Princecroft Wllis Tax Update - Summer 2014

Welcome to our Summer Tax Update, designed to keep you up-to-date with the latest business and personal tax issues.

With Real Time Information PAYE reporting now in force for broadly all employers, we advise on the revised timetable to the introduction of penalties for failing to make returns or pay PAYE liabilities on time. Employers beware, do not get caught out.

From April 2015, savers may find themselves better off with the introduction of a significant increase in the starting rate for saving band and the reduction in the tax rate to 0%. Read our article to see if you can benefit from this change with a bit of planning. We also report that Individual Savings Accounts (ISAs) are about to get a makeover into New ISAs (NISA) with more flexibility and increased savings limits being introduced from 1 July.

Some married taxpayers may find themselves eligible to transfer a fixed amount of their personal allowance to their spouse from April 2015.

For those of you in business we update you on the availability and amount of tax relief available on qualifying Research & Development expenditure.

We consider the availability and the varying amount of the Annual Investment Allowance. The allowance, which is broadly due to businesses or owners of commercial property, is due on the purchase of qualifying plant and machinery. We consider the timing of expenditure and the interaction with the accounting date to help you maximise the relief due.

Employees may be interested and wish to take advantage of the increase in the amount of interest free loans available from their employer. Loans not exceeding £10,000 do not incur a benefit in kind tax charge.

The Government’s new Tax-Free Childcare scheme is set to be introduced in autumn 2015. We outline how the new scheme will work and the implications for those who currently benefit from Employer Supported Childcare.

 

 Download a PDF of the complete Summer Tax Update