https://youtu.be/uh9FuN2D5v4

HM Revenue and Customs (HMRC) is urging business owners to prepare now and consider 3 steps to ensure their businesses can continue to trade with the EU if the UK leaves the EU without a deal.

The first step businesses need to take is to register for an Economic Operator and Registration Identification (EORI) number. UK businesses that have only ever traded inside the EU will not have an EORI number.

In the event of a no deal exit, businesses will be unable to continue trading with the EU without an EORI number; however, HMRC figures show that so far just 17% of these businesses have registered.

Business owners can apply for their EORI number.

After getting an EORI number, businesses need to take the second step and consider how they want to make customs declarations. Businesses can appoint a customs agent if they want someone else to do it. Most businesses with customs obligations choose to use a customs agent.

For businesses that import goods into the UK from the EU using roll on, roll off locations, they can take a third step and register for new Transitional Simplified Procedures (TSP). TSP will allow businesses to import without having to make a full customs declaration at the border, and postpone paying any import duties. For imports using other locations, and for exports, standard customs declarations will apply.

Businesses that import goods from the EU can register for the new TSP.

Financial Secretary to the Treasury Mel Stride MP said: “We want businesses to be able continue trading with minimal disruption in any scenario but we also know that people tend to leave things until the last minute and we would urge against that.

“We are specifically advising businesses to take some simple steps to be prepared – the first thing they need to do is register for an EORI number – it is free and takes less than 10 minutes.

Step-by-step advice can be accessed via GOV.UK – the help is there, we just need business owners to take action.”

In September 2018, December 2018 and January 2019, HMRC wrote directly to 145,000 VAT-registered businesses that only trade with the EU advising them to start their preparations and apply for an EORI number.

There are another estimated additional 95,000 non-VAT registered businesses that also need to take action.

Despite these letters, only 40,973 have registered for an EORI number since October.

https://youtu.be/WERGzqLhgak

To help businesses make import and export declarations, HMRC has made £8 million in funding available for traders and intermediaries to support them with training and IT costs. There is still £3 million remaining of this funding, so there’s still time to put in a bid.

https://youtu.be/_QzNuPkf9Iw

Around 5,542,000 taxpayers have less than a month to complete their Self Assessment tax returns before the 31 January 2019 deadline – so talk to Barter Durgan today and we can help.

More than 11.5 million 2017 to 2018 tax returns are due and HM Revenue and Customs (HMRC) expects the vast majority of taxpayers to complete their returns and pay any tax owed by the end of the month.

About 52% of taxpayers have already filed their returns, as of 31 December 2018, and more than 5 million have completed their returns online (88% of the total returns filed).

Financial Secretary to the Treasury, Mel Stride, said: “It is encouraging that around 52% of taxpayers have already completed their Self Assessment tax returns. With less than one month to go before the deadline, there are still many people that need to act now.”

HMRC is encouraging all Self Assessment filers to complete their returns by 31 January and is offering support every step of the way.

Angela MacDonald, HMRC’s Director General for Customer Services, said: “The Self Assessment deadline on 31 January is fast approaching, but there is still time for customers to file their tax returns online and on time to avoid any unnecessary penalties.

“If you are completing Self Assessment for the first time or are yet to start your 2017 to 2018 tax return, there is a wide range of support and guidance available on GOV.UK to help at every stage of the tax return process.”

People need to complete a tax return if they:

• earned more than £2,500 from renting out property
• or their partner received Child Benefit and either of them had an annual income of more than £50,000
• received more than £2,500 in other untaxed income, for example from tips or commission
• are self-employed sole traders
• are employees claiming expenses in excess of £2,500
• have an annual income over £100,000
• earned income from abroad that they need to pay tax on

The penalties for late tax returns:

• an initial £100 fixed penalty, which applies even if there is no tax to pay, or if the tax due is paid on time
• after 3 months, additional daily penalties of £10 per day, up to a maximum of £900
• after 6 months, a further penalty of 5% of the tax due or £300, whichever is greater
• after 12 months, another 5% or £300 charge, whichever is greater
• There are also additional penalties for paying late of 5% of the tax unpaid at 30 days, 6 months and 12 months.

Talk to us today: Email John Pache or phone us on: 02392 738311

 

HM Revenue and Customs is reminding taxpayers during Talk Money Week how it can provide them with financial support.

From helping people buy their first home to government-funded top-ups for savers, HM Revenue and Customs (HMRC) is supporting Talk Money Week and reminding taxpayers how the department can help boost their finances.

Mel Stride MP, Financial Secretary to the Treasury, said: “The tax that HMRC collects funds our vital public services, and also provides financial support to taxpayers and those most in need through programmes delivered by HMRC.

“We want to make sure everyone gets the financial help they are entitled to – offering a helping hand so they can take that first step on the property ladder through First-Time Buyers Relief, or supporting them with the cost of childcare through Tax-Free Childcare.”

