click to call
add to contacts
request a call back
Contact Us
Contact Us

Ross Mcconnell Blog

Is Dealing With Your Tax Return Giving You Wrinkles?

by ROSS MCCONNELL on SEPTEMBER 09, 2019

Anyone Remember The Jaffa Cake Debate? The old adage used to be that there were only two certainties in life: death and taxes.  Now, with Making Tax Digital, it seems there’s even less opportunity to escape the latter.  Everyone knows that dealing with tax is never straightforward - whether it’s quarterly VAT returns, Corporation Tax or your personal Income Tax. In fact The American Psychological Association acknowledges the link between tax deadlines...

Domestic Reverse Charge

by ROSS MCCONNELL on JULY 01, 2019

Tax needn’t be taxing… but the Domestic Reverse Charge might be an exception If you work in the construction sector then HMRC’s new Domestic Reverse Charge (DRC) regulation means there is a good chance you will find the new VAT requirements a bit taxing to understand, let alone implement correctly. What is DRC? From 1 October 2019 DRC applies to qualifying work under the Construction Industry Scheme (CIS), which includes: · Groundworks or...

No Holiday In Sight With Digital Tax

by ROSS MCCONNELL on MAY 20, 2019

You might be feeling totally on top of making tax digital for VAT, which affected all businesses with a taxable turnover above £85,000 from 1 April 2019. Perhaps you’ve already submitted your first successful online return? If so, congratulations! But don’t relax just yet. HMRC has now announced that landlords with furnished holiday lets will be the next target audience to participate in a digital trial – this time for income tax,...

Pension Contributions

by ROSS MCCONNELL on MAY 06, 2019

Contributing To Unexpected Tax Bills? The focus on pension earnings has never been higher, as the government introduces measures to ensure that we are all saving regularly to help fund the lifestyle we plan to enjoy throughout our retirement years.  And as our incomes rise – hopefully – throughout our working lives, you might be aware that you can save increasing amounts towards your pension each year, using additional voluntary contributions...

Full State Pension Entitlement

by ROSS MCCONNELL on APRIL 29, 2019

For everyone reaching State Pension Age (SPA) your current maximum entitlement is just £164.35 per week. The amount may even  be lower, depending on your National Insurance (NI) record, so it's always a good idea to check. According to the Department for Work and Pensions, by 2020 just 85% of people reaching pension age will have at least 35 years of qualifying NICs, so don't leave it and then discover...

Are You Among The One In Five?

by ROSS MCCONNELL on APRIL 22, 2019

Making Tax Digital Making Tax Digital (MTD) is now live! So if your last VAT quarter ended on 31st March then you’re in!  But as you can’t officially sign up until after you file your last non-MTD VAT return, it might not be the right moment to register, yet.  By way of example, if your business has to file a VAT return for the February to April 2019 period, and it...

HMRC Bouquets

by ROSS MCCONNELL on APRIL 15, 2019

A Personal Apology With Your Tax Error Hands up if you have received flowers since 2014. Now keep your hand up if they were sent to you by HMRC.  No-one? Me neither, and frankly I’m a little disappointed. It turns out that HMRC spent £10,298 between 2014 and 2018 on flowers. The bouquets were given to taxpayers by way of an apology, after a mistake was made by HMRC, where the error...

Did You Give Your Staff A Bonus Last Friday?

by ROSS MCCONNELL on APRIL 08, 2019

National Minimum Wage Regulations 2015 This morning I have a little quiz for you. So, hopefully, you will all be aware that the National Minimum Wage and National Living Wage rose with effect from 1st April, to: · NLW (workers aged 25[plus]) — from £7.83 to £8.21 per hour. · NMW rates: workers aged 21–24 — from £7.38 to £7.70 per hour workers aged 18–20 — from £5.90 to £6.15 per hour workers aged 16–18 —...

HMRC Lose Their Taste For The Spotlight

by ROSS MCCONNELL on APRIL 01, 2019

When Is A Freelancer Not A Freelancer? Those of you with long memories and a sweet tooth will remember the debate around when is a cake not a cake – brought into focus when McVitie’s went to court against HMRC in 1991, to claim Jaffa Cakes were a chocolate covered cake (hence zero-rated) and not a chocolate covered biscuit, which was subject to VAT. McVitie’s won. This week the question HMRC...

Don't Let HMRC Have The Last Laugh On Self Assessment

by ROSS MCCONNELL on MARCH 25, 2019

This year, self assessment tax returns were due to be completed by nearly 12 million people in the UK. Primarily, this represents the self-employed, a sector that is growing year by year, but it also includes those with more than one source of income. Every January a national advertising campaign is run to remind this group to submit their form before the deadline for the preceding tax year –...

Is Your Child (Or Grandchild) Owed Money By HMRC?

by ROSS MCCONNELL on MARCH 18, 2019

CTF & Junior ISA Accounts If your child or grandchild is aged between 7 and 16 then you could make their birthday this year a little extra special.  Why just that age band?  Because the government might well owe some money to children who were born between 1 September 2002 and August 3, 2010!  It all goes back to a budget decision in 2002. The then Labour government decided they wanted to encourage...

Toasting The Taxman

by ROSS MCCONNELL on MARCH 11, 2019

No Inheritance Tax On UK Vineyards Says HMRC How’s this for a sobering statistic: annual commercial wine production in Great Britain is predicted to total 40 million bottles by 2040.  In 2017 alone, according to WineGB, one million new vines were planted in the UK and more than 6,300 acres were planted with vines that year alone. So the news that HMRC has updated its definition of what constitutes agricultural use of...

When Is A Scot Not A Scot?

by ROSS MCCONNELL on MARCH 04, 2019

HMRC Fails To Apply Correct Income Tax Rate So last week, you might have seen coverage in the press about HMRC wrongly failing to apply the Scottish rate of income tax to more than 30,000 UK taxpayers? What’s the issue? Well failing to recognise that these 30,000 plus individual taxpayers were actually resident in Scotland during the last tax year means that HMRC did not apply the Scottish rate of income tax...

Non-Refundable Deposits Are Now Subject To VAT

by ROSS MCCONNELL on FEBRUARY 27, 2019

How Will This Impact UK Businesses In 2019 This week’s advice is for anyone who takes a non-refundable deposit. The change to VAT regulations that takes effect on 1 March 2019 will impact you.  It regards the VAT position on deposits and pre- or staged payments where the original order goes unfulfilled if you, as the supplier/provider, have agreement to retain the deposit or down payment. This could apply to anything...