The "Annual Tax on Enveloped Dwellings" came into force on 1 April 2013 in respect of UK residential properties worth over £2million and owned by companies or by corporate partnerships.
The tax and the return for the year to 31 March 2015 must both be dealt with by 30 April 2014. The amount of the tax charge depends on the value of the property and currently ranges from £15,000 up to a maximum of £140,000: so valuations may in some cases need to be obtained before making the return.
Although there are a number of exemptions from the regime covering property developers, investors and dealers, an annual "nil return" is nonetheless required in these cases, on which any exemption from the tax must be claimed.
HMRC have issued a revised booklet in respect of Motoring Expenses. To view the new leaflet 700/64 Issued Feb 2014 click here.
HMRC has announced the official rate of interest for 2014/15. It will be 3.25%, a fall from the current rate of 4%.
The official rate of interest is used in calculating the benefit-in-kind charge on beneficial loans to employees and on living accommodation provided for an employee or director. It is also use in calculating the pre-owned asset charge on assets other than land.
The current (2013/14) rate is 4%, and has been unchanged since 6 April 2010. The 3.25% rate takes effect from 6 April 2014.
The rate is subject to review in the event of significant rate changes during the year.
A list of the current and previous rates is on the HMRC website.
HMRC has published guidance for businesses and charities on how to claim the new employment allowance.
This allowance will reduce employers' Class 1 National Insurance contributions (NICs) by up to £2,000 every tax year from 2014/15. The allowance is set against the employer’s entire NIC liability each week or month until the maximum £2,000 entitlement is used up. It cannot be set against Class 1A or Class 1B employer NIC.
HMRC has published draft regulations which set out the National Insurance contributions rates, thresholds and limits for the 2014/15 tax year - click here for more information
The values of van benefit, car fuel benefit and van fuel benefit have been set for 2014/15:
- Van benefit: £3,090
- Van fuel benefit: £581
- Car fuel benefit: £21,700
The van benefit is the cash equivalent of a van made available to an employee for private use.
The van fuel benefit is the cash equivalent of fuel for private use in a van to which the van benefit applies.
Businesses trading in goods with other EU Member States should note new Intrastat thresholds from 1 January 2014 HMRC has issued Revenue & Customs Brief 38/13 to notify businesses trading in goods with other EU Member States of changes to the Intrastat thresholds from 1 January 2014.
The government announced the proposed benefit and pension rates for 2014/15 in December 2013.
The basic state pension for 2014/15 will be £113.10. The list also covers statutory payments (sick pay, maternity pay etc) and universal credit.
Most increases will take place in the first full week of the tax year, ie the week beginning 7 April 2014.
The filing deadline is fast approaching. Taxpayers submitting tax returns SA100, SA700,SA800 & SA900 will no doubt be aware that the filing deadline is 31 January 2014. Returns submitted late will be liable to late filing penalties, irrespective of whether there is a liability or not.
HMRC have issued an update to their leaflet "VAT and The Single Market" - booklet 725.
The new leaflet can be downloaded by clicking here. This notice has been revised to reflect the following changes:
1 Paragraph 16.19 - VAT registration numbers in other Member States.
2 Introduction of Croatia with effect from 1 July 2013 and changes to Ireland