Special relief (formerly equitable liability)

Understand the concept of ‘special relief’, formerly known as ‘equitable liability’.

Vouchers

This short article looks at the circumstances in which vouchers are classed as a taxable benefit.

Van benefits

Where an employee is provided with a van and this is available for private use, there is a fixed benefit of £3,000...

Travelling and subsistence

HMRC Booklet 490 is an excellent guide, explaining the extended reliefs relating to travelling and associated expenses.

PAYE penalties podcast

Welcome to ACCA's PAYE penalties podcast

Transport for disabled employees

Information relating to transport for disabled employees (ITEPA 2003, sections 246-7).

Child benefit tax change

The child benefit charge on ‘high-income’ families comes into effect for 2012/13, but only applies from 7 January 2013

Professional subscriptions

Allowable fees and subscriptions paid to professional bodies or learned societies under Section 344 ITEPA 2003

Compliance check factsheets

HMRC have published a suite of compliance check factsheets.

Child benefit: high income charge

What you need to know about the child benefit charge on high income families.

Reasonable excuse - September 2012 update

An update on some recent reasonable excuse tribunal cases.

Mr J R Hanson v The Commissioners of HMRC

The First Tier Tribunal case overturned a penalty for a "careless error" where the accountant was blamed.

HMRC - Tackling Tax Avoidance

HMRC has issued a new short briefing on its anti-avoidance activities in relation to aggressive tax avoidance schemes.

Proposed changes to ESC A19

Following a tribunal decision, HMRC issued a consultation on the removal of taxpayer protection from ESC A19.

Finance Act 2012

A look at some of the schedules in the Finance Act 2012

Working Together Groups - your communication channel with HMRC

Got an issue to raise with HMRC and fellow accountants? Contact your local Working Together group.

HMRC pilot to improve post response times

HMRC pilots a "signpost" scheme in an attempt to improve response times for incoming mail.

Capital Allowances and Buildings

The Finance Bill 2012 introduced new provisions with regard to claiming capital allowances on integral features

CPD and tax relief

A look at the rules around tax relief on your – and your employees' – continuing professional development.

Making a late tax appeal

Madan Salhan looks at some of the issues and pitfalls to be considered in making a late tax appeal

Revenue Scotland and Scottish taxpayers

Significant changes to land, landfill and income taxes in Scotland are on the horizon.

Payroll changes: take the pain away

Preparing for PAYE real-time reporting.

HMRC issues guidance on two Scottish tax matters

HMRC has issued a note on how the Scotland Act 2012 impacts on its administration of Stamp Duty Landfill Tax. It has also stated what it will do to help identify Scottish taxpayers in respect of a variable rate of income tax.

New ways to register for taxes online

HMRC has launched an online tax registration service to allow registration for all main business taxes (self assessment, corporation tax, PAYE for employers and VAT) in a single website visit.

Real time information and PAYE

RTI is a new way of reporting PAYE information. It will enable employers and pension providers to tell HMRC about payments to employees/pensioners as they are made rather than at the end of the tax year.

IR 35 – new business entity tests

HMRC publishes guidance on its new approach to dealing with potential IR35 cases.

Taxpayers in Scotland

Guidance on what constitutes a Scottish Taxpayer for the purposes of The Scotland Act 2012.

Alternative dispute resolution scheme

HMRC extends its alternative dispute resolution service trial nationwide.

Gift Aid - an update

HMRC issues new form R68(i) - Gift Aid and tax repayment claims form, which replaced all previous versions of this claim form.

EIS/SEIS - Advance Assurance Application

Details on obtaining advance qualification assurance for investments under the EIS and SEIS schemes.

Keith Gordon: Challenging Sharkey v Wernher

Keith Gordon offer advice on challenging the Sharkey v Wernher principle of appropriations from trading stock at market value.

EFRAG: Improving the financial reporting of income taxes

Comments from ACCA to the Urgent Issues Task Force, July 2012

Simpler income tax for the smallest businesses

Comments from ACCA to the Office of Tax Simplification, June 2012

Self-employment ready reckoner

HMRC have produced a basic ready-reckoner to assist those in self-employment to calculate their tax provisions.

HMRC toolkits

The Expenses and Benefits from Employment Toolkit and the National Insurance Contributions and Statutory Payments Toolkit have been updated and can be used for 2011/12 tax returns. Access the HMRC toolkits via the link on this page.

