Setting up a new business is not merely about innovative ideas or immense passion. It also demands careful planning and research. Running a thriving business is not without its obstacles, however, the potential for rewards makes it a journey worth undertaking. It is all about giving your business the best possible chance for success. Understand your market The first consideration should be what market you are planning to enter. Understanding the market is not just about identifying a gap or a problem that your product or service solves. It involves a deep understanding of the target customers ..read more

The UK Government has long encouraged businesses to invest in R&D projects, believing it to be at the forefront of economic growth.   R&D tax reliefs are, therefore, lucrative and aimed at both Small and Medium Sized Enterprises (SMEs) and larger organisations.   However, companies involved in R&D projects should be aware of the Government’s recent reforms to the R&D tax reliefs, which came into force in April 2023.  R&D tax relief for SMEs  Up until 31 March 2023, the Government allowed profitable Small and Medium Enterprises (SMEs) working on ..read more

The loss of a loved one is an emotionally challenging time for families. Amidst the grief, the probate process adds an additional layer of complexity, particularly when it comes to dealing with property. In this article, we will explore the intricacies of selling property during the probate process, offering helpful tips and guidance to ensure a smooth and hassle-free experience. Understanding probate Probate is the legal procedure by which a deceased person’s estate is administered and distributed according to their Will or the intestacy rules, if no valid Will exists. It’s essential to under ..read more

The Government is looking to introduce the Renters Reform Bill, which if made law, will be the biggest shake-up to housing laws in forty years.   Whilst the Bill will have implications for the 11 million renters in the UK, landlords have been advised to ensure that they are up to date with their taxes, as the Bill can potentially give  HM Revenue & Customs (HMRC) more power to investigate compliance within the housing sector.   As part of the Bill, it has been proposed that a database be created with details of landlords and their properties let under residential t ..read more

Benefits in Kind (BIK) cover a number of different perks or additional payments made by employers to their employees. They can include any of the following: Private Healthcare Loans Company cars Gym memberships And much more. The above are all taxable benefits, and it is an employer’s responsibility to ensure they are noted on a P11D form, which is submitted on an annual basis to HM Revenue & Customs (HMRC). It is worth noting that certain expenses should also be added to the P11D form. However, there are many different types of expenses with their own complicated rules, so it is best to ..read more

The way in which Student Loans are repaid is changing and employers need to be prepared. Currently, graduates and students who have taken out student loans are required to repay their loan when they earn an annual salary of £27,295 or more, with repayments at a rate of nine per cent on any income earned above this threshold. The threshold is then adjusted annually for inflation following the Retail Price Index. However, starting from the academic year 2023/24 a new student loan plan will be introduced. Known as Plan 5, the changes affect those taking out loans on or after 1 August 2023. F ..read more

Changes to personal tax allowances and higher interest rates have seen a growing number of people being affected by fiscal drag. Fiscal drag is the phenomenon where taxpayers are pushed into higher tax brackets due to wage increases as they keep pace with inflation. With the UK Government freezing most tax bands until 2028, and reducing the threshold on the additional marginal rate, fiscal drag can have a significant impact on the finances of people across different income levels. Rising inflation Due to rising inflation and to some degree economic growth, wages have risen from £406 a week to ..read more

The Residence Nil Band Rate (RNRB) was introduced by the Government in 2017 and benefits families passing on their main property to a direct descendent. Since its introduction, millions of families around the UK have benefitted from its ability to minimise Inheritance Tax (IHT) bills. Will the RNRB mean paying less IHT? As of the 2023/24 tax year, the basic Nil-Rate Band allowance on IHT is £325,000. The RNRB gives you an additional tax-free allowance of £175,000, where your main property is passed to a direct descendant. This means that the first £500,000 of your estate will be free of IHT. T ..read more

Residential landlords are the latest group to have been targeted in receiving ‘nudge’ letters from HM Revenue & Customs (HMRC). The letters are part of a targeted ‘nudge’ campaign from HMRC to remind landlords of their obligation to declare their full rental income. What is a ‘nudge’ letter HMRC has used what has become known as ‘nudge’ letters since 2017. These communications are designed to prompt a response from the recipient by offering reduced fines for a declaration of unpaid tax. The method has been used on numerous occasions, issuing them to taxpayers who hold overseas bank account ..read more

The High Income Child Benefit Charge (HICBC) was introduced in 2013 and was set up to charge tax on individuals claiming child benefits who were earning a yearly income in excess of £50,000. The tax charges equate to the following: One per cent of the total Child Benefit received for every £100 earned over £50,000 100 per cent of the total Child Benefit received for individuals earning over £60,000 annually A decade has now passed since the introduction of the HICBC, and these thresholds have never changed, meaning more and more people are passing beyond the threshold and into the territory ..read more