Huw’s Monthly Newsletter : Cylchlythyr Misol : 11.07.2017
Matthew Taylor’s report on the economy was published today. The report highlighted a new category of worker – The Dependent Contractor - who companies such as Uber have treated as self employed, but who in essence only works for one firm at a time. These individuals should receive more employment rights in the future, but will become subject to employer / employee National Insurance and large companies will have to pay more tax.
This trend is already happening for individuals working on contracts for television companies and in other industries, where there is a move towards more people being paid under PAYE rules rather than self employment. If this happens to you, please keep all payslips and contact me to check your tax code if required.
On a similar note, with many people working for agencies / having 2-3 jobs / sources of income, there is scope for tax errors and discrepancies to occur. Please contact if you want your tax position to be checked.
Clients continue to be plagued and worried by scam E Mails entitled HMRC either offering rebates or demanding money at short notice. Phone scams from individuals claiming to represent HMRC / American investors offering large windfalls are another continual nuisance. Use your common sense and if in doubt check with me.
Many clients are discovering that they will not receive the maximum state pension. Check your position with the National Insurance helpline who offer a free pension forecast, telephone 0345 3000 168. You need 35 qualifying years to obtain the current maximum state pension of £159.95 per week. Individuals who were contracted out of the state scheme by their employers in particular face a shortfall. It is possible to purchase some added years, but only from 2006 onwards.
HMRC’s proposed new system of Making Tax Digital which means more regular submissions to HMRC for the self employed / some landlords has been delayed. If / when it is introduced my tax and accounting software suppliers will have the product in place and I will aim to make the transition as straight forward as possible for all clients who need to use the new system.
Many individuals are using PCP contracts to purchase new vehicles. If you are contemplating this, please get in touch if you want me to check the figures. In one instance I was able to reduce a proposed interest charge of £6,000 from the main dealer to £1,500 by advising the client to borrow money elsewhere.
If there are any matters you or your colleagues wish to discuss on personal tax / probate / inheritance tax / will planning please get in contact / cysylltwch gyda