Finance (No.4) Bill 2010-12

In the Budget the Chancellor challenged business. He has challenged it to invest, to export, to build the economy. In return, he has set out the further actions the government will take in order to help to build the appropriate environment.

Small Business Tax Dispute Service

HMRC have announced an extension to its Alternative Dispute Resolution (ADR) Scheme, following a successful initial trial period. The essence of the scheme is to offer an is for an "independent HMRC facilitator" to offer a mediation-based approach to resolving a tax disputes which arise during the course of a compliance check, before an assessment or appealable decision is issued. Its aim is to reach a quick and fair conclusion the dispute and to avoid the need for either party to take the case to Tax Tribunal.

HMRC Agent Account Managers

If HMRC's normal communication channels have left you frustrated and still needing an answer, the Agent Account Manager service may help.

Enterprise Investment Scheme - the tax reliefs condensed

EIS is an important investment incentives. The tax reliefs are highlighted here while the business rules can be found in Enterprise Investment Scheme (EIS) –The Rules Condensed

New HMRC taskforces target tax evaders

HMRC to launch 30 new taskforces to crack down on tax dodgers in 2012/13.

A pub crawl around capital allowances

The Upper Tribunal has recently issued its judgment in the case of J D Wetherspoon plc v The Commissioners for Her Majesty’s Revenue and Customs.

HMRC's Litigation and Settlement Strategy (LSS)

Details of HMRC's litigation and settlement strategy (LSS), which is their internal guidance to staff on dealing with tax disputes.

Saying Goodbye to ESC C16

From 1 March statutory instrument 2012 number 266 The enactment of extra-statutory concessions order 2012 comes into force. On the same date extra statutory concession (ESC) C16 is effectively withdrawn.

The Upper and First-Tier Tribunals – What is a Reasonable excuse?

The First-Tier Tribunal has made a number of decisions lately which have shown an appreciation of the reality of business life. In Enersys Holdings UK Ltd it was concluded that a Tribunal does have power to strike down a penalty if it is “not merely harsh but plainly unfair” In the face of increased penalties from HMRC, the Tribunals have brought a welcome balance of reason. This page examines some successful and unsuccessful appeal cases.

PAYE/NIC security deposits

From 5 April 2012 HMRC will be able to ask employers to pay a security deposit where there is serious risk that they won’t pay over their PAYE or Class 1 NICs.

The dos and don'ts of employment income

A comprehensive round-up of the tax law surrounding employment income.

Seed enterprise investment scheme (SEIS)

Draft guidance has been made available that is intended to apply from 6 April regarding the transfers of pension savings to qualifying recognised overseas pension schemes (QROPS).

HMRC penalties - conspicuous unfairness

HMRC are slammed by tribunal judges in recent appeal cases against PAYE penalties.

Pension transfer - QROPS

Draft guidance has been made available that is intended to apply from 6 April regarding the transfers of pension savings to qualifying recognised overseas pension schemes (QROPS).

Employment manual update

Technical guidance on the Finance Act 2011 rules on employment income provided through third parties has been updated.

Disguised remuneration

A look at the new regulations

HMRC Clearances and Approvals

Details of business and non-business clearance procedures.

Losses - Income tax vs Class 4 NIC

A look at the interaction between losses for income tax and class 4 national insurance purposes.

Tribunal decisions reflecting business life

The First-Tier Tribunal has made a number of decisions lately which have shown an appreciation of the reality of business life, as this example highlights.

Enterprise investment scheme (EIS)

Comprehensive guidance on the EIS scheme.

IR35 - An Update

Another look at IR 35 in light of some recent cases.

Furnished holiday lettings changes from April 2011 and 2012

A review of the FHL regime together with details of changes from April 2011 and April 2012.

CIS penalties

The CIS penalty regime has changed with effect from 1 November 2011.

Solar panels

Advice to share with clients considering investing in solar panels.

HMRC New and Ongoing Campaigns

Latest details of HMRC's targeted tax campaigns.

HMRC's efforts to close the tax gap

With HMRC under pressure to reduce the tax gap, we review recent, current and future initiatives to achieve this.

Spotlight on tax avoidance schemes

HMRC issues new spotlight document on tax avoidance.

