Another rise in penalty interest rates looms
Yet another increase in the various rates of interest HMRC charges on unpaid taxes will kick in from 15 August. What is affected and what will the new rates be?
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Could a special method increase your profits?
Your business has used the same partial exemption method for many years. Is it time to consider if a different method will improve your input tax recovery?
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EVs and the tax-free mileage allowance
You’re a director and regularly use your electric vehicle (EV) for business journeys. Your company provides a workplace charger which is free for all staff to use. Does the origin of the electricity impact your claim for tax-free mileage?
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HMRC loses employment status case involving football referees
HMRC has lost another employment status case, this time involving football referees engaged by Professional Game Match Officials Ltd (PGMOL). The tribunal rejected HMRC’s argument that the referees should be treated as employees for tax purposes. Why does the decision matter?
The Bank of England announced that it was increasing the base rate of interest by 0.5% on 4 August 2022. Inevitably, HMRC then announced that its range of penalty interest rates would also increase again. From 15 August, the following rates charged, and payable, by HMRC will apply:
- Late corporation tax paid quarterly - 2.75%
- Overpayment interest on corporation tax - 1.5%
From 23 August, the following rates for other taxes, including income tax, will apply:
- Late payment interest - 4.25%
- Interest on overpaid tax - 0.75%
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