IMPORTANT ANNOUNCEMENT to all Everett King Clients:

Good day all. 

As summer draws to a close, there are several important tax, employment and compliance developments that businesses should be aware of.

From changes affecting hospitality businesses to the continued rollout of Making Tax Digital and Companies House identity verification, August is a good time to review your records, check your compliance and prepare for the months ahead.

Here are this month’s key updates from Everett King.

Visit our website at ww.everettking.co.uk

Hospitality: 5% VAT on children’s meals ends 1 September

One of the most relevant changes for restaurants, pubs, cafés and other hospitality businesses this summer has been the temporary reduction in VAT on qualifying children’s meals.

From 25 June to 1 September 2026, VAT on qualifying children’s meals supplied as part of catering services has been reduced from 20% to 5%.

The relief applies where the meal is held out for sale specifically as a children’s meal and is supplied by a restaurant, café or similar establishment for consumption on the premises. HMRC generally treats a child as someone under 18 for this measure.

What does this mean for your business?

If you have been applying the temporary 5% rate, make sure your EPOS, till and accounting systems are ready to return qualifying children's meals to the appropriate VAT treatment from 2 September 2026.

It is also worth checking that your VAT records clearly distinguish qualifying children's meals from standard-rated food and drink.

Everett King tip:
Don't wait until September to change your systems. Contact Your Everett King Single Point of Contact for more information alternatively email us at: advice@everettking.co.uk

Making Tax Digital: the first quarterly deadline has passed

Making Tax Digital for Income Tax is now a reality for many sole traders and landlords.

On the 6 April 2026, sole traders and landlords with qualifying income above £50,000 have been required to use Making Tax Digital for Income Tax.

The first quarterly update for the 2026/27 tax year was due by 7 August 2026. The next quarterly update deadline is 7 November 2026.

If you were required to submit your first update but have not yet done so, HMRC has indicated that reminders will be issued to customers who missed the deadline.

What should you do now?

If you are within MTD, make sure you are:

• Keeping your business records digitally.
• Using compatible software.
• Recording income and allowable expenses accurately.
• Keeping your records up to date throughout the year.
• Preparing for the next quarterly update by 7 November.

For businesses already using cloud accounting software, now is a good time to make sure your bookkeeping process is working efficiently rather than simply waiting for the next deadline.

Not sure whether MTD applies to you?

Contact Your Everett King Single Point of Contact for more information alternatively our Expert Tax Advisory Team:

Alice; alice.treaner-harvey@everettking.co.uk

David; david.everett@everettking.co.uk

Matthew; matthew.russell@everettking.co.uk
 

Looking ahead: November

For businesses affected by Making Tax Digital for Income Tax, the next major quarterly deadline is:

7 November 2026

This will be the second quarterly update deadline for the 2026/27 tax year for customers using the standard update periods.

If you are currently catching up with your bookkeeping, September and October are an ideal opportunity to get your records organised before the next deadline.

Pubs and live music venues: Business Rates Relief

There has also been an important change to business rates support for eligible pubs and live music venues.

For the 2026/27 billing year, eligible pubs and live music venues can receive 15% business rates relief.

The relief applies from 1 April 2026 to 31 March 2027, with no cash cap on the amount of relief available to eligible properties.

This replaces the previous Retail, Hospitality and Leisure Relief scheme, which ended on 31 March 2026.

If you operate a pub or live music venue, check your latest business rates bill to make sure the appropriate relief has been applied.

If something doesn't look right, your local billing authority should be your first point of contact.

Contact Your Everett King Single Point of Contact for more information alternatively our Advisory & Stock Taking Team:

Brian; brian.phillips@everettking.co.uk

Dawn; dawn.lake@everettking.co.uk

How Everett King Can Support You

At Everett King, we understand that running a business is about much more than submitting accounts and tax returns.

Whether you're running a pub, restaurant, property business or growing SME, keeping on top of your numbers and regulatory responsibilities gives you a much stronger foundation for making decisions.

Our team can support you with:

Accountancy | Bookkeeping | Payroll | Tax | Business Advisory | Stocktaking | Valuations | Company Formation

If you are unsure how any of the changes above affect your business, please speak to a member of the Everett King team.

Need advice?

Contact Your Everett King Single Point of Contact This Week to schedule a 20–30 minute business resilience review.

Call us on 0844 745 2077 or email abdi.ibrahim@everettking.co.uk to get on the calendar.

Not Sure Who Your Single Point of Contact Is? Use the same details above to find out who Your Everett King Single Point of Contact is.

In Summary

If you have any questions or would like tailored advice for your business, please don’t hesitate to reach out. Contact us today at advice@everettking.co.uk or give us a call at: 0844 745 2077 , we’re here for you!

Warm regards,

The Everett King Team of Staff

Contact Everett King for professional advice.

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This newsletter is intended as a general business update and does not constitute personal tax, accounting or legal advice. Rules and guidance can change, so please contact Everett King for advice based on your individual circumstances.

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At Everett King, our focus is on supporting you with a comprehensive accountancy service, taking care of everything from tax returns to HMRC compliance, payroll services to bookkeeping, stocktaking and consultancy, with full advice whenever you need it.