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Good afternoon folks! 💙

👇🏻Did you know that you can still claim your benefits if you live, move or travel abroad?

⬇️You may still be able to claim some benefits if you travel or move abroad, or if you’re already living abroad. What you’re entitled to depends on where you’re going and how long for.

📍Who to contact if you’re going abroad?
Tell your local Jobcentre Plus or the office that pays your benefit if you’re going abroad. If it’s a temporary move, tell them when you’re coming back.

⬇️You must also tell HMRC if you’re leaving the UK.

📍Claiming when abroad
If you’re going to (or are already living in) a European Economic Area (EEA) country or a country with a special agreement with the UK, you may be able to claim:
* UK-based benefits
* benefits provided by the country you’re going to

⬇️You can also claim your State Pension abroad.

📍Claiming benefits in an EEA country or Switzerland
If you’re living in or planning to go to an EEA country or Switzerland you may be able to get some UK benefits.
Find out if you can get benefits in the EEA or Switzerland.

📍When you get your payment
The date you get your payment depends on which benefit you claim.
If you live abroad and your payment is due in the same week as a US bank holiday, it could arrive one day late. This is because a US company processes these payments.

📍Benefit fraud
You’re committing benefit fraud if you:
* do not tell the office that pays your benefit you’re going abroad, even if it’s just for a visit
* deliberately do not report a change in your circumstances while abroad, like buying a property, working, or claiming a pension or benefit from another country
* are dishonest in order to get benefits, like continuing to claim the pension or benefit of someone who has died overseas.

👋🏼Hey people! How’s your Monday going so far? ☺️

👇🏻Did you know that you can get child benefits? ⬇️

🔍How it works?

You get Child Benefit if you’re responsible for bringing up a child who is:
* under 16
* under 20 if they stay in approved education or training

❗️Only one person can get Child Benefit for a child.

✅It’s paid every 4 weeks and there’s no limit to how many children you can claim for.

➡️By claiming Child Benefit:
* you can get National Insurance credits which count towards your State Pension
* your child will automatically get a National Insurance number when they’re 16 years old

📍If you choose not to get Child Benefit payments, you should still fill in and send off the claim form.

⬇️If you or your partner earn over £50,000
You may have to pay back some of your Child Benefit in tax if your (or your partner’s) individual income is over £50,000.

⬇️If your circumstances change
Remember that you must report any change of circumstances to the Child Benefit Office.

Hello everyone 👋🏼 How is your week going so far?

📍What is a self assessment?
Self Assessment is a system HM Revenue and Customs (HMRC) uses to collect Income Tax.
Tax is usually deducted automatically from wages, pensions and savings. People and businesses with other income (including COVID-19 grants and support payments) must report it in a tax return.

If you need to send a Self Assessment tax return, fill the form after the end of the tax year (5 April) it applies to. You may have to pay interest and a penalty if you do not file and pay on time!

📍How to send your return?
File your tax return online or send a paper form. Send your tax return by the deadline.
If you did not send an online return last year, allow extra time (up to 20 working days) as you’ll need to register first. There are different ways to register if you’re:
* self-employed or a sole trader
* not self-employed
* registering a partner or partnership

📍How to fill in your return form?
You need to keep records (for example bank statements or receipts) so you can fill in your tax return correctly.

📍How to pay your bill?
HMRC will calculate what you owe based on what you report. Pay your Self Assessment bill by 31 January. How much tax you pay will depend on the Income Tax band you’re in. There’s a different rate for Capital Gains Tax if you need to pay it, for example you sell shares or a second home.

✅Contact us if you need support with your self assessment!

Hey people? How are you today?

✅ Did you know that you might be able to claim tax relief if:

- you use your own money for things that you must buy for your job
- you only use these things for your work

❗️You cannot claim tax relief if your employer either gives you:

- all the money back
- an alternative, for example your employer gives you a laptop but you want a different type or model.

📍You must have paid tax in the year. You’ll get tax relief based on what you’ve spent and the rate at which you pay tax.

📍Example
If you spent £60 and pay tax at a rate of 20% in that year, the tax relief you can claim is £12.

🔍For some claims, you must keep records of what you’ve spent. You must claim within 4 years of the end of the tax year that you spent the money.

➡️If your claim is for the current tax year, HM Revenue and Customs (HMRC) will usually make any adjustments needed through your tax code.

⬅️If your claim is for previous tax years, HMRC will either make adjustments through your tax code or give you a tax refund.

