HMRC sends Valentine’s message to couples
HMRC is urging married couples/civil partners to check whether they are entitled to claim the marriage allowance. What is it, are you eligible and how do you claim it?
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HMRC clarifies treatment of averaging relief under MTD IT
HMRC has updated its guidance to explain how averaging relief claims will operate under Making Tax Digital for Income Tax (MTD IT). The clarification addresses concerns about how farmers and creators will claim relief once quarterly reporting becomes mandatory. What has changed?
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Double up on the employment allowance
You’re the sole shareholder of a limited company which employs several members of staff. You’re working on plans to start another business with an ex-colleague. Can both businesses benefit from the full employment allowance (EA)?
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VAT cut for children's holiday activities over summer
The government has announced a temporary reduction in the rate of VAT applying to certain children's holiday activity programmes during the summer holidays. The measure is intended to help families with childcare costs during the school break. What has changed?
HMRC has a special message to couples - “give the gift of the marriage allowance this Valentine’s Day”. The marriage allowance is not as generous as it sounds. It isn’t actually an additional allowance, but merely the transfer of £1,260 of unused personal allowance from one partner to the other. It isn’t available to all married couples. In order to benefit, one spouse must have income below the personal allowance so there is an unused amount to transfer to their partner. The other partner can’t benefit if they are a higher or additional rate taxpayer, which generally means they have income in excess of £50,270 (or just £43,662 for Scottish taxpayers), the allowance can’t be claimed.
Despite this, it's well worth checking if you are eligible, especially as the claim can be backdated by up to four years, which could mean a rebate of over £1,000. Use HMRC’s tool to check if you can make a claim.
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