The volume of new legislation contained in the 2013 Finance Bill and added by Budget 2013 is eye-watering for SME advisers. Fear not, we have now updated our rolling CPD planner. This provides us with a summary of the key tax developments and announcements which will affect the world of SME tax between 2012/13 to 2014/15. I can't live with out it and I even have it on my Kindle - a great way to stay up to date with the new rules for each area of tax.

This time we have many new guides and updates including our new Cash basis and Fixed Rate Expenses toolkits. Do note that as the Finance Bill goes through Parliament changes may be made, so as always, don't download, keep reading from the site.

Hot news from last week is the decision by PA Holdings not to appeal to the Supreme Court. We have an update on our guidance on the situations where NICs might apply to a dividend together with a case summary and commentary.

IR35 is also a key topic again following the April changes which bring office holders into the regime. Those providing non-executive directorships and part-time finance directorship services might do well to take a look at our freeview guide.

Weekly updates resume from next week,

Best wishes


Nichola Ross Martin FCA
Tax Director
Your online Virtual Tax Partner: practical support for accountants, tax advisers and their clients

News headlines

Doctor: employer failure to deduct PAYE
Another PAYE underpayment case, but one to note as this time a successful appeal when HMRC muddles assessments and determinations.

When a dividend is subject to NICs (Part 3)
UPDATE: review of the PA Holdings case and conclusions.

Sleeping Partners NIC alert
Non-working partner/investors in limited partnerships should be subject to Class 2 and Class 4 NICs according to new guidance from HMRC. This change was unexpected.

RTI and PAYE glossary
A glossary of abbreviations for employers

Paintings can be plant for CGT
So presumably they may also be plant for capital allowances, despite what HMRC says?

Employee Shareholder Status - CGT exemption
The intention is that a new class of employee shareholder may be given, tax free £2,000 of shares in an employer, but an award may be up to £50,000, in return for giving up some employment rights. The shares may later be sold CGT free - lucky leavers! The scheme is fraught with potential problems and the House of Lords have rejected the changes

Guides and toolkits

Essential reading

Employment related loans
NEW: read through this - anti-avoidance measures were announce in the 2013 Budget which may inadvertantly catch out some close company owners with partnership interests. Additionally the exempt limit rises next year.

Directors' loan accounts: toolkit
UPDATED: following Budget 2013

IR35: changes from 2013
From April 2013 under measures introduced in the 2013 Finance Act office holders will become within the scope of IR35.

Simpler income tax accounting and fixed expenses
NEW: introducing our two new toolkits

NICs on dividends
UPDATE: review of the circumstances on which we would expect HMRC to classify dividends as employment income and commentary on PA Holdings.

Employment Allowance: NICs £2,000 relief
The NICs holiday ends in September 2013, this relief applies to all employers from April 2014

Finance Acts rolling planner
UPDATE: baffled by the constant changes in tax? Our rolling planning tells you what is new in each tax year for each different topic.

What expenditure qualifies for plant & machinery allowances?
UPDATE: added some examples from HMRC

Close companies: tax planning and pitfalls
UPDATE: s455 tax charge on loans to participators. New measures to counter tax avoidance via use of loans with partnerships, trusts, transfers of value and "bed and breakfasting"

High Income Child Benefit Tax Charge
Only two new questions to go on the 2012/13 tax return & HMRC is making a new calculator

Mansion tax(es) - at glance
Plans to tax individuals (and unsettle the coalition) may have been thrown out, but new annual tax charges apply on higher value property for corporate owners and other non-natural persons from April

Fees and subscriptions (professional bodies)
HMRC updates List 3: have all employees claimed tax relief yet?

CGT Top tips: losses & connected persons
Think twice before selling property to your company at a loss; a cautionary tale of clogged losses.

Repairs and renewals
UPDATE: another case on resurfacing and explaining the interaction between the rules for residential property letting, integral features and repairs.

Adviser planning update: losses
Navigating the new losses minefield in 2013/14

Annual Investment Allowance
NEW: a handy summary with planning points

Capital Taxes round-up - March 2013
Topical tips and case law on CGT main residence relief and elections, CGT hold-over relief, Furnished Holiday Letting, timing Time to Pay agreements and IHT relief

Do I pay a salary or dividend? 2013/14
UPDATE and re-write of last year's highly popular guide and is designed to save you having to do all these workings yourself

Disincorporation relief
New: a summary of the proposed rules. You may also register now for new Masterclass

Distributions & striking off
NEW: this guide explains the rules now that ESC C16 has been legislated and notes potential planning points and pitfalls

Disappearing tax reliefs
Tax reliefs that disappeared in April 2013

Tax planning for income at marginal tax rates
Strategies to avoid unexpected tax charges such as the High Income Child Benefit Tax Charge (HICBC)

Property profits & losses: toolkit
Our toolkit covers the points made in HMRC's version but adds a great deal more information about what you can and can't claim

Editor's choice

AIA: rules where there is a change of rate
Worked examples

Dividends: index
Guides to dividends: minutes, warrants and tax on unlawful distributions

Salary 2013/14
What is the minimum level before NI becomes due?

Tax-free benefits in kind and perks
UPDATE: last chance for a cyclists breakfast!

Tax penalties: SA late filing & payment
Guide plus examples: don't overlook the late payment provisions

Avoiding marginal rates of tax
Tax planning tips and examples

Tax-efficient profit extraction checklist (companies)
A new checklist and briefing too for companies and their owners

Most popular

Here is a small selection of our guides (there are now over 900 guides and checklists available to paid subscribers)

Tax Data

PAYE late payment penalties buster

Overpayment Relief (formerly error or mistake)

What expenses can I claim?

Goodwill & incorporation: tax issues

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