We hope this post is helpful for you 🙂

👋🏼Good morning everyone on this warm Monday morning! How are you doing? Did you have a good weekend?

💪🏽We are, as always, up and ready for the new challenges of the week.

🔍Today, a short but important post about Married Couple's Allowance. We will explain how it works.

📍Married Couple's Allowance can reduce your tax bill by between £364 and £941.50 a year.

⬇️You can claim Married Couple's Allowance if all of the following conditions are met:

- you are married or in a civil partnership
- you live with your spouse or civil partner
- one of you was born before 6 April 1935.

📍For marriages entered into before 5 December 2005, the husband's income is used to calculate the marriage allowance. For marriages and civil partnerships after this date, the income of the person with the highest earnings is taken into account.

📍If you and your partner were born on or after 6 April 1935, you may be able to claim Marriage Allowance.

💌📞You can check all this by contacting us or HMRC directly, but often the content HMRC says is difficult to understand, so we recommend that you contact us! We will deal with everything on your behalf and explain in plain language the steps you need to take to get Married Couple's Allowance.

Hello! Excited about the upcoming weekend? 😄 Because we are! 🙂

🔍So today we still stick to the subject of tax credits, and this time we will tell you how to save on the maintenance payments 🙂

📍Maintenance Payments Relief reduces your income tax if you pay alimony to a former spouse or civil partner.

⬇️You can benefit from it if all the following conditions are met:

- either of you were born before 6 April 1935.
- you pay maintenance under a court order after the relationship has ended
- the payments are for the maintenance of your ex-spouse or ex-civil partner (provided they have not remarried or entered into a new civil partnership) or for the maintenance of children under the age of 21.

The maintenance allowance is 10% of the maintenance paid to a former spouse or civil partner, up to a maximum of £364 per year (or 10% of £3,640).

📞To claim it, call the HM Revenue and Customs (HMRC).

💌If you have any further questions, please feel free to contact us

Hello People! ☀️

We stick to the subject of tax relief, this time we will deal with charity funding.

Donations to charity from individuals are tax free.

📍You can get tax relief if you donate:

- through Gift Aid
- straight from your wages or pension, through Payroll Giving

📍Donations through Gift Aid

Charities and community amateur sports clubs (CASCs) can register with HM Revenue and Customs (HMRC) to be part of the Gift Aid scheme. When they’re registered, they can claim back the tax you’ve already paid on your donation.

The charity or CASC will give you a form to sign. They must also have an HMRC charity reference number - ask the charity or CASC if you’re not sure.

If the charity or CASC gets back more tax than you’ve paid, HMRC may ask you to pay more tax to cover the difference.

📍You pay Income Tax above the 20% basic rate

You can claim back the difference between the tax you’ve paid on the donation and what the charity got back when you fill in your Self Assessment tax return.

If you don’t fill in a Self Assessment tax return, call HMRC to tell them about your charity donations.

📍You get Married Couple’s Allowance

Your tax-free allowance may increase if you make donations through Gift Aid and claim Married Couple’s Allowance.

If you fill in a Self Assessment tax return, your allowance will be adjusted automatically if it needs to be.

If you don’t, call HMRC to tell them about your charity donations.

📍Payroll Giving schemes

If your employer or pension provider offers a Payroll Giving scheme, any donations you give through the scheme will be taken before Income Tax is taken off.

You’ll still pay National Insurance contributions on the amount of your donation. But you won’t pay any Income Tax on the amount you donate.

We hope we helped and this knowledge will be useful in the future 🙂

🔍Do you know that you can apply for income tax relief? It’s very easy! 😉

‘Tax relief’ means that you either:

- pay less tax to take account of money you’ve spent on specific things, like business expenses if you’re self-employed
- get tax back or get it repaid in another way, like into a personal pension

⬇️You get some types of tax relief automatically - but some you must apply for.

📍So when can you get tax relief?

Tax relief applies to :

- pension contributions
- charity donations
- maintenance payments
- time spent working on a ship outside the UK.

It also applies to work or business expenses – you may be able to:

- get tax relief on what you spend running your business if you’re self-employed (a sole trader or partner in a partnership)
- claim tax relief if you’re employed and you use your own money for travel and things that you must buy for your job .

However, if you are still not sure whether you are entitled to income tax relief or not, just contact us and we will advise you as best we can. 🙂

As we all know well, Income Tax is a tax you pay on your income.

But! You do not have to pay tax on all types of income.

