Small businesses can choose to be taxed on the basis of the cash that passes through their books, rather than undertaking the more complex accounting calculations designed for larger businesses. This is known as the ‘cash basis’, and where a business opts to use it, it will also be possible for that business to use…
IR35 changes for the private sector DELAYED for at least a year
On Tuesday 17th March 20200, in a surprise announcement, the Government agreed to defer the changes to IR35 and the private sector for another year. This was as a result of the negative impact caused by the COVID-19 pandemic. Perhaps the most important point to make is that the underlying principles of IR35 will remain unchanged….
What to do if you need to change your tax return
You made it and filed your self-assessment return for 2018/19 by the 31 January 2020. However, having felt pleased with yourself, you realise to your horror that you have made a mistake and need to correct your return. Can you do this and if so, how and by when? Yes, you can If you have…
IT consultant held contract for services
HMRC’s application of the IR35 rules remains ambiguous after an IT contractor successfully appealed to the First Tier Tribunal (FTT) against a tax charge arising under the intermediaries’ legislation. In RALC Consulting Ltd v HMRC [2019] TC 07474, the FTT allowed an appeal against HMRC’s determination that IR35 applied because the ‘hypothetical contract’ between various…
IR35: Getting ready for off-payroll working changes
PLEASE NOTE THAT ON 17TH MARCH 2020, CHANGES DUE TO COME INTO EFFECT ON 6TH APRIL 2020 WERE DELAYED FOR AT LEAST A YEAR (READ MORE HERE) THEREFORE, THIS ARTICLE DEMONSTRATES THE CHANGES THAT WILL COME INTO EFFECT FROM APRIL 2021 UNLESS DELAYED FURTHER OR SCRAPPED. From 6 April 2020 the off-payroll working rules that…
FreeAgent Expert Practitioner
This morning (Tuesday 9th July 2019), I decided to take a day trip from our sunny office in Bishop’s Stortford to The Hilton Garden Inn, Luton North in order to enhance my FreeAgent skills and functionality at the FreeAgent masterclass. When I arrived after my one hour fifteen minute journey, I was greeted by the…
A guide to using simplified expenses for small businesses
Certain unincorporated small businesses may choose to use the ‘cash basis’ when calculating taxable income, under which participants are taxed on the basis of the cash that passes through their books, rather than being asked to undertake complex and time-consuming calculations designed for big businesses. Whilst easing the administrative burdens of preparing ‘traditional’ accounts, using…