Transport for disabled employees

Tax legislation specifies that expenses payments reimbursed to an employee, eg travel expenses, courses, client entertaining, represent taxable earnings and need to be reported on the form P11D.

Buses to shops

Tax legislation specifies that expenses payments reimbursed to an employee, eg travel expenses, courses, client entertaining, represent taxable earnings and need to be reported on the form P11D.

Scholarships

A detailed look at income, in the context of employment: scholarships.

Compensation for loss of office

Broadly speaking, benefits in kind are calculated at their ‘cash-equivalent value’ which is defined as the ‘expense incurred in or in connection with provision of the benefit’, inclusive of VAT.

Emergency vehicles

There is no taxable benefit arising from private use of an emergency vehicle when the worker is on call.

Christmas parties and annual functions

A detailed look at income, in the context of employment: Christmas parties and annual functions.

Bus services

Tax legislation specifies that expenses payments reimbursed to an employee, eg travel expenses, courses, client entertaining, represent taxable earnings and need to be reported on the form P11D.

Parking facilities

A detailed look at income, in the context of employment: parking facilities.

Relocation expenses

A detailed look at income, in the context of employment: relocation expenses.

Childcare provision

Certain types of benefit in kind are subject to their own rules for calculation of the cash-equivalent of the benefit.

Pension provisions

A detailed look at income, in the context of employment: pension provisions.

Higher v lower paid

A detailed look at income, in the context of employment: higher v lower paid.

Car fuel benefit

When an employee is provided with fuel for private purposes, an additional benefit arises. Fuel benefit is arrived at by multiplying a fixed base figure, £20,200 for 2012/13, by the same percentage rate used to calculate the car benefit.

How are benefits-in-kind calculated?

Broadly speaking, benefits in kind are calculated at their ‘cash-equivalent value’ which is defined as the ‘expense incurred in or in connection with provision of the benefit’, inclusive of VAT.

Accommodation

The provision of living accommodation to an employee represents a taxable benefit.

Cars and fuel

The provision of a car to an employee, which is ‘available’ for private use, represents a taxable benefit. Note, the car only has to be available for private use for a benefit to arise.

Interest-free or cheap loans

A detailed look at income, in the context of employment: interest-free or cheap loans.

Mobile phones

A detailed look at income, in the context of employment: mobile phones.

Job-related accommodation

A detailed look at income, in the context of employment: job-related accommodation

Incidental overnight expenses

A detailed look at income, in the context of employment: incidental overnight expenses.

Tax and other deadlines

A comprehensive round up of filing and other legislative deadlines.

Reasonable excuse summary

Reasonable excuse: argue your case

VAT registration clampdown

HMRC has announced that its latest campaign will target individuals and businesses who have income above the VAT threshold but who have not registered for VAT. This campaign will start in June/July 2011.

Penalties - Vodcast

HMRC Vodcast on penalties for inaccuracies in documents and returns.

Penalties - offshore income and gains

Brief 14/11 explains the higher level of penalties in respect of undeclared offshore income and gains.

New offshore penalties regime

HMRC have announced their next phase of attack on 'offshore' tax evasion.

IR35 - definition and case studies

A detailed look at IR35 legislation's history and case studies.

PAYE and NICS security

Comments from ACCA to HM Revenue and Customs (HMRC) February 2011

Double tax agreements

The UK has a number of double tax agreements (also known as double tax treaties) with many states.

64-8 and Self-Assessment Registration

A summary of some recent procedural changes.

Annual investment allowance and taxi cabs

A guide to the capital allowances position for taxi cabs

Income-shifting cases

Important income-shifting cases are highlighted

IR35 tax cases

Tax cases - whether IR35 applies or not.

P800 Notices and Applying for the tax to be waived

Guidance for practitioners and taxpayers on the circumstances under which an application may be made under Extra Statutory Concession A19 for the tax liability to be written of - with template letters.

Tax calculations/end-of-year reconciliation

HMRC started sending Form P800 tax calculations for 2008/9 and 2009/10 to taxpayers from the 6 September. This process will continue until January 2011. The forms will only be sent to taxpayers who have paid too much or too little tax and agents will not receive a copy of the form.

Charities

Charities – Gift aid and the fit and proper persons test.

Business payment support service (BPSS) and communication with agents

Guidance for members experiencing difficulties with HMRC regarding the BPSS.

Business payment support service

Business Payment Support Service (BPSS) update.