SEARCH, INDEX, UPDATES, CONTENTS, TAX COMPLIANCE, PAYE/NIC AUDIT VISITS
Are you ready and confident? The Inland Revenue has changed - believe us.
They are applying the rules. They know the rules, do you? Innocence is no excuse. If you get it wrong, you get a penalty, and an interest charge.
Not nice, but that is the truth of the position today. You may not like it, but it is not going away.
If you run a business, you are likely to get a visit from a PAYE inspector. Will he find any problems? Will you know what to say? His job is to know how to apply the rules. Can you compare with his experience?
If you ask us to review your systems and records, we could identify procedures you might decide to change.
One of your workers is in hospital, you send them a bouquet of flowers, do you know how to deal with the tax that is due? You probably do not think any tax is due, but the inspector knows better. Not worth worrying about? That's up to you.
Not that you are likely to "employ" a vision mixer, but the Revenue have taken a case to Court on the basis that one was an employee. He thought he was self employed, was registered for VAT since 1985, "worked" for 22 television companies, had no long term contracts, generally "worked" 150 days per year on 1 or 2 day jobs, no job lasted more than 10 days.
If you pay a self employed Consultant £10,000, and the Revenue classify him as an employee, they will assess your underpayment at £6,745. Add interest for late payment. Penalties start at 100% of the duty due, but can be mitigated. Do you know how? How much will you pay? Not worth worrying about? That's up to you.
If you have a traditional tea lady serving drinks from a tea trolley there is not liability. If you put in a vending machine and give your staff 20p tokens there is a 13p tax liability on each token. 4 tokens per day equates to a £125 liability per employee, per year. Are you doing it right? Not worth worrying about? That's up to you.
Do you pay employees taxi fares? .... (have we said enough?)
If you do not run a business, but complete a Self Assessment Tax Return, you must decide if your sources of income are taxable and therefore include it on your Tax Return. This may go on for several years before being discovered by the Inland Revenue. If you have got it wrong, at the very least there will be a liability for the tax and interest charges. At worst there could be a substantial penalty charge.
Contact us to discuss our charges for completing your Tax Return.
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