We are deeply saddened by the death of Her Majesty The Queen. She has been an integral part of the context and fabric of life in the United Kingdom for more than seven decades and has served with a sense of duty and dedication that is truly exceptional. All at Harbour Key send our heartfelt sympathy to the Royal Family.
Our office will be closed, and staff will not be working on the day of Her Majesty’s funeral, Monday 19 September.
The death of the Queen and the appointment of a new Prime Minister, who is taking up post when the UK is in a very difficult economic position, particularly in respect of energy costs, has made the start to September busy. Following the Government’s energy announcement and having followed the Conservatives Leadership election in respect of all matters tax(!), you can find our view on what tax changes could be upcoming on our blog below. A fiscal event (Budget) is promised before the end of the month.
- Staff Retention –According to a Federation of Small Business ‘Scaling up Skills’ report, eight in ten small businesses are finding it difficult to retain staff. 78% of small firms are currently struggling to recruit the right people, with 82% citing a lack of relevant qualifications, skills, and experience among candidates. The report pretty much backs up the discussions we are having with our clients, who have the same issue and, in addition to the pressure of rising energy costs, are the biggest issues restricting business growth.
- Business sales increase – Mazars (an international accountancy practice) have commissioned a report which confirms our own experience, that spikes in business closures or sales have been occurring for several years in a row, with many of these closures/sales being premature and costing the economy jobs. Fears by business owners over increases in taxes on entrepreneurs (the 10% CGT rate on business sales) have seen the run-up to Budget Day reportedly trigger a 71% jump in the number of businesses deciding to close/sell, according to the Mazars study. (The reason we are always busy in the run up to a Budget).
- Treasury collects highest capital gains tax haul - The Treasury confirmed it collected the highest amount of capital gains tax (CGT) on record in the tax year just ended, with a crackdown on buy-to-let properties and soaring house prices responsible for a 42% gain for the Treasury. Tax paid on capital gains rose to £14.3bn after an all-time high of 323,000 people were forced to pay the duty, with the average bill hitting £44,272.
- Trust Registrations- All UK trusts, apart from a few exceptions and some non-UK trusts in existence on or after 6 October 2020, had to register with HMRC by 1 September 2022, including trusts that have closed since that date. More details can be found in our July newsletter.
HM Revenue & Customs has announced that plans to fine people £5,000 if they fail to comply registration will be waved, providing it’s not deliberate.HMRC state there will be no fine for a first offence unless it is considered deliberate. Only after a warning letter will a £5,000 fine apply. If you have not yet registered your trust, then you should act immediately.
DATES FOR YOUR DIARY
- 30 September 2022 - Corporation tax payment due for those business with tax to pay for 31 December 2022 financial year.
- 5 October 2022 - Deadline for Self-Assessment registration to notify chargeability of Income Tax/Capital Gains Tax for 2021/22.
- 19 October 2022- Tax and Class 1B NICs on PAYE settlement agreements (PSA) due for 2021–22 paid non electronically.
- 30 October 2022 - Tax and Class 1B NICs on PAYE settlement agreements (PSA) due for 2021-22 paid electronically.
Should you wish to speak with us about a specific matter, or just to be a sounding board or for a chat, please do not hesitate to give us a call.
Please do not hesitate to give us a call us on 01452 713277