So let’s have a look on things that you DO NOT PAY TAX:

* the first £1,000 of income from self-employment - this is your ‘trading allowance’
* the first £1,000 of income from property you rent (unless you’re using the Rent a Room Scheme)
* income from tax-exempt accounts, like Individual Savings Accounts (ISAs) and National Savings Certificates
* dividends from company shares under your dividends allowance
* some state benefits
* premium bond or National Lottery wins
* rent you get from a lodger in your house that’s below the rent a room limit

If you only occasionally sell items or rent out property (for example through auction websites or short-term rental apps), check if you need to tell HMRC about this income on gov UK website.

Income Tax allowances and reliefs
Most people in the UK get a Personal Allowance of tax-free income. This is the amount of income you can have before you pay tax.
The amount of tax you pay can also be reduced by tax reliefs if you qualify for them.

Did you notice that your tax code has changed recently?

👇🏻You can be on an emergency tax code if your payslip show:

1257 W1
1257 M1
1257 X

These mean you’ll pay tax on all your income above the basic Personal Allowance.

👇🏻You may be put on an emergency tax code if HMRC does not get your income details in time after a change in circumstances such as:

- a new job
- working for an employer after being self-employed
- getting company benefits or the State Pension
- Emergency tax codes are temporary.

HMRC will usually update your tax code when you or your employer give them your correct details. If your change in circumstances means you have not paid the right amount of tax, you’ll stay on the emergency tax code until you’ve paid the correct tax for the year.

👇🏻Updating your details:

Your employer can help you update your tax code by sending details about your previous income or pension to HMRC.

👇🏻If you’ve started a new job:

Give your employer your P45 from your previous job. If you do not have a P45, your employer should ask you for the information they need instead.

👇🏻If you’ve started working for an employer after being self-employed:

Your employer should give you a ‘starter checklist’ - this is a form you can use to give them details about your previous employment.

👇🏻If you’ve started getting company benefits or the State Pension:

Check your tax code online to make sure it includes the State Pension or company benefit. If they’re not included, update your details in the tax code online service or by contacting HMRC.

📍The emergency tax code will stay in place until the end of the tax year. This means you’ll pay the right amount of tax for the current tax year. In the new tax year HMRC will put you on a regular tax code.

📍What your tax code means?

👇🏻Your tax code is made up of several numbers and a letter.

1257L is the tax code currently used for most people who have one job or pension.
HMRC will usually contact you to explain how they worked out your individual tax code if your tax code changes.

📍What the numbers mean?

👇🏻The numbers in your tax code tell your employer or pension provider how much tax-free income you get in that tax year.

HMRC works out your individual number based on your tax-free Personal Allowance and income you have not paid tax on (such as untaxed interest or part-time earnings). They also consider the value of any benefits from your job (such as a company car).

🔍 What about the letters? Please write your answers in the comment! ➡️ Let’s start with ‘BR’ 😉

Hello people! 👋🏼

Are you also looking forward to the weekend? Just a few hours to go! 😉 But before we get lazy, let's talk about HMRC. ⬇️

📌Do you disagree with the tax decision?

Did you know that you can appeal against some decisions about:

- your tax bill (for example Income Tax, Corporation Tax, VAT)
- a claim for tax relief
- a request for information or to check your business records
- a penalty (for example if you paid your tax late or filed your tax return late)

You’ll usually have to pay your own costs if you appeal a tax decision. You may be able to delay the payment of a penalty or any tax you owe until your appeal’s been resolved.

HM Revenue and Customs (HMRC) will send you a decision letter that will tell you if you can appeal against a tax decision.

Your appeal can be made by someone who deals with your taxes, for example an accountant.

📍If you need help talking to HMRC about your TAX decision, don't do anything yourself and ask a professional for help, contact us! You will save time and nerves and we will take care of everything. 😉

Childcare is a challenge for any parent, especially financially. However, if you have to work to provide a good living, you have no choice but to pay.

However, several schemes have emerged in recent years to ease this burden: childcare vouchers, which were terminated in 2018 but are still available to those who previously received them, have been replaced by the "tax-free childcare's scheme".

This scheme essentially gives tax relief (20%) on payments made to any registered childcare provider from the following list:

* Breakfast clubs and after-school clubs.
* Childminders
* Nurseries
* Playgroups
* Nannies
Nannies * Au-pairs
Clubs & holiday camps * Clubs & holiday camps

The maximum tax relief you can get in a year is £2,000 per child and this is capped at £500 per quarter and if you need seasonal childcare costing more than this amount it is advisable to top up regularly rather than just when you need childcare.

