Vacancy – Qualified AAT / Part Qualified ACCA Student

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job vacancy

We are currently seeking a qualified AAT / part qualified ACCA student to join our team. Burrow & Crowe have been working with owner managed businesses over the last 30 years ensuring they get the best service and becoming their trusted advisors.

The role will include the preparation of accounts and the relevant tax returns from a diverse base of owner managed businesses, as well as helping clients with their other accounting needs including bookkeeping, VAT Returns, payroll and auto-enrolments and management accounts.

We are a team that likes to get involved with helping our clients, and the role will be client facing.

Ideally the candidate will have experience in a small /medium sized independent practice, and will currently be involved in the preparation of accounts and relevant tax returns for clients.

Most importantly, the candidate will show the willingness to work alongside business owners to help them grow their businesses.

Supporting Your Team

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Supporting Your Team

As a manager, you have a great deal on your plate the majority of the time. But one of the most important things (if not the most important thing) you can do is to make time to support your team.

Encourage them to manage themselves:
The best managers will step back and let their team do their job without standing over their shoulders. Encourage your team to manage themselves. You can assign personal objectives to each member and empower them to succeed and do what they do well. Give them the opportunity to make decisions and don’t second guess them. Remind them that if they need support, they can come to you.

Listen, motivate and inspire them:
Listen for ideas, insights and ways to improve your business. Listening can help you to identify red flags and threats to the firm. It is a manager’s responsibility to remove any roadblocks, help resolve challenges and deal with negative issues. One of the most effective things a good manager can do is encourage great energy and talent in order to motivate their people. It is important to inspire your team by staying positive.

Be available when they need you:

A common complaint in many businesses is that managers simply aren’t available. Managers communicate when they hand down projects or tasks but other than that they tend to be unreachable. A great manager will always be available and will always make an effort to ensure employees have everything they need to get the job done.

Give feedback and communicate:
If you don’t tell your team how they are doing, how can you expect them to improve? providing performance feedback and communicating team objectives will encourage your team to continually improve. It can be useful to have monthly or fortnightly meetings with team members to assess projects and check-in with them. Enthusiastic team members will often seek growth opportunities and want to take on new challenges or tasks. By communicating the objectives of the team and giving regular feedback, you open the door for productive two-way conversations with your team.

Trading Or A Capital Gain?

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Trading Or A Capital Gain?

Farmers and other landowners will often be approached by developers seeking to obtain planning permission to build on the land. Great care is needed to avoid unnecessary tax charges on the transaction. HMRC have recently updated their guidance on transactions in land clarifying that under certain circumstances some of the eventual profit can be taxed as income not a capital gain. For individual property owners that could mean 45% income tax as opposed to just 28% CGT.

For example, a landowner sells some land to a developer for £5 million plus 10% of any profit on the development over £6 million. If the profit on the project was £8 million then the additional £200,000 would be taxed as a trading profit.
The tax rules in this area are complex. If you are involved in such a deal contact us so we can advise on the best way of structuring the transaction.

Does The New 16.5% VAT Flat Rate Percentage Apply To Your Business?

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Does The New 16.5% VAT Flat Rate Percentage Apply To Your Business?

The new VAT flat rate of 16.5% started to apply from 1 April 2017 for “limited cost traders”.
A “limited cost trader” is one using the VAT flat rate scheme but where the VAT inclusive cost of goods for a year is less than 2% of VAT inclusive turnover, excluding certain specified items.

Those specified items include capital expenditure, food, fuel, and vehicle costs.
If you are currently using the VAT flat rate scheme contact us to discuss whether the changes will apply to you.

P11D forms: What you need to know

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P11D forms: What you need to know

The statutory P11D form is used by HMRC to ask UK employers to outline the cash equivalents of expenses, allowances and other benefits given over the tax year to directors and staff members or members of their family or household who earn over £8,500 per year.

Essentially, this form is all about reporting benefits in kind, from private healthcare to interest-free loans, season ticket loans or company cars, to name just a few.

Because these benefits, in effect, enhance your salary, National Insurance contributions may have to be paid on them (by the employer, not the individual staff member concerned).
Equally, the employer is responsible for filing this documentation.

P11D forms must be filed by the 6th July after the relevant tax year. So, for instance, you’d file the one for the 2016-2017 tax year on July 6 2017.

Make sure you include:

• Healthcare insurance
• Company cars
• Self-assessment fees a company has paid
• Non business-related travel and entertainment expenses
• Assets given to an employee which have significant personal use
• Any payments that would normally be paid by the employee but for which you have paid

Before April 2016, you could get dispensation from HMRC to omit expenses from P11D forms.

An exemption system is now in place under which most business expenses company staff members incur personally no longer have to be recorded.

These include:

• Travel (as well as subsistence costs incurred during business travel)
• Credit cards used for work purposes
• Business entertainment expenses
• Subscriptions and fees

HMRC imposes penalties for late filings and wrong filings. If the 6th July deadline is missed, there’s a two-week penalty-free window for filing, but after 19th July, a £100 monthly penalty applies per 50 employees.

