Category Archives: News

Autumn Statement 2023: What You Need to Know

The Autumn Statement 2023 has brought significant changes that will have a profound impact on businesses and individuals alike. In this blog post, we will delve into the key updates announced in the Autumn Finance Bill, focusing on the keywords ‘Autumn Statement 2023’ for the KA Farr website. Significant Changes in the Autumn Statement The Autumn Finance Bill has introduced a game-changing update for businesses. The ‘Full Expensing’ deduction, which allows companies to claim a 100% first-year deduction on qualifying new investments, will now be a permanent feature. This move aims to encourage businesses to invest in their growth and […]

In a move to enhance tax compliance and tackle tax evasion, HM Revenue and Customs (HMRC) is set to implement new regulations on data collection. These changes, effective from April 2025, will have a significant impact on owner managed businesses and individual employees. In this blog post, we will delve into the details of the HMRC data collection requirements and explore the implications for businesses and employees. Understanding the New Rules Under the new regulations, owner managed business directors will be subject to increased scrutiny regarding dividend payments. Employers will also be obligated to report individual employees’ working hours. These […]

HMRC has closed its phone lines – How to make contact

Back in June (with only four days’ notice) a trial to redirect Self Assessment (SA) queries from HMRC’s phone helpline to its digital services began. This trial is set to run for three months – up to the 4th of September 2023.  This means that taxpayers are relying on HMRC’s online guidance, digital assistant and web chat over the summer months, rather than the helpline for support. Why is this happening? HMRC is behind in answering its post and finalising problems including investigations, some of which have been waiting a year to be settled. Their annual performance report for 2022/23 […]

Pension Changes: All you need to know!

The Chancellor recently announced some significant changes to pension tax rules that will majorly impact those saving for retirement. The annual allowance for pension contributions is increasing, and the lifetime allowance – which limited the amount of money individuals could put into their pensions – has been abolished altogether. We’re going to break down these changes so you are all caught up with everything you need to know! Annual Allowances Any contributions to a registered pension scheme greater than an individual’s annual allowance will incur a tax charge. The annual allowance for the 2021/22 and 2022/23 tax years is £40,000; […]

MTD postponed by two years

Making Tax Digital (MTD) for self-assessment and income tax was planned to be implemented in 2023. However, the Government has now announced it has been postponed by two years to 2025. This decision was made to give taxpayers sufficient time to prepare themselves before introducing the change. The delay has been welcomed by many businesses and individuals, as it gives them more time to plan and adjust their processes accordingly. Although an exact date has yet to be set for MTD’s full roll-out, the government aims to fully implement the changes by April 2025. In the meantime, self-employed individuals must […]

Currently, the normal company year end date can be changed to any specific date you want. You can extend the date to a maximum of 18 months (longer if your company is facing administration). This can only be changed once every five years (with some exceptions). So it’s safe to say that if you want to do this with your business, you want to get it right the first time. What is the best date to change to? The end of the year? The midpoint of the year? How about the 5th of April? Tax Year The tax year commences […]

Spring Budget – What was announced

All eyes were on The Spring budget of 2023, with Chancellor Jeremy Hunt announcing many measures to help the country recover from its economic woes. From increasing corporation tax and raising billions in investment funds to cut the cost of childcare and setting out plans for infrastructure spending, this Spring budget was an ambitious plan for the future of the UK. But what was announced? Fuel and Alcohol duty frozen One of the most notable measures was the announcement that fuel and alcohol duty would be frozen. This will mean that, for another year, UK drivers can expect to pay […]

Traffic Light System: What the tax points system means

When it comes to tax, you want to ensure that everything is accurate and paid on time, but it is easy for things to slip by, especially during a busy period. The penalties you can be dealt with are a fixed fee, even if it’s your first time dealing with a late payment/submission. This means that repeat offenders and businesses that have made one minor are issued the same fines. This hasn’t been a popular system. If you are one of the many unhappy with this system, you’ll be pleased to know of the new changes HMRC are making. The […]

Merry Christmas and a Happy New Year!

The festive time has come again as the team at K.A. Farr & Co took a trip to Liverpool city centre for our Christmas party! All the festivities Our Christmas party took place at the amazing Sky Bar, where we had a delicious meal and a fantastic time. And, of course, our annual Christmas jumper day took place! Merry Christmas We want to take the time to thank all of our wonderful clients who have supported us in 2022 at K.A.. Farr & Co. We are so grateful for your support throughout it all. We look forward to continuing this […]

HMRC Self Assessment 2023

The time has come around again. Holiday preparations and other festivities are at the forefront of people’s minds. Many people, including our clients, are preparing for the upcoming self-assessment tax returns. Meeting your obligations. HMRC Self Assessment Tax Returns are an essential part of the UK tax system. They allow individuals and businesses to register their income, deductions and other details with HM Revenue & Customs (HMRC). Certain types of taxpayers must submit a self-assessment tax return each year. This includes those who are self-employed or have untaxed income or capital gains. It is also necessary for those who earn […]