This article concerns an announcement made in the Budget 2016 for which legislation will be introduced through the Finance Bill 2016.
Where loans are made to directors and unpaid nine months after the company year end, the tax charge is now 32.5% for all funds drawn.
You may have heard of this latest new initiative from HMRC sometimes referred to simply as MTD – here we look at what this is and how it will impact you and your business.
Those who work in the public sector will be only too well aware of the additional scrutiny on the use of freelancers and how they operate their tax affairs.
Over the last year, we have received calls from clients who have been asked to provide assurances about their IR35 status and tax affairs.
Our advice has been:
What happened in the Autumn Statement 2016?
This ruling by the Revenue attempts to capture tax lost whereby individuals have set themselves up as Limited Companies supplying services but in reality are performing a task for a client in a manner similar to being an employee.
