New tax investigation campaigns

Three new campaigns are to be launched targeting tax evasion in the UK. The current round of HMRC’s campaigns against tax avoidance goes back to the Offshore Disclosure Facility (ODF) in 2007, that targeted taxpayers with unpaid taxes linked to offshore accounts or assets. HMRC’s approach since then has revolved around offering specific targeted campaigns rather than general tax amnesties. They have so far selected specific sectors including plumbers, taxpayers with off-shore accounts,...

Posted on 15-02-2012

P45 form to stay

The Government recently published a consultation document on the major changes planned to the way PAYE information is collected. This will see the introduction of a new system where HMRC collects real time information (RTI) for PAYE. The system will involve employers sending information about tax and other deductions from employees' pay when the employee is paid, rather than at the end of the tax year. The draft regulations recently published by HMRC introduced a new leaver statement for em...

Posted on 15-02-2012

Self assessment online filing statistics

A press release detailing the number of online filings made for the 2010/11 self assessment returns has been issued by HMRC. The use of the online service continues to grow year on year. This year a total of over 7.65 million online filings were made by the deadline. The deadline for this year remained at 31 January 2012 but HMRC have confirmed that they will treat all online tax returns received by midnight on 2 February 2012 as if they had been received on 31 January 2012 due to...

Posted on 15-02-2012

Employment related loans

The official rate of interest on an employment related loan is to remain at 4% with effect from 6 April 2012. A change in the rate is only made in the event of significant changes in interest rates. The interest rate is used to calculate the benefit in kind charge that arises when directors or employees, earning more than £8,500 per year, are provided with an interest free or low interest loan by reason of their employment. The benefit in kind charge will apply when a loan is provided at an...

Posted on 08-02-2012

The Annual Investment Allowance

The Annual Investment Allowance (AIA) was first introduced in The 2008 Finance Act and the legislation was incorporated into the Capital Allowances Act 2001. The AIA is designed to give 100% first year tax relief for qualifying expenditure on plant and machinery. It can be claimed by an individual, partnership or company carrying on a trade, profession or vocation, a UK non residential property business or a furnished holiday lets business. Only partnerships or trusts with a mixture of individua...

Posted on 08-02-2012