Merranti Accounting Blog

VAT landscape

Navigating the New VAT Landscape

May 2, 2024

Navigating the New VAT Landscape: What You Need to Know As part of our ongoing commitment to keeping our clients informed and ahead of regulatory changes, Merranti Accounting is spotlighting the latest adjustments in VAT regulations that could significantly impact your business operations and financial planning. Here’s what you need to understand about the recent

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Understanding Pension Payments

May 1, 2024

Understanding Pension Payments Navigating Pension Changes and Planning for the Future The landscape of pension contributions and entitlements has undergone significant transformations, impacting the way individuals and businesses need to approach retirement planning. With the General Election looming and various fiscal changes introduced, staying informed and proactive in pension management is crucial. Recent Changes to

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Loans from the company to the owners

April 26, 2024

The lowest personal bank loan rates have doubled compared to 18 months ago, although they have recently stabilised. Presently, the most favourable interest rate for loans ranging from £7,000 to £25,000 stands at 5.9%. However, there exists a financing option where a director or participant of a private limited company can borrow at 0% interest.

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How does VAT work with commercial properties

April 24, 2024

It’s customary for leases between landlords and tenants to outline the services the landlord will provide and what the tenants are responsible for regarding the upkeep of the entire building. The lease might specify an all-inclusive rental fee. Whereas it may stipulate that tenants contribute through an additional charge on top of the base rent.

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The value of a company car

April 24, 2024

Due to the significant impact of cars on the environment, special tax regulations are implemented to manage their ecological footprint. These policies include road tax exemptions for electric vehicles (EVs) and increased business allowances for low CO2 emission cars, aiming to incentivize eco-friendly investments. When employees use their personal vehicles for work-related tasks, they can

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who can take profits?

April 24, 2024

Shareholders, who own the company, typically receive dividends from distributable reserves, which are post-tax profits. Dividends are advantageous as they face lower income tax rates and are exempt from National Insurance Contributions (NICs), making them a primary form of remuneration for small company owners. In small companies, shareholders often serve as directors, responsible for day-to-day

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DIY VAT: Self billing

April 24, 2024

Self-Billing Overview Typically, suppliers issue VAT invoices, but in certain cases, customers prepare and provide them to suppliers. This process is known as “self-billing.” Any business can adopt self-billing if it meets specific conditions. Compliance and Implementation To begin using self-billing, no prior approval from HMRC is necessary. Businesses need to ensure compliance with legal

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Reducing inheritance tax though planning

April 16, 2024

In April 2023, it was found that 42% of UK adults had overlooked planning their estate distribution, putting beneficiaries at risk of substantial inheritance taxes. To maximize inheritances and minimize tax liabilities, consider these strategic planning measures when drafting a will: Exempt Beneficiaries: Designating the entire estate to a spouse or civil partner can potentially

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Other measures

March 8, 2024

Filing requirement For 2023/24, taxpayers with incomes over £150,000 are automatically required to file a self-assessment tax return. The 2023 Autumn Statement included an announcement that those whose tax is all paid under PAYE will be removed from this requirement from 2024/25. However, as mentioned above, increases in interest rates on savings and reductions in

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VAT on land

Value Added Tax

March 8, 2024

Registration threshold The VAT registration and deregistration thresholds were previously intended to remain frozen at their present levels of £85,000 and £83,000 until 31 March 2026. In the first increase in the thresholds since April 2017, the thresholds have been increased to £90,000 and £88,000 with effect from 1 April 2024. The Budget announcement says

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