop’ for clients with links to relevant websites and log-in portals for client software platforms. 

If there’s anything you’d like to see on our website, get in touch and we’ll try to make it happen.

Oh, and if you’re an existing client who would be happy to review us on Facebook or provide a testimonial for this site, we’d be delighted to hear from you.

Stay safe and have a browse around the new Your Accounts 2 website.