This week we have an Employer Special, mixed in with updates for Directors and other useful guides.

We feature a summary of HMRC's Employer Bulletin and look at what the Administrative Burdens Advisory Board thinks of HMRC's plans for digital reporting. 

For subscribers we have guides on the new travel rules for personal service companies (PSCs), managed service companies (MSCs) and agency workers. We have updated our IR35 guide, the deemed payment being due now, if not paid already. 

For directors and advisers we have expanded our guidance on the amended anti-avoidance rules for Transactions in Securities (TIS). I know that people's eyes tend to glaze over at the mention of "TIS" yet advisers need to get up to speed with these provisions. They are now even more widely drawn and they potentially affect any transaction involving a company's shares, including a purchase of own shares, a capital reduction and disposal to a third party.

Finally, I don't know what happened to the "plain English" campaign or the noble intentions of the tax re-write project, however some of the latest Finance Bill is almost totally unintelligible. By way of a small example, the new travel rules are contained in Clause 14. These rules are going to affect, who? I would guess close on 1/2 a million individuals. If you want to shock a client ask him to work out what subsection 5 means. They say "ignorance of the law is no excuse" however I guarantee that 99.99% of PSC owners would struggle with the double negatives thrown up by the sub-section and the government's explanation of the wording does anything but explain.

Scroll down for latest updates and the Editor's choice. Our close company profit extraction toolkit is out next week. 

See you soon

Nichola Ross Martin FCA Tax Director


Your Virtual Tax Partner®: online PRACTICAL support for accountants & tax advisers BY accountants & tax advisers

Quick news (freeview)

ABAB disappointed by quarterly digital reporting
The Administrative Burdens Advisory Board (ABAB) has submitted its third Annual Report to David Gauke MP, Financial Secretary to Treasury. The news of quarterly digital reporting took it by surprise and it is disappointed at the extra burdens imposed on the self employed.

HMRC Employer Bulletin
HMRC have published their Employer Bulletin for April 2016. We summarised key content for you, with links to our detailed guidance on the topics covered.

The curious drafting of FB 2016
Would a PSC owner, or "the man on the Clapham omnibus" be able understand this legislation? 


Dividend Tax 2015/16
Worked examples show how dividends are taxed from 6 April 2016.

Practical tax guides & updates 

Travel: employer's guide
UPDATE: new guidance on the 6 April 2016 restriction on tax relief for the cost of travel for personal service company owners and agency workers.

Updated: new examples, new travel rules, RTI reporting concession. Deemed payment for 2015/16 due this month.

Agency Workers: employment intermediaries rules
UPDATED: A guide for employment intermediaries with links to HMRC's latest guidance on supervision, direction and control.

Employers: what's on 6 April 2016
A summary of the latest developments affecting employers.

Editor's choice   

Directors: tax planning toolkit 2016/17
Do you pay a salary or dividend, what combination, what about the Employers' NICs allowance, the savings allowance and dividend allowance. What now for company purchase of own shares and company sales? This guide summarises the key issues for you.

Transactions in Securities
UPDATED: a repayment of share capital and share premium and a distribution on winding up are now subject to the anti-avoidance "transactions in securities" provisions. The changes follow the increase in dividend tax. 

Dividends: formalities for companies
When is a dividend treated as paid? Do you vote a final or an interim dividend. Your FAQs answered.

Missed last time's update?

Nichola's SME Tax Update 8 April 2016


  • Entrepreneurs' Relief: what's new
  • Directors overdrawn loans: bed and breakfasting
  • New penalties for offshore offences
  • Dividend tax: trusts

Come and join our Cloud

Subscribe (and UNLOCK the whole site) A single user annual subscription is £349 (+ VAT). 

What do you get?

  • We keep YOU up to date in SME tax.
  • FULL access to www.rossmartin.co.uk: your firm's personal TAX INTRANET containing over 1,500 actively maintained tax guides, briefings, toolkits and checklists.
  • Want to know more? Commission your own articles and checklists.
  • Structured CPD: our detailed SME tax updates "for Advisers Only" provide topical summaries and planning notes & our NEW webcasts provide you with structured CPD at your desk.
  • Regular client tax briefings: these cover the latest business and employment tax issues and are designed to assist you plan meetings and improve your client services.
  • Nichola’s regular SME tax news web-update: we do the reading and cherry pick the best of the taxpress, magazines and websites for you.
  • You can also commission guides and checklists for your own practice, post comments and upload your own articles.
  • Access to the Virtual Tax Partner ® service provides subscribers with FREE quick calls and a discount of on phone, email and tax support and mentoring.