Blog
Associated companies and impending corporation tax rate changes – what are the tax implications?
Read this article to find out the financial impact on your company should your company be ‘associated’ with another. #taximplications #associatedcompanies
Have you used your 2023/24 dividend allowance?
All taxpayers are entitled to a dividend allowance and can enjoy dividend income up to the level of the allowance tax-free. Read this article to discover whether you should declare a dividend before the end of the tax year to prevent your dividend allowance from being wasted.
Trivial benefits – Make use of the exemption
The trivial benefits exemption allows employers to provide low-cost benefits to employees without triggering a tax liability. Read this article to find out the conditions that must be met and the traps to avoid.
New corporation tax regime
Corporation tax was reformed from 1 April 2023. Read this article to find out how your corporation tax liability will be calculated under the new rules.
Is an alphabet share structure still worthwhile?
The dividend allowance is reduced from £2,000 to £1,000 from 6 April 2023 and to £500 from 6 April 2024. Read this article to find out whether an alphabet share structure is still beneficial.
Loans to directors – beware of the higher section 455 charge
Read this article to find out about the rate of section 455 tax on outstanding director’s loans. #directorsloans #section455tax
Associated company rules - changes from April 2023
From 1 April 2023, the rules are changing such that the rate of corporation tax that a company pays, and when, will be dependent on the level of its profits as well as the number of its associated companies.
Is paying mileage allowances at the approved rate still a good idea?
Approved mileage allowances can be paid tax free. This article explains the action you can take if they do not cover actual costs. #AMAP
Involuntary strike-off: what can you do?
Read this article to find out what you can do is a notice to strike off your company is published in the Gazette #involuntarystrikeoff
Take advantage of the dividend allowance
Read this article to find out how to use available dividend allowances to extract profits from a family company #dividendallowance
Five tax-efficient ways to extract profits
Read this article to discover 5 tax-efficient ways to extract profits from a personal or family company #profitextraction #salary #dividends
Companies – claim extended loss relief online
Because of the pandemic, the carry-back window for loss relief was extended. Where companies want to claim under the extended rules, it can be done online ahead of the tax return filing date. Learn more in this article. #companytax #taxadvice
Tell HMRC that your company is dormant
If your company is no longer trading and does not have any other income, you can tell HMRC that it is dormant. This will relieve you of the need to file a company tax return or pay corporation tax.
Recording directors’ expenses correctly
It is only permissible for a company to deduct expenditure in computing its taxable profits if incurred wholly and exclusively for the purposes of the trade. Since a company is a separate legal entity that stands apart from its directors and shareholders, it will not incur personal expenses.
Corporation Tax Self-Assessment
The corporation tax self-assessment return (CTSA) must be submitted to HMRC along with the accounts and tax computations, although it is possible to file all this information online through the HMRC website.
Directors’ loans – Beware of ‘bed and breakfasting’
It can make sense financially for directors of personal and family companies to borrow money from the company rather than from a commercial lender. Depending on when in the financial year the loan is taken out, it is possible to borrow up to £10,000 for up to 21 months without any tax consequences. However, if the loan remains outstanding beyond a certain point, tax charges will apply.
Preparing For Your Year End Accounts
This helpsheet provides you with an overview of the information to provide to us to enable completion of your end of year accounts.
Getting ready for off-payroll working changes
From 6 April 2020 the off-payroll working rules that have applied since 6 April 2017 where the end client is a public sector body are to be extended to large and medium private sector organisations who engage workers providing their services through an intermediary, such as a personal service company.
Should I incorporate my business?
The question of whether to incorporate commonly arises as a business expands - the limited liability status that company formation provides is often needed to start winning contracts with bigger companies.
Timing dividends right could help save tax
Timing the date of a dividend payment from a company can determine both the amount and the due date of the tax payable. This may be a particularly useful strategy in a close- or family-owned company.