Ways in which HMRC is helping taxpayers boost their finances include:

• If you are married or in a civil partnership, you can claim up to £238 a year in Marriage Allowance. It is quick and easy to apply online. If you claim at any point in the tax year, you will still receive the full entitlement.
• Are you on a low income and find it difficult to save money? Help to Save is a new government savings scheme. It rewards savers with an extra 50p for every £1 saved, meaning over 4 years a maximum saving of £2,400 would result in an overall bonus of £1,200.
• Tax-Free Childcare is available for parents or guardians with children aged under 12, or aged under 17 if disabled. It is available to around 1.5 million households to help with the cost of registered childcare, enabling more parents to go out to work. For every £8 that you pay in, the government will make a top-up payment of an additional £2, up to a maximum of £2,000 per child per year (or £4,000 for disabled children). You can check whether you’re eligible.
• Nurses, hairdressers, construction workers and millions of other employees can claim tax relief on work-related expenses – money they’ve spent on things like work uniform and clothing, tools, business travel, professional fees and subscriptions. A simple Check if You Can Claim tool is available.
• If you are first time buyers of a residential property you can claim First-Time Buyers Relief on your property purchase made on or after 22 November 2017 – this applies to England, Wales and Northern Ireland only. This means you will not pay any stamp duty on properties up to the value of £300,000 outside London, or £500,000 in London. You can read further guidance and check your eligibility.

HMRC has also designed an accessible and free resource – Junior Tax Facts – to educate young people on how public money is raised and spent.

Talk Money Week (formerly Financial Capability Week) runs from 12 to 18 November and is the annual celebration of the work thousands of organisations are doing to improve money management across the UK. It aims to get more people talking about money.

HM Revenue and Customs (HMRC) is urging UK taxpayers to come forward and declare any foreign income or profits on offshore assets before 30 September to avoid higher tax penalties.

New legislation called ‘Requirement to Correct’ requires UK taxpayers to notify HMRC about any offshore tax liabilities relating to UK income tax, capital gains tax, or inheritance tax.

However, some UK taxpayers may not realise they have a requirement to declare their overseas financial interests. Under the rules, actions like renting out a property abroad, transferring income and assets from one country to another, or even renting out a UK property when living abroad, could mean taxpayers face a tax bill in the UK.

The Financial Secretary to the Treasury, Mel Stride MP, said: “Since 2010 we have secured over £2.8bn for our vital public services by tackling offshore tax evaders, and we will continue to relentlessly crack down on those not playing by the rules.

“This new measure will place higher penalties on those who do not contact HMRC and ensure their offshore tax liabilities are correct. I urge anyone affected to get in touch with HMRC now.”

From 1 October more than 100 countries, including the UK, will be able to exchange data on financial accounts under the Common Reporting Standard (CRS). CRS data will significantly enhance HMRC’s ability to detect offshore non-compliance and it is in taxpayers’ interests to correct any non-compliance before that data is received.

The most common reasons for declaring offshore tax are in relation to foreign property, investment income and moving money into the UK from abroad. Over 17,000 people have already contacted HMRC to notify the department about tax due from sources of foreign income, such as their holiday homes and overseas properties.

Customers can correct their tax liabilities by:

• Using HMRC’s digital disclosure service as part of the Worldwide Disclosure Facility or any other service provided by HMRC as a means of correcting tax non-compliance.
• Telling an officer of HMRC in the course of an enquiry into your affairs.
• Or using any other method agreed with HMRC.

Once a customer has notified HMRC by September 30th of their intention to make a declaration, they will then have 90 days to make the full disclosure and pay any tax owed.

If taxpayers are confident that their tax affairs are in order, then they do not need to worry. If anyone is unsure, HMRC recommends they seek advice from a professional tax adviser or agent.

Contact Barter Durgan today on 02392 738311 or by Email: accountants@barterdurgan.co.uk and we’ll be happy to help.

HM Revenue and Customs has launched new and innovative technology to help more than three million customers renew their tax credits by July 31st.

We have a vacancy in our practice for full-time AAT trainee accountant. The role would suit a school or college leaver. No experience is necessary but an enthusiasm for learning and an interest in finance is essential. A full study package will be provided.

Our office is busy and friendly and we are based in the heart Southsea.

As a general practice, the role will include all aspects of accountancy such as preparation of accounts for sole traders, partnerships and limited companies, bookkeeping, VAT returns and taxation, providing relevant work experience to complement the knowledge required during study.

Please send your CV to John Pache. We look forward to hearing from you.

Customers are advised to lookout for a new bogus email scam, claiming to be from HMRC.

If you receive an email with a subject that reads “You have received new messages from HMRC”, that also has an attachment, they should send it to phishing@hmrc.gsi.gov.uk and then delete it.

HMRC will never ask for any personal, or financial details over emails or text messages.

For more advice on scams, phishing and genuine HMRC contact, please visit G?OV?.U?K 
and search ‘phishing’.

HMRC is calling on people to stay vigilant in the fight against fraudsters, who are using email and text messages to scam them out of their savings.

The tax authority is currently processing tax refunds after the end of the 2017 to 2018 tax year. However, criminals are taking advantage of this by sending out scam emails and SMS-messages to trick the public into thinking they have received a tax rebate so they hand over their account and personal details.