You’ll receive a reminder and details of incurred penalties if you haven’t settled by November.
If you’re looking for accountants based in Keighley, BC Sunderland Driver can help ensure you meet that July deadline and file correctly. Talk to our friendly, professional team servicing the Keighley, Bingley and Shipley areas today.

Additional IHT Relief For Passing On Family Home Started 6 April

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Additional IHT Relief For Passing On Family Home Started 6 April

For deaths on or after 6 April 2017 there is now an additional £100,000 inheritance tax (IHT) allowance where the family home is passed on to direct descendants. This was originally announced on 8 July 2015 and that date is relevant where the deceased has downsized to a lower value property.

This additional relief increases to £175,000 in 2020, and where the relief was not used on the death of the first spouse, it is available on the death of the surviving spouse.

This means that after 6 April 2020 a married couple can potentially pass on assets worth up to £1,000,000 without paying IHT as there would be £350,000 relief against the value of the family home in addition to the combined £650,000 nil rate bands (2 x £325,000).

Note however that the Labour Party have announced that if elected they will reverse this generous measure!

As mentioned in previous newsletters, it may be necessary to review your will and estate planning to ensure that you take full advantage of this new relief.

Make The Most Of Dead Time

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Make The Most Of Dead Time

We have all been there before – stuck in a city with time to kill between meetings. Some of us head off for the nearest coffee shop at this time while others might make a few calls or go for a stroll in order to think about the next meeting. Perhaps there is a better way to make the most of this dead time.

Focus on a project
Long waits in the airport or sitting on a long-haul flight can be used as the ideal time to focus on a special project. It may or may not be related to the reason for your corporate trip. Perhaps it is a good time to go through the notes of a presentation or the final details of a big project. You should bear in mind that there may be some difficulties getting online (particularly on planes) so you should download the files you need in advance of boarding in order to work offline.

Plan an activity
The line between work and private life is becoming increasingly blurred. As a result, one notable trend in corporate travel is business-leisure travel. In other words, business travellers try to make the most of the time between professional appointments on a corporate trip to get to know their destination or stay a few days longer to sightsee.

Make progress with your work
Periods of dead time between journeys can be used to make progress with work. For instance, you can catch up on email or read through some documents. If you are on a business trip for a few days, it can be a good time to do your expenses, check into your return flight and so forth.

Relax
Business trips tend to be a bit stressful. Therefore, it is extremely important to make sure you get some downtime on your own. A good set of headphones can be your best friend when it comes to getting some rest on a plane. Audio books can also be a good way to relax and can even provide some inspiration for your work. Perhaps watching a bit of Netflix or Amazon Prime on your tablet can help to take your mind off work. If you are sporty, it can be good to hit the gym or go for a run (which is also a great way to see a city if you are visiting on business).

Better To Pay Interest On Your Loan Account Than Dividends If Higher Rate Taxpayer

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Better To Pay Interest On Your Loan Account Than Dividends If Higher Rate Taxpayer

Ever since the introduction of the 7.5% increase in the rate of tax on dividends in April 2016, it has been more tax efficient for owner managed business shareholders to pay interest on their loans to the company rather than pay themselves dividends.
The interest would be deductible against the company’s profits saving corporation tax at 19% (was 20%), whereas dividend payments are not tax deductible. A higher rate taxpayer would end up with more post tax cash, despite the rate being 40% compared to the 32.5% rate on dividends.

The table below assumes that the shareholder is a higher rate taxpayer and has already taken a dividend of £5,000 tax free.

The above calculation also assumes that the shareholder has £500 of other interest so that the savings allowance has already been used. Note also that the company is currently required to deduct 20% tax at source and report the interest on form CT61.

Should We Give Shares To Children And Pay £5,000 Dividends Tax Free?

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Should We Give Shares To Children And Pay £5,000 Dividends Tax Free?

The introduction of the £5,000 tax free dividend allowance has tempted many family company shareholders to give shares to other family members so that they can be paid £5,000 a year tax free. (Note that this allowance reduces to £2,000 from 6 April 2018).
Such a strategy needs to be carefully structured as there can be Capital Gains Tax on the gift of shares, and HMRC may also seek to tax the dividend as employment income under certain circumstances. The dividend will also be taxed on the parents if received by a child who is a minor.

If you are considering giving shares to other family members and then paying dividends, please come and talk to us first so that we can deal with this correctly.

U-Turn On Self-Employed NICs – For Now

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U-Turn On Self-Employed NICs – For Now

In his first Budget on 8th March, the new Chancellor Phillip Hammond announced that he would level the playing field between employees and the self-employed by increasing Class 4 National Insurance Contributions (NICs) from 9% to 10% from 6 April 2018 and then to 11% from 6 April 2019. His justification is that the self-employed are now entitled to more generous State Benefits than in the past, and thus NIC rate should be increased towards the 12% Class 1 NIC employee rate.

However, this was contrary to the Conservative Party manifesto pledge not to raise national insurance contributions during the life of the Parliament and the Government have bowed to political pressure and decided not to proceed with this proposal. Look out for a possible increase after the next election, which is now June 8th!
As previously announced, flat rate Class 2 NIC contributions, now £2.85 a week, cease on 5 April 2018.