Making Tax Digital

Making Tax Digital is a key part of the government’s plans to modernise the tax system - and signals the end of the annual return for millions of people. Every individual and business will now have access to their own personalised digital tax account. 

Although the legislation introducing the start of Making Tax Digital was dropped from the Finance Bill 2017 due to the general election, we do expect that it will be reintroduced by the new government.

The start date for Making Tax Digital will depend on the size and structure of your business and your accounting year end. However, Making Tax Digital is expected to be mandatory from April 2018 for businesses (including sole traders and partnerships) and taxpayers whose gross rental income before expenses is above the VAT threshold. Read more

You've got to be in it to win it

We are delighted to be sponsoring the Fast Growing Business Award in the forthcoming Maidenhead and Windsor Business Awards.

"Research shows that fast growing, innovative businesses contribute disproportionately to job creation – in fact, 6% of the firms with the highest growth rates created 50% of all new jobs in the period 2002 to 2008.” explains Daniel Reid, Partner at DRG Chartered Accountants.

“The Awards give local, fast growing businesses the opportunity to gain recognition and to increase their visibility in the area,” continues Daniel. “No business is too small to enter the Awards – and I would encourage young entrepreneurs to take this opportunity to showcase their businesses.” Read more

Gift vouchers for staff

From 6 April 2016 HMRC have provided further guidance on vouchers and these can now be allowed as a tax free gift and as a business expense. The new statutory rules include some relaxations to the pre 6 April 2016 position. For a benefit to qualify for the trivial benefits exemption, it must satisfy the following tests:

• The cost of the benefit cannot exceed £50 on each occasion (or the average across all employees) 
• The benefit cannot be cash or a cash-voucher i.e. be exchanged for cash 
• The employee cannot be contractually entitled to the benefit (including via a salary sacrifice arrangement) 
• The benefit is not provided in recognition of services performed by the employee. Read more