Are You Operating Your PAYE System Correctly?

One of the aspects of running a business that is likely to come under investigation by the tax authorities is the PAYE system and how it is being operated. HMRC investigators can request access to all of your PAYE and salary records, if necessary,  in order to check that the amount recorded in the accounts as salaries matches the actual amounts paid out as salaries and recorded on pays… Continue Reading

Paying Too Much Income Tax?

Why you might have a wrong HMRC tax code

One of the most common reasons for paying too much income tax is that you have been assigned the wrong tax code. This can happen for a number of reasons such as when you change jobs and your new employer does not have the correct code so an incorrect or sometimes a temporary code is allocated to you. If you have returned to the UK from working overseas y… Continue Reading

Is DIY Business Accounting Possible?

It can be appealing to think you can prepare your own company accounts and file your own tax returns for a small company. After all, think of the money you would save, especially if you run a small, straightforward business. It is certainly possible to maintain the correct records and complete the relevant tax returns for HMRC. The introduction of online submission processes for bo… Continue Reading

How To Select the Right Accountant

Whether you have an established business, have just started a business or are still at the planning stage, the choice of accountant is an important decision. For a new company, busy with all the excitement of getting up and running, selecting an accountant may not seem to be a top priority but bringing an accountant on board early can help with setting up a Limited Company and structu… Continue Reading

National Minimum Wage Increases From October 2013

From October 2013 the National Minimum Wage for workers in the UK has risen as to the following rates:

• £6.31 per hour for those aged 21 and over
• £5.03 per hour for those aged 18 to 20
• £3.72 per hour for those aged 16 to 17
• £2.68 per hour for apprentices (aged under 19)

This is an increase of 12p an hour for adults aged 21 and over and of 5p an hour for 18- to 20-year-olds resulting from recommend… Continue Reading

Tax On Residential Property Held By A Company

A new annual UK tax was introduced on 01 April 2013 called the Annual Tax on Enveloped Dwellings, or ATED. This new tax relates to any entity other than individuals; so companies, partnerships, LLPs (Limited Liability Partnerships) that hold a residential UK property worth over £2m. Where an ATED charge applies the first returns have to be submitted by 01 October 2013 and the tax pa… Continue Reading

Getting audited isn’t as easy as you think…

Many firms of accountants have surrendered their audit licence since the new compulsory audit thresholds increased at the end of last year. However, in order to audit solicitors’ accounts, the auditing firm has to be a registered auditor. And that puts us all in a bit of a Catch-22 situation. Here’s the rub. The turnover threshold that currently exempts most companies and limited… Continue Reading

Solicitors’ accounts audits – making things more ‘outcome-focused’

You have to love our governing bodies use of language. The phrase ‘outcomes-focused’ is one that would send most people scurrying to Google to try and find a definition. But for those in the financial sector who act as a reporting accountant for solicitor clients operating client accounts, it’s much more important to understand exactly what this phrase means, and how recent chang… Continue Reading

Raising finance for small businesses

You’ve got a brilliant idea, you know the market’s eagerly waiting for your product or service to go live and you’re excited about the prospect of becoming the next Richard Branson. But there’s one thing that could scupper all of those ambitions – money. Late last year, the Federation of Small Businesses carried out a survey that showed around 42% of small businesses were strugglin… Continue Reading

Partnerships and LLPS

For several years partnerships and LLPs have provided a very flexible business structure and in some cases have provided tax advantages, mostly because of their flexibility both in terms of tax and legal framework. On 20th of May 2013 HM Revenue and Customs published  a consultation document  titled: “Patnerships: A review of two aspects of the tax rules” This is a 38 page docume… Continue Reading