Here at Umbrella Accountants we’ve seen a number of instances recently where clients have chosen to complete their own self-assessment tax returns but completed them incorrectly resulting in large tax bills.

It’s vitally important to understand that being a Director and Shareholder of a Limited Company doesn’t class an individual as being “Self-Employed”.  If these sections are completed using information from the Limited Company accounts it can result in not only a nasty tax bill but also charges for Class 4 National Insurance that can also run into thousands.

MPs have reacted angrily to a fresh expenses crackdown, which could mean that they would be housed in ‘special serviced accommodation’ whilst staying in London.

News of this proposal comes just weeks after the Chancellor announced that some contractors caught out by IR35 legislation will no longer be able to claim travel and subsistence expenses in the new tax year.

Under the current guidelines, MPs are allowed to claim up to £20,600 per year for renting a London property. They can also claim a maximum of £150 per night if they stay in a hotel.