HMRC has recorded a rare IR35 victory after a tribunal decided that three self-employed BBC newsreaders were operating as so-called ‘disguised employees’.
Congratulations to Allison Gallagher, Finance & HR Manager, on winning July Umbrella.co.uk Employee of the Month.
Allison has been invaluable and hard working member of the team for 9 years.
“Well done to a very deserving winner!" Simon Pearson, Finance Director.
Contractors are running out of time to comply with HMRC’s new Making Tax Digital (MTD) initiative, which requires them to keep digital accounting records and use approved software to submit tax information to HMRC.
The first MTD deadline, for limited company contractors that earn over the £85,000 VAT threshold, is just a little over six months away.
From April 2019, these contractors will no longer be able to submit their VAT return manually with HMRC’s ‘direct tools’. Instead they will have to use HMRC-compliant software like FreeAgent or Xero to keep digital records and automatically submit their VAT returns.
A convicted fraudster from Preston has been ordered to pay £70,000 that he won in a Manchester poker game to the tax office.
Adam Lulat was jailed for 28 months in 2015 for his involvement in a £40 million money laundering scam and VAT fraud.
The controversial loan charge, which affects contractors who participated in ‘disguised remuneration’ schemes, could be scrapped after Chancellor Sajid Javid commissioned an official review into the tax.
The new review will conclude by mid-November to give taxpayers certainty ahead of the January Self Assessment deadline. It will be led by Amyas Morse, the former chief executive of the National Audit Office.
As Christmas draws closer, many contractors will be finalising their plans for the festive season.
You know who is in charge of wrapping presents, what time you’re going to travel to the in-laws and who’s cooking the turkey. But you shouldn’t forget about the tax return deadline in amongst all the merriment.
After all, you only have until 31 January to complete and pay your Self-Assessment.
HMRC is targeting contractors that have participated in disguised remuneration ‘loan schemes,’ and time is running out to avoid an enormous tax bill next year.
If affected contractors fail to make a settlement with HMRC by 5 April 2019, any outstanding ‘loan’ tax payments could be tacked onto their 2018/19 tax bill.
Unfortunately, the first settlement deadline has already passed. HMRC had instructed contractors to register their interest in settling and fill out relevant documentation before 30 September.
In amongst the Britain’s Got Talent audition that the chancellor took part in yesterday were some announcements regarding the economy and some good news for contractors. We won’t repeat his numerous Christmas Cracker jokes but here’s the 5 key takeaways for contractors;
The Chancellor’s first Autumn Statement contained some pretty eye-watering sums. The estimated cost of Brexit at £58.7bn and an extra £122bn of borrowing in this parliament are two of the biggest.
There were some positive numbers though. £26bn to fund investment in housing, transport, digital technology and research and development will prove valuable to contractors in some of these industries.
Others, meanwhile, will be left counting the cost of tax increases. Here are seven of the most important points for contractors and limited company owners.