The relief works as follows: if the cost of childcare is £500 per month, you pay 80% of the amount by debit card or standing order (£400) and the government adds 20% to it on the same day (£200). Payments can be sent directly to the provider using your account.

There are more than 68,000 outlets registered with the scheme (statistics for 2022), so there's a good chance one of them is near you.

To qualify for the scheme, each parent must earn more than £142 a week and less than £100,000 a year. The child must be 11 years old or younger and the parent can be employed or self-employed and qualify for the scheme.

If you have a child with a disability, childcare is available until the child is 17 and you can claim up to £4,000 a year instead of £2,000.

Key dates for financial calendar 2021-2022

The importance of the days of the financial year is something that every taxpayer should keep in mind. Keeping up with these days, which occur throughout any financial year, will help to manage your taxes easily. Let’s look at the key dates for the 2021-2022 tax year beginning from the first day.

April 6th 2021, was the first day of the financial year 2021-2022.

April 19th 2021, was the Real Time Information (RTI) submission deadline of the year.

The addition of Interest for any unpaid PAYE and National Insurance in the 2020-2021 tax year started on April 20th 2021.

Remittance of any due PAYE for the 2020-2021 tax year was done on April 22nd 2021.

Calculating the 2020-2021 year’s daily penalties started on May 1st 2021.

May 31st 2021, was the deadline to issue the P60 forms to employees for the 2020-2021 financial year.

July 22nd 2021, was the deadline of electronic remittance for the 1st quarter of the 2021-2022 tax year.

The Second Payment on Account (POA) for the self-Assessment tax of the year 2020-2021 had to be made on July 31st 2021.

October 22nd 2021, was the deadline of electronic remittance for the 2nd quarter of the 2021-2022 tax year.

October 31st 2021, was the last day for the postal/paper submission of Self-Assessment tax returns of the 2020-2021 tax year.

A penalty of £100 will be applied if the 2021 paper tax return is not filed by November 1st 2020.

January 22nd 2022, is the deadline for electronic remittance for the 3rd quarter of the 2021-2022 tax year.

The Second Payment on Account (POA) for the self-Assessment tax of the year 2021-2022 must be made on January 31st 2022. This is also the deadline to file Online Self Assessments tax returns for 2020-2021.

A penalty of £100 will be applied if the 2021 online tax return is not filed by February 1st 2022.

April 5th 2022, marks the end of the 2021/2022 tax year and is the last day for any ISA contributions for the financial year of 2021-2022.

April 6th 2022, is the first day of the financial year 2022-2023.

#2021 #2022

Good Morning!

So talking about taxes, some tax rates have changed this year:

Corporate income tax - 19%

VAT - 20%.

Income tax
-Basic rate - 20%
-The higher rate - 40%
-Additional rate - 45%.

National Insurance
Class 2 - £3.15 per week (21/22 £3.05 per week)

Class 4 - 10.25% (21/22 9%)

Class 1
-Basic (Employee) - 13.25% (21/22 12%), higher rate 3.25% (21/22 2%)
-Additional (Employer) - 15.05% (21/22 13.8%)
-Class 1a (employer's NI charged on benefits) - 15.05% (21/22 13.8%)

CIS - 20%

Capital gains
-Basic - 10%, 18% on property income
-Higher & Additional - 20%, 28% on property income

So as you can see, this year the increase in National Insurance contributions will affect everyone.

Employees will pay higher social security contributions, the self-employed will pay higher social security contributions and all companies with employees will also have higher social security bills.

VAT is a royal pain in the arse. Many business owners are scared about crossing over the £85,000 revenue threshold and having to start charging the tax.

With good reason, if you are a direct to consumer business (you sell mainly to people, not other businesses), then charging 20% VAT will make your products or services either more expensive or less profitable.

This is because consumers are unable to reclaim the cost of VAT unlike businesses, who can reclaim VAT once registered for VAT.

£1,000 sale with 20% added on top makes you 20% more expensive, keeping the £1,000 total price means VAT is included in the price, effectively paying the VAT out of your pocket, about 16.67% of the total cost.

For business to business sales this mostly isn’t a problem, because they can reclaim the VAT unless they’re not registered or sometimes they’re not eligible to.

So even though you add 20% on to the total cost, the cost to them hasn’t changed, they’ll pay the extra 20% and reclaim it on their next VAT return.

