Supporting homeworking employees: tax reliefs available to them
With the announcement that schools will close to most pupils, almost everyone who can work at home will be doing so from 23 March if they are not already. This follows the PM’s call to “stop non-essential contact with others and stop all unnecessary travel”. Setting aside the logistical, technological and data security issues of…
READ MORENot for profit VAT update for Coronavirus
Coronavirus VAT changes Several VAT relaxation measures have been implemented by HMRC to reflect the current Coronavirus pandemic. If you are a UK VAT-registered organisation and have a VAT payment due between 20 March 2020 and 30 June 2020, you have the option to: defer the payment until a later date, or pay the VAT…
READ MOREAccounting for furlough payments
While businesses are focused on managing their cash flow and taking the steps needed to operate in the Coronavirus world, the last thing on their mind will be the accounting treatment of the furlough grants that more than 800,000 employers have been claiming. However, as some of our clients have been asking us the question,…
READ MORECoronavirus: new 100% government-backed bounce back loan scheme
In another measure designed to ease pressure on businesses affected by the Coronavirus crisis and keep small businesses operating, the government announced on 27 April a new 100% government-backed loan scheme for small and medium businesses. Eligible businesses will be able to borrow between £2,000 and £50,000 Loans will be interest-free for the first 12…
READ MOREMitigating the impact of Coronavirus on earn-outs
Many shareholders of marketing services and media businesses will be familiar with the concept of an earn-out in the context of a company sale. An earn-out arrangement involves the buyer paying a certain percentage of the overall deal value at completion, with the remainder due to be paid over a period of time. Normally, this…
READ MORELow asset values affecting inheritance and capital gains tax
The current economic climate has seen the value of businesses, investments and property fall. While the future is still uncertain, it would be good to consider how to take advantage of depressed asset values. When market values are low is a good opportunity to gift assets to family members that may have otherwise attracted a…
READ MOREJob retention scheme – implications for Tier 2 sponsors of work permits
After much anticipation, the Home Office released guidance on 27 March covering the “furloughing” of employees working in the UK on a Tier 2 visas. In particular, the (very brief) guidance set out the circumstances where the sponsored individual’s salary can be reduced without causing the sponsoring employer to be in breach of their immigration…
READ MOREGift Aid on ticket refunds waived for cancelled events
Ticket refunds for cancelled shows that are converted into donations with agreement from the customers are now eligible for Gift Aid for charitable organisations. The proviso is that customers complete a Gift Aid declaration, so there is no need for the charities to refund the money and ask for it back again. In the current…
READ MORECoronavirus support: scammers pose as HMRC
From discussions with clients and other business people, it would appear that many have received bogus emails from scammers posing as HMRC in connection to the government support that is available to businesses affected by Coronavirus. To be very clear, HMRC does not text individuals and they only use emails in a very limited set…
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