Directors’ loan accounts – The 30-day rule
Interest rates are coming down, but HMRC’s official rate of interest (ORI) for employee loans has increased to 3.75% per annum (6 April 2025), and, …
Checking your tax code
The tax code is fundamental to the operation of PAYE. An employee’s tax code provides the employer with the information needed to deduct the correct …
Paying sufficient salary to get a qualifying year for state pension purposes
There are various ways in which profits can be extracted from a personal or family company. A popular and tax-efficient extraction strategy is to pay …
Information that must be included on a VAT invoice
A VAT invoice is an invoice that contains information required by the VAT regulations. A VAT invoice can only be issued by a business that …
Class 2 NIC (National Insurance contributions) charged in error
The liability for self-employed earners to pay Class 2 NIC was abolished with effect from 6 April 2024. Now Class 2 National Insurance is a …
IHT charge on unused pension benefits
From 6 April 2027, inheritance tax will be payable where someone’s estate at death includes unused pension funds or death benefits. The measure was announced …
Using former FHL losses
From 6 April 2025, furnished holiday lets are treated in the same way as other lets for tax purposes. Landlords letting both holiday accommodation and …
Holiday lets and business rates
Although the end of the tax regime for furnished holiday lettings relieved landlords of the need to keep track of the number of days for …
Earn tax-free income from renting out your garage
There is a demand for garage space, particularly from tradespeople who want somewhere to store their tools safely rather than leaving them in their van …
Credit notes or VAT bad debt relief claim – which?
Bad debts pose a significant challenge for every business. Staying on top of non-payments is essential for maintaining a healthy cash flow and ensuring the …
The tax consequences of not repaying an ‘illegal dividend’
Dividends can only be declared out of a company’s available undistributed profits and even if the bank account is in credit as at the date …
The tax position when partners do not receive the profit share they are allocated
In a partnership, the activities are considered to be conducted by the individual partners rather than the partnership itself, as a partnership is not a …