Treasury Minister Mel Stride MP, the Financial Secretary to the Treasury, said: “HMRC only informs you about tax refunds through the post or through your pay via your employer. All emails, text messages, or voicemail messages saying you have a tax refund are a scam. Do not click on any links in these messages, and forward them to HMRC’s phishing email address and phone number.

“We know that criminals will try and use events like the end of the financial year, the self-assessment deadline, and the issuing of tax refunds to target the public and attempt to get them to reveal their personal data. It is important to be alert to the danger.”

Many of these fraudulent emails and texts include links which take the user to dubious websites where their information can be stolen. These sites are a focus of HMRC’s efforts to tackle fraud. In March 2018, it requested 2,672 phishing websites be taken down and received 84,549 phishing reports. This kind of phishing is expected to continue in the coming months as genuine tax refunds are issued.

Income Tax for 6 April 2017 to 5 April 2018 will be calculated over the coming months and anyone owed a genuine tax rebate will receive a tax calculation letter by post between June and October.

If you haven’t paid the right amount at the end of the tax year, HMRC will post you a tax calculation. This can be a P800 or a Simple Assessment letter. If you have paid too much tax, the letter will explain how you can get your refund paid to you. If you have not paid enough tax, the letter will tell you how much you owe and how you can pay.

HMRC advises customers to:

• recognise the signs – genuine organisations like banks and HMRC will never contact you out of the blue to ask for your PIN, password or bank details
• stay safe – do not give out private information, reply to text messages, download attachments or click on links in emails you weren’t expecting
• take action – forward suspicious emails claiming to be from HMRC to phishing@hmrc.gsi.gov.uk and texts to 60599, or contact Action Fraud on 0300 123 2040 to report any suspicious calls or use its online fraud reporting tool
• check GOV.UK for information on how to avoid and report scams and recognise genuine HMRC contact
• if you think you have received an HMRC-related phishing/bogus email or text message, you can check it against the examples shown in this guide

HMRC has taken a range of action to protect the public from scams, including:

• from April 2017 to March 2018, reported 14,631 malicious websites for takedown
• from April 2017 to March 2018, received 771,227 customer phishing email/SMS referrals
• from April 2017 to March 2018, received 1.1 million direct visits to HMRC security pages on GOV.UK
• implemented SMS firewalling – working with industry to deliver a pilot to reduce SMS abuse, resulting in a 90% decrease in reported abuse of protected HMRC SMS tags

Powers to ensure online sellers pay the right tax, and don’t leave law-abiding high street and online businesses at a disadvantage, have come into force.

The internet has revolutionised the way people shop and helped many businesses to sell their products across the UK. Online marketplaces can help those who sell through their platforms to understand the tax rules and therefore avoid fines from HM Revenue & Customs (HMRC). And, indeed, they have the responsibility to make sure that fraud does not happen on their watch.

These new rules,  which were first announced by the Chancellor at Autumn Budget 2017, strengthen powers to make online marketplaces accountable for VAT fraud committed by online sellers on their platforms.

These powers are known by the term joint-and-several liability (JSL) for online marketplaces.

If sellers based in the UK or overseas are not paying the correct VAT when selling in the UK, and are not removed from the site following the issue of a notice by HMRC to the marketplace, HMRC will pursue the marketplaces themselves for any future unpaid tax by those sellers.

For any sales made from today onwards, the rules also make online marketplaces liable for VAT where they knew or should have known that an overseas online seller should have been VAT-registered, but was not.

This sends a clear message that businesses in the UK and overseas, online and on the high street, must all play by the same rules, protecting traditional high street and legitimate online sellers who pay what they owe.

If someone is committing VAT fraud, you can report them anonymously either online or phoning the HMRC fraud hotline on 0800 788 887.

Marketplaces must now also make sure sellers using their platforms display a valid VAT number on the site, when they are given one. This will help buyers make an informed choice about buying goods from a VAT-registered businesses with confidence.

Financial Secretary to the Treasury, Mel Stride, said: “Whilst the honest majority pay what they owe, some businesses that sell goods online to UK shoppers are failing to pay the correct amount of VAT.

“This behaviour unfairly undercuts businesses trading in the UK that play by the rules, abuses the trust of buyers, and deprives the government of significant revenue that funds vital public services.

“We are clear that everyone must pay their fair share of tax, and tackling tax evasion in all its forms is a top priority for the government.”

The UK has led the way in tackling this type of fraud and, in September 2016, was the first country to introduce tough powers to tackle VAT evasion by overseas sellers – these have already gone a long way to remove over a thousand non-compliant overseas businesses from selling goods online in the UK and to motivate tens of thousands of overseas sellers to register for VAT.

The new rules go further to strengthen and develop our operational response to online VAT fraud and error from both UK and overseas businesses.

As well as this, businesses can apply to register for the Fulfilment House Due Diligence Scheme from 1 April 2018. This scheme, which was first announced at Budget 2016, will require businesses that store imported goods for, or on behalf of, overseas sellers from outside the EU to keep certain records and perform certain checks on the goods they are storing.

Taken together, the respective packages of measures announced at Budget 2016 and Autumn Budget 2017 will help protect around £1 billion of tax revenue by 2023, and further enhance HMRC’s ability to ensure everyone is paying their fair share.