Nichola's SME Tax W-update 5 May 2022

Hello

We are looking closely at 'What's new for Property owners' this week with a special CPD update. We also have a new HMRC Trusts and Estate newsletter and some news of changes to the remittance basis.

There has been a lot of talk this week over a windfall tax for oil companies. Without more details it's hard to know exactly how much of a cushion against the cost of living crisis such a measure would provide, but one's things for sure, it will not help de-carbonise the atmosphere. We are all seeing many sorts of costs rise, and no thanks to President Putin's insanity in waging a totally needless war with Ukraine.

One thing that would be incredibly useful for individual home owners and businesses right now would be a free resource that we can tap into to show us how we can take parts of our homes/businesses off-grid. We know what we need, in theory: some PV panels, some solar panels and/or a wind turbine, a converter and an electric car battery. Is it worth trying to add an air-source heat pump? How do we set this up and wire this into our premises? Are there any guides that can help us decide what to buy? There are government grants for most of these things, but no one has yet made a decent YouTube video that explains it all. Possibly there is too much to explain, however, a comprehensive website like the one that I am writing from now would certainly help our understanding of how these various eco components actually work.

So, I am issuing a challenge: someone come forward to help get such a project off the ground and I will happily give my assistance, for free, in designing and creating a cost-efficient and user-friendly website for it.

More updates and CPD below.

Back soon, 

Nichola Ross Martin FCA CTA (Fellow)
Tax Director

www.rossmartin.co.uk

Your Virtual Tax Partner® online PRACTICAL support for accountants, tax advisers BY accountants and tax advisers.

Quick News (Freeview) 

Trusts and Estates: What’s New May 2022 
HMRC's latest Trusts and Estates newsletter contains some useful information. Here is our enhanced version. 

Increase in tax receipts down to COVID VAT deferral scheme 
HMRC has recently published statistics showing an increase in tax and National Insurance receipts in the period to 31 March 2022 of £134bn compared to the March 2021 figures. This is a 23% increase.

Changes to Remittance basis concession on overseas loans
Updated to include a technical note from the ICAEW, STEP and CIOT.

Editor's Pick (subscribers)

Land & Property: an Adviser's Tax Update April 2022
NEW: a topical CPD update, what's new and what's interesting in 2022, with planning points, and case examples for subscribers. 

Tax Calcs
NEW: Our tax calculators instantly calculate income tax on any combination of salary v. dividend v. salary+dividend, claim the Employer's Allowance or not. We also have a self-employed tax calculator and a day counter.

Guides & Updates (subscribers)

Self-employed

Accounts: Tax Checklist (self-employed)
UPDATE: This is a checklist to assist you in preparing accounts and to highlight key areas of discussion with your sole trader clients. 

Partnership agreements: What should be considered?
UPDATE: Partnership agreements can be invaluable to clarify everyday matters and settle disputes within a partnership. What sort of things should be discussed for inclusion in a partnership agreement?

Companies

Share capital: What's an ordinary share?
What is an ordinary share? Why is it important?

Losses: Trading and other losses
UPDATE: When can a company offset its losses? What restrictions are there? How are loss claims made?

Overseas

Remittance basis (overseas income)
What is the remittance basis? Who can claim it and when? What are the advantages of claiming the remittance basis and how much is the remittance basis charge?

Non-resident Tax Toolkit
UPDATE: This toolkit covers the key UK tax issues for non-UK resident individuals holding UK assets and property and working in the UK.

Employers 

Termination, redundancy and leaving payments
UPDATE: How are redundancy and termination payments taxed? What amounts can be paid tax-free? What amounts are taxable as earnings?

Private Client & Estate Planning 

Trust Registration Service
UPDATE: What is the Trust Registration Service? What trusts does it apply to? What are the requirements and deadlines?

IHT: Estate planning checklist
UPDATE: This checklist covers some of the essential planning points that taxpayers should know when planning for their estate and Inheritance Tax (IHT).

Tax Cases (freeview)

Failing to file not deliberate for discovery purposes  
In Robert Don Hunter Dougan v HMRC [2022] TC8471, the First Tier Tribunal (FTT) ruled the taxpayer had not deliberately intended to bring about a loss of tax despite failing to file tax returns on time, this meant some discovery assessments had not been validly issued.  The remaining discovery assessment was upheld.

Late appeal allowed due to EIS fraud
In J Huntly v HMRC [2022] TC08466, the First Tier Tribunal (FTT) accepted that the delay to the filing of a late appeal was significant and serious but justified under the circumstances of known fraud, Covid-19 and working on offshore rigs. With the late appeal allowed, the case will be joined with nine other victims of Capital Allowances Consulting Limited (CAC).

HMRC errors scupper discovery assessments  
In Caroline Sweby v HMRC [2022] TC08453, the First Tier Tribunal (FTT) refused HMRC’s attempt to extend time limits to serve their statement of case. HMRC had failed to follow the correct procedures and were time-barred from pursuing their appeal

VAT Cases & Guides 

Transfer of a going concern (TOGC)
What is a TOGC? What conditions must be met? What are the consequences of a TOGC? What case law is there? 

Opting to tax land and property
UPDATE: What is an option to tax? What do I need to do to opt to tax? What happens if I buy an opted property?

Tax Tools 

Tax Tools
Be a winner with our game-changing tax diagnostics tools for Business Asset Disposal Relief, SDLT & annexes/subsidiary properties, Company reorganisations, R & D Zone and TAAR on winding up. Sign up now!

Tax Queries?

Virtual Tax Partner© Support
Have a tax query? Need a second option? Open a ticket and ask a question. A team of tax experts with a very wide range of expertise: covering direct and indirect tax, as well as accounting, R&D claims, reorganisations and much more. 

CPD for lunch 

Byte-sized chunks of CPD for subscribers

• CPD: Business Asset Disposal Relief
• CPD: Appeals: How to Appeal a Tax Penalty
• CPD: VAT: Land and Property

More at CPD Index

Missed last time's Web-update?

Nichola's SME Tax W-update 28 April 2022

• Agent update: April 2022 
• Consultation on Income Tax for low-income trusts and estates
• Elite fraud squad to track COVID lost billions
• COVID-19 Grant funding for business
• Tax Calcs
• No discovery due to unauthorised agent  
• Kaye Adams: IR35 rules outfox Upper Tribunal
• TalkSPORT presenter’s IR35 appeal kicked out
• Do I pay a salary or dividend? 2022/23 
• Tax-efficient extraction of profits: Toolkit (2022/23)
• Directors: Tax planning toolkit for 2022/23
• Business Investment Relief
• Auto-enrolment: Workplace pensions (subscriber guide)
• 2021/22 Self Assessment tax return toolkit 
• Savings income: How interest is taxed  ...More 

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