News and Views

The Government is consulting on an extension to HMRC’s existing debt recovery powers that would allow lower-value tax debts to be recovered through affordable monthly deductions from taxpayers’ bank and building society accounts. HMRC already has powers to recover certain tax debts directly from bank accounts in limited circumstances. The consultation proposes extending those powers […]

Many UK businesses now borrow money from overseas lenders or form part of international business groups. Where interest is paid outside the UK, the tax rules can become surprisingly complicated. HMRC has now launched a consultation that could make one aspect of those rules much simpler. Why are the rules so complicated? In some circumstances, […]

Research and Development (R&D) tax relief has helped thousands of innovative UK businesses recover some of the costs of developing new products, improving processes and overcoming technical challenges. However, recent reports suggest that many genuine businesses are no longer making claims because they fear becoming caught up in HMRC’s crackdown on abuse of the scheme. […]

Electricity bills to be zero rated from October 2026 Source of the update The Government has announced that VAT on domestic electricity supplies will be reduced from the current 5% rate to 0% from 1 October 2026. The measure is intended to reduce household energy costs and provide additional support during the winter months. Who […]

Artificial intelligence is rapidly becoming part of everyday business. From drafting emails and analysing data to producing marketing content and improving customer service, AI offers exciting opportunities for businesses of every size. However, as recent guidance from the accountancy profession makes clear, adopting AI successfully requires more than simply choosing the latest software. Businesses also […]

If you complete a Self-Assessment tax return, or expect to do so in the coming months, it is worth taking a few minutes to check that the information HMRC holds about your State Pension is correct. HMRC has recently identified an issue affecting some taxpayers where the amount of State Pension included in tax calculations […]

Source of the update The Institute of Chartered Accountants in England & Wales (ICAEW) has reported that HMRC has identified an error affecting some taxpayers where incorrect State Pension figures were used in certain PAYE end of year reconciliations, Self-Assessment pre-populated data and Simple Assessment calculations. The issue came to light following a letter from […]

Companies House continues to introduce significant reforms that will change the way companies are administered in the UK. The changes are being implemented in stages following the Economic Crime and Corporate Transparency Act and are intended to improve the accuracy of the Companies House register, reduce opportunities for fraud and strengthen confidence in UK businesses. […]

Many owner-managed companies focus on extracting profits through salary or dividends, but pension contributions are sometimes overlooked. Used correctly, employer pension contributions can be one of the most effective ways of rewarding directors while helping to build long-term financial security. Unlike salary payments, employer pension contributions are not normally subject to Income Tax or National […]