So if you customers are primarily VAT registered businesses you should register for VAT straight away, because it won’t make you any more expensive to your customers and you’ll then be able to reclaim VAT on your purchases.

If you deal with consumers it’s better to wait until you have to register.

So when do you have to register? You must register for VAT if:

⭕️ You expect your VAT taxable turnover to be more than £85,000 in the next 30-day period
⭕️ Your business had a VAT taxable turnover of more than £85,000 over the last 12 months

At this point you no longer have a choice in registering, if you do not, this is essentially tax evasion whether intentional or not, and if discovered, which HMRC have a range of tool to help them, you will be forced to calculate and pay any taxes owed as well as possible fines.

Some business owners are so busy focusing on growing their company that they’re forgetting to do some of the most basic thing you should, to keep hold of as much of their profits as they can.

Here’s 5 tips that anyone can use to immediately become more tax efficient.

🗂 Efficiently file all receipts.

It’s all well and good your accountant allowing you to have the tax relief, which they may do despite you not keeping the best records, it’s whether you’d keep it in the result of a tax investigation by HMRC.

To be 100% certain, you must efficiently file all corresponding evidence to support each and every transaction.

👨🏻‍⚖️ Ask an expert to review your business structure

If you’re unsure whether your current set up is tax efficient, whether you really need a limited company or if a limited liability partnership suits your needs better, or if you really have the required income to make a Ltd company tax efficient, get an expert opinion.

Every month we speak to people who’ve made the wrong decision based of the wrong advice from the wrong people.

It will only cost YOU.

🚨 Take advantage of government schemes

Super deduction, apprentice grants, furlough, SEISS, bounce-back loans, energy efficiency grants, electric car incentives.

Billions and billions of pounds worth of incentives and support.

There is a massive amount of government funding and incentives available to all UK businesses all year round.

👨‍👩‍👧‍👦 Share the tax burden

One of the best ways for you to start saving tax is to start sharing some of the burden with your immediate family - dividends, shared ownership and salaries can all be used as you wage your war against the tax man.

Spouses are ideal as they receive exemptions from certain tax laws, but other immediate family members can be used to alleviate your taxes also.

🗣 Take all the free advice you can get

There is an ocean of free advice out there, from free consultations with lawyers, accountants, IFA, brokers, to a multitude of in depth articles written by experts.

All the advice you need can be as much as a Google search away.

Hello everyone! 👋🏼

✅This quick tip will help you work out how much VAT you are paying on a product or a service, when you’re only given the final price inclusive of VAT.

❌A common mistake that we see time and time again is people just multiply the amount by 20%, this is not right.

➡️To do it correctly is really simple, you take the total and divide it by 6, this gives you the total amount of VAT.

🔍To find the net amount of what you are purchasing, the actual cost, you then multiply this figure by 5.

☝🏼Why does this work, well the total including VAT is equivalent to 120% of the cost of the item, e.g.

📍£1,000 (100%) + 200 (20% of £1,000) = £1,200 (120%)

👇🏻20% goes into 120% 6 times, therefore if you’re looking to find what 20% of 120%, you just need to divide by 6.

✔️Simple. 😉

Hey People! 👋🏼

Under this post you can ask us questions on any topic related to accounting. If you are an owner of a large or small company and need help with something, feel free to ask us anything under this post! 💙

Hello people!

You have probably wondered more than once whether accountants can give advice?

Of course, they can! Cartwheel International gives you a free consultation before you officially start working with us, so you have time to make your decision.

In addition to providing factual information on financial services and products (general advice), we can help with:

- Accountancy and Assurance
- CFO Services
- Tax Planning
- Financial Review
- Asset Management

Want to know more or schedule your consultation?
For more details call 02081465674.

🦷A dentist, or dental technician or dental care professional’s services within the capacity of dental treatment is a considered an exempt supply for VAT purposes.

📌The exemptions apply to both private patient as well as NHS patients.

🪥This includes following services and goods/medicine:

- Dental Care and Treatment
- Drugs or appliances provided during dental care treatment
- Dentures
- Artificial teeth
- Crowns
- Bridges
- Plates
- Other orthodontic appliances

🔍Following products are standard rated supplies even though it may be prescribed as part of dental treatment.

- Toothbrush
- Tooth Paste
- Dental Floss

📍Cosmetics Dental Surgery/Treatment:

Cosmetic dentistry services will only be exempt if it was prescribed a registered health professional.

❌If this condition is not met, then the services will be standard rated supply.

✅In addition to that any supplies made by an individual who has ceased to practice will be standard rated.