Tax and Wealth Management « Carpenter Box Blog

All news posts for the ‘Tax and Wealth Management’ Category

PAYE mistakes – letters begin to hit doormats

Tuesday, September 7th, 2010

Following revelations that up to 6 million people have paid the incorrect amount of tax through their PAYE code, HM Revenue and Customs has begun sending correction notices to some 1.4 million people. The unlucky minority have underpaid their tax, and will need to make up the difference.

Between September and Christmas, HMRC says about 4.3 million taxpayers will receive tax refunds after over-paying through the PAYE system.

The errors came to light following the installation of a new computer system and a reorganisation of the way in which employee information is processed by HMRC. Previously the system was centred on employers which meant if a person had more than one job their information might be kept in several different locations. As work patterns have changed and part time and multi employer working has become more the norm, the system has had to be changed.

Any under or over payments will be rectified over the next 12 months by varying the individual’s tax code.

Posted in General, Solicitors, Tax and Wealth Management | No Comments »

South East misses out on NIC holiday

Wednesday, September 1st, 2010

The government is preparing to launch its promised national insurance contribution holiday for start-up firms in certain areas of the UK.

The putative date for the launch is 6 September, although it is understood that every detail of the necessary legislation has yet to be confirmed.

Under the scheme, which is designed to help fledgling firms in regions that are economically hard pressed, new employers will not have to pay the first £5,000 of class 1 employer NICs due in the first twelve months of business.

This will apply for each of the first 10 employees hired in the first year of trading.

The scheme is due to run for three years, and firms that have set up since 22 June, when the measure was announced in the Budget, can claim for the tax breaks provided they meet the qualifying criteria.

The countries and regions which will benefit will be Scotland, Wales, Northern Ireland, the North East, Yorkshire and the Humber, the North West, the East Midlands, the West Midlands and the South West.

However, firms based in Greater London, the South East of England and the Eastern regions will not qualify for the relief. As will certain sectors such as agriculture, fishing and coal.

Posted in Accountancy and Audit, General, Tax and Wealth Management | No Comments »

A tax on staff car spaces? Please tell us you’re joking!

Wednesday, August 25th, 2010

Reports that councils may be considering the introduction of a levy on firms with private staff car parking spaces has provoked protest from the Forum of Private Business (FPB) which reacted by saying it is deeply opposed to the scheme.

The workplace parking levy could see firms taxed on the spaces they provide their employees.

The scheme applies to firms with 11 or more parking spaces, with each space currently charged at £250 per year. That figure is set to rise to £350 over the next two years.

Employers can decide whether to shoulder the cost themselves or to pass it on to their members of staff.

Reportedly the aim of the levy is to ease city centre traffic congestion and to encourage more workers to travel by public transport, but we at Carpenter Box think there is more than a whiff of a local stealth tax to this story.

Last year, Nottingham city council was given permission to go ahead with the scheme and is due to introduce a pilot in 2012.

But press reports suggest that other councils may be examining the option as they seek to raise additional funds. For the full story follow this link.

Posted in Accountancy and Audit, General, Solicitors, Tax and Wealth Management | 1 Comment »

Cutting the red tape…

Tuesday, August 24th, 2010

Here’s a story we’ve all heard before… apparently the government has announced a series of measures aimed at reducing the level and cost of business red tape.

As from 1 September, a new one-in, one-out system will be introduced.

When government departments wish to implement new regulations that impose costs on businesses, they will have to identify current regulations with an equivalent value that can then be removed.

To bolster the approach and to ensure that the cost of red tape is being addressed across the whole of the UK economy, the government is also to introduce other measures.

These include a set of principles of regulation that government departments must apply when considering the effect of new regulations on business, social enterprises, individuals and community groups. Perhaps we shouldn’t hold our breath!

For the full story link here

Posted in Accountancy and Audit, Charity, Contractors, General, Solicitors, Tax and Wealth Management | Comments Off

Eileen heads out to the Kumasi Street Project in Ghana…

Friday, August 6th, 2010

We’re very proud to wish our very own Eileen Goff the best of luck as she heads out as a volunteer to help the Kumasi Street Project in the Ashanti region of Ghana. Eileen heads up our Charities Team here at Carpenter Box and is volunteering through Accounting for International Development.

For more on this story and to keep up with Eileen’s news bookmark her blog page.

Posted in Accountancy and Audit, Charity, Community, Contractors, Eileen's Ghanaian Adventure, General, Solicitors, Tax and Wealth Management | Comments Off

Government publishes raft of tax consultations

Wednesday, July 28th, 2010

The government has taken the opportunity of the approaching Parliamentary summer break to issue a number of important consultation documents on the tax system. As well as inviting views on a series of tax changes, including a significant reform of the PAYE system, the government wants to hear what businesses have to say on plans to provide greater access to finance and to improving skills training.

In total the Treasury has issued nine consultation papers on various aspects of the personal and business tax system in what will amount to a far-reaching overhaul of the entire regime. For more on this story and to access the consultation papers link here.

Posted in Contractors, General, Tax and Wealth Management | Comments Off

At last – pension annuities no longer to be compulsory

Friday, July 23rd, 2010

We’re glad to report that at last, the government has announced that people will no longer be obliged to buy an annuity with their pensions.

Under the present rules, anyone with a personal or company pension reaching the age of 75 must purchase an annuity.

The annuity would then provide the fund member with a guaranteed pension income.

Although it possible to take 25 per cent of a pension pot as a lump sum, the remainder must go towards funding the annuity.

However, industry experts have argued that the arbitrary deadline forces some retirees into buying an annuity when market rates are low, so reducing the benefits to the pension scheme member. >> For more on this story link here.

If you want to discuss pensions and investments call Simon Fox at Carpenter Box Wealth Management LLP on 01903 534587 or send an email message here.

Posted in Contractors, General, Solicitors, Tax and Wealth Management | Comments Off

Self assessment tax date looming

Thursday, July 22nd, 2010

HMRC logo

Taxpayers are being reminded that the date for making the next set of self assessment tax payments will be arriving soon. For more on this story click here

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Tax simplification? We won’t hold our breath!

Wednesday, July 21st, 2010

The Government has confirmed that business tax is set to undergo a major overhaul and has launched its promised Office for Tax Simplification (OTS). OTS will carry out a comprehensive review of the small business tax system as well as the tax reliefs and allowances currently available. The government’s hope is that a streamlined tax regime will enable firms, particularly smaller enterprises, to become more competitive. >> more on this story

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New business can boost recovery

Tuesday, July 13th, 2010

Off the back of last week’s report that business investment was showing signs of recovery this week a think tank has concluded that removing obstacles to setting up new business can also help push up economic growth.

The Centre for Policy Studies (CPS) has argued that lighter business regulation, which would make it easier for enterprises to flourish, and raising the retirement age by five years from 2020 onwards would add between 0.5 per cent and 0.75 per cent to annual growth figures.

>> See more

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