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Archive for February, 2007

New fuel rates for company cars

HMRC has published new tax free mileage rates that can be used to reimburse busines journeys travelled in company cars. The rates are effective from 1 February 2007.

VAT or no VAT?

ITEMS ON WHICH THERE IS NO VAT TO RECLAIM
• the purchase of motor cars
• business entertainment
• goods bought under one of the second-hand schemes
• purchases for personal or private use
• purchases for non-business activities
• private accommodation for directors (but not hotel accommodation when away on business).
Specific examples
• books and technical manuals
• customer entertaining (but staff entertaining is OK)
• director’s private expenditure
• insurance
• train, bus and airfares
• Royal […]

PAYE online incentives to be reclaimed

If you have recevied the £250 tax incentive for filing your PAYE forms online over the last 2 years, beware! The Taxman has announced that he may be seeking to reclaim some of the monies if the company was set up for tax reasons rather than commercial reasons.

2007 Budget

Gordon Brown has set 21 March for what could be his last Budget speech.

Employ your children

Normally, you will pay pocket money to your children out of your after tax (net) income. Here’s a way to pay them out of pre tax income so reducing the tax bill for your business and yet ensuring no income tax is payable by the recipients.
- Firstly, you should ensure you can legally employ […]

Phone calls with the Tax office

Many of us will have experienced the problem where we take advice from the Tax office only to later find its wrong and when we call again and speak to someone else they give different and conflicting advice. Often this problem is compounded if the individuals refuse to give their name as you then […]