Is it time to review your corporate structure?

Recent changes could affect the tax payable by people who own several companies.

With effect from 1st April 2023, corporation tax for companies whose taxable profits exceed £250,000 have increased from 19% to 25% . Companies with profits of less than £50,000 will still be charged at the current 19% rate - whilst companies with taxable profits of between £50,000 and £250,000 will pay tax at 25%, reduced by marginal relief so that in effect the tax payable will be on a sliding scale of between 19% and 25%.

As these taxable profit limits are now divided equally amongst all associated companies, now might be a good time to review your company structure and perhaps rationalise the number of companies that you own?

The rules surrounding associated companies are complex. Please do get in touch with the RA Accountants' tax team to discuss possible courses of action - we would be very pleased to hear from you.

Employment status of Associate Dentists

For years, HMRC accepted that associate dentists can be treated as self-employed rather than as employees of the dental practice where they work. However, this informal agreement ended on 5 April 2023.

Where a contract for engaging an associate dentist runs from or over 6 April 2023, HMRC recommends that the Dental Practice should use the Check Employment Status for Tax ( CEST ) tool to establish whether the associate dentist should be treated as an employee or self-employed.

If you are an associate dentist and have any questions about your employment status, please do get in touch with the team at RA Accountants.

Come and see us!

The RA Accountants team will be supporting a number of events over the next few months. If you are attending them, why not make an appointment in advance to have a chat with us. We would be very pleased to see you.

• British and International Franchise Show
  9th- 10th June, Olympia London
   
• Professional Conferences Dental CPD event
  23rd June - Bristol
   
• The Dentistry Show
  6th - 7th October - ExCel, London
   
• The Pharmacy Show
  15th - 16th October - NEC, Birmingham

Approaching deadlines

• The Annual Tax on Enveloped Dwellings (ATED) filing deadline is 30th April.
  Companies that own UK residential property over £500,000 must file an ATED return and pay any tax due by the 30th April 2023. Read more
   
• The P11D deadline for the 2022-23 tax year is 6 July 2023 and the payment deadline is 22 July 2023.
  You have a legal obligation to report any expenses and benefits to HMRC at the end of the tax year. Your P11D must be filed by 6 July for the previous tax year, and any taxes must be paid by 22 July 2023. Please note that paper submissions are no longer accepted Read more

RA Accountants team celebrates Eid

This week the RA Accountants team hosted an Eid lunch. Abdul Hafeez, Partner at RA Accountants commented "We are really pleased to have the opportunity to mark Eid all together by enjoying a wonderful lunch in our office."