VAT Flat Rate Scheme and limited cost traders – what’s new
New draft legislation for FRS: Limited cost traders Yesterday HMRC released their draft legislation on the proposed changes to the VAT Flat Rate Scheme (FRS), including the addition of a new ‘limited cost trader’ category. These changes are designed to stop abusive use of the scheme and appear very successful in doing so. The draft […]
Do you have a contractor loan as part of a tax avoidance scheme? Prepare for the new retrospective tax
Prepare for the new retrospective tax Contractors have been expressing a dislike and unfairness for the new retrospective tax that they are to face on past loans associated with many of the tax avoidance schemes they may have taken advantage of. So what is this tax, who’s affected and how can you check […]
Moving your company away from a MSC
Post April 2016: Birth of a new Umbrella generation. Better or worse? Since April 2016 new tax rules restrict the expenses that can be claimed by Umbrella workers, with the consequential loss of tax relief reducing take home pay. These new rules changed the landscape. Many Umbrella workers wanted to protect their earnings and Umbrella […]
Sickness and holiday pay – a permie perk or open to all?
Sickness and holiday pay When contracting through your own Limited Company you’ll be aware that you’re not entitled to the same access to sickness and holiday pay as permanent employees are. So it’s up to your company to make provisions for your absences – planned or otherwise. Louisa Drewett, Director of Accounting and Tax at […]
Armitage Technical Design Services Limited Contractor v HMRC (2016)
Background Mr David Armitage is an electrical control and instrumentation designer with over 25 years’ experience of providing services within the nuclear industry. He is also the Director of Armitage Technical Design Services Limited (“ATDSL”). Mr Armitage was contracted through ATDSL and two different agencies to provide his services to Diamond Light Source Ltd (DLS). […]
Christa Ackroyd v HMRC (2016)
Background In 2018 HMRC won its first IR35 ruling in seven years against the former BBC presenter Christa Ackroyd; although she did try to argue that the limited company was set–up on the advice of the BBC and that she received reassurance from her accountant that the arrangement was tax compliant. This resulted in Ms […]
Understanding the Self-Assessment Tax Return
Understanding the Self-Assessment Tax Return We don’t like to be a scrooge here at Intouch, but after the Christmas festivities have ended it’ll be time for you to submit your Self-Assessment Tax Return (SATR). After all the Christmas chocolates have gone and the New Year celebrations seem like a distant memory, you will need to take […]
Supervision, direction or control (SDC)
Supervision, direction or control (SDC) Announcements in the Summer Budget 2015 shook the contracting world, with particular focus on supervision, direction or control (SDC). It’s now key to the proposals used in the consultation to revise Travel and Subsistence and in the discussion document on revisions to IR35. SDC is clearly becoming the key focus […]
Flat Rate VAT Scheme for contractors explained
Flat Rate VAT Scheme for contractors explained Once a business reaches a turnover of £82,000 within a twelve month period, it is a legal requirement to register for VAT and subsequently, charge VAT (20%). Businesses who are registered for VAT must charge this to their clients and customers (most commonly at a rate of 20% […]
Contractor’s house of horrors
Don’t let the house of horrors spook you! Forget The Shining, American Psycho or The Exorcist, sometimes the worries that contracting can cause can be far scarier! But fear not, Intouch Accounting are here to help guide you through each and every process, without the sleepless nights, or worrying if the Taxman is hiding under your […]