Newsletter 80

Headlines from our latest newsletter.  Please click on any of the links below for more information :

MORE HMRC GUIDANCE ON THE EMPLOYMENT ALLOWANCE

The Employment Allowance of up to £2,000 is available to most employers from 6 April 2014. - See more at: http://www.walkerthompson.co.uk/newsletters/Newsletter-80?viewunapprovedrecord=true#More

P11D FORMS DON’T GET THEM WRONG

HMRC have published a list of common errors in the completion of forms P11D and guidance that medical benefits for lower paid employees are not reportable. - See more at: http://www.walkerthompson.co.uk/newsletters/Newsletter-80?viewunapprovedrecord=true#P11D

SHARED PARENTAL LEAVE

The current system of statutory pay and leave entitlements for employed parents is to be reformed for babies due (or adopted children placed) on or after 5 April 2015. - See more at: http://www.walkerthompson.co.uk/newsletters/Newsletter-80?viewunapprovedrecord=true#Shared

ICEBREAKER TAX AVOIDANCE SCHEME REJECTED BY HMRC

In a high profile decision HMRC has won a case in which the Icebreaker partnership schemes were shut down, after the tribunal ruled it was set up to shelter more than £120m in tax. - See more at: http://www.walkerthompson.co.uk/newsletters/Newsletter-80?viewunapprovedrecord=true#Icebreaker

PAY YOUR PAYE ON TIME OR FACE IN-YEAR INTEREST ON LATE PAYMENTS

HMRC have issued further guidance on late payment interest on PAYE and CIS payments for 2014/15 onwards and how to avoid it. - See more at: http://www.walkerthompson.co.uk/newsletters/Newsletter-80?viewunapprovedrecord=true#Pay

VAT UPDATE AND FUEL SCALE CHARGES

HMRC have issued guidance on a number of VAT changes including confirmation of the updated VAT Fuel scale charges which apply from the beginning of the next prescribed VAT accounting period starting on or after 1 May 2014 - See more at: http://www.walkerthompson.co.uk/newsletters/Newsletter-80?viewunapprovedrecord=true#VAT

PROPOSED NEW RULES FOR EASIER PROSECUTION OF OFFSHORE TAX EVADERS

The government will consult on plans to introduce a new strict liability criminal offence for individuals who hide their money offshore. - See more at: http://www.walkerthompson.co.uk/newsletters/Newsletter-80?viewunapprovedrecord=true#Proposed

LATE PAYMENTS TO SMALLER BUSINESSES ON THE INCREASE

According to a recent survey by the Forum of Private Business (FPB) almost one in four smaller businesses experienced an increase in the number of late payments during 2013. - See more at: http://www.walkerthompson.co.uk/newsletters/Newsletter-80?viewunapprovedrecord=true#Late

VAT Place of supply of digital services and VAT Mini One Stop Shop (MOSS) guidance

On 1 January 2015, new VAT place of supply rules will come into effect for business to consumer transactions (B2C) supplies of broadcasting, telecommunications and e-services (‘digital services’).

The current VAT place of supply rules for business to business (B2B) supplies are unaffected.

The primary purpose of this guidance is to provide UK businesses with information in the period leading up to the 1 January 2015 implementation date. This is to help them to prepare for the rule change, as well as to decide whether or not they want to register to use the related EU VAT Mini One Stop Shop (MOSS) simplification scheme.

It should be noted that the European Commission has published detailed Explanatory Notes, giving its view on how the VAT place of supply of services and VAT MOSS legislation should be interpreted and applied across the EU.

It is recommended that businesses also consult this guidance, which can be found on the Commission’s DG TAXUD website.

Although the Notes are not binding on Member States, they have been produced in consultation with tax authorities and businesses from across the EU.

The Bribery Act

The City of London Police have issued an extremely positive video message in respect of anti corruption under The Bribery Act. Businesses with overseas trade would be well advised to watch it and where required put in place suitable measures to prevent the possible consequences.  City of London Police Overseas Anti Corruption Unit