Tax / PAYE Settlement Agreements (PSA): reviewing the rules

An overhaul of PAYE Settlement Agreements (PSA) is long overdue and the latest proposals could simplify the current administrative inflexibility over expenses and benefits in kind, making the system less subjective, says Andrew Brookes, head of employer solutions at Menzies

Tax / Dodwell: soft law and corporate tax strategy

The volume of UK tax law is often criticised as every year another 600 pages are added to the tax code, but increased transparency with the publication of company tax strategies is a welcome development. Bill Dodwell, partner and head of tax policy at Deloitte considers the growing impact of so-called soft law on taxpayer behaviour at a corporate level 

Tax / Taxpayers split over HMRC move to deduct interest underpayments via PAYE

HMRC’s claims the move to gather data on interest payments directly from banks and adjust PAYE codes is ‘unproblematic’ although some taxpayers are concerned about privacy, data security and confusing communications from the taxman

Audit / AAPA no longer recognised supervisory body for audit

The Financial Reporting Council (FRC) has decided to revoke the recognition of the Association of Authorised Public Accountants (AAPA) as a recognised supervisory body (RSB) for audit with effect from 31 December 2016

Tax / Extra jail time served for cooking up £600K restaurant VAT scam

Five men, including two who were already in prison for a previous VAT fraud conviction, have been sentenced after an investigation by HMRC into a £600,000 tax fraud carried out at two curry house restaurants

Tax / EU reshapes plan for single corporation tax return

The European Commission has re-booted its long-delayed plans to introduce a Common Consolidated Corporate Tax Base (CCCTB), which it says have been reworked to be more pro-business and if approved by the EU28 will reform corporate taxation across the EU

Insight / KPMG administrators to buckling steel company

Howard Smith, associate partner, and Jonny Marston, partner, from KPMG's restructuring practice have been appointed joint administrators to collapsed SBV Engineering, with the loss of 38 jobs

Insight / Inquiry finds Doncaster charity ‘seriously mismanaged’

A Charity Commission investigation into the now-dissolved Rebound Gateway Group has concluded the charity was seriously mismanaged and identified a number of financial irregularities

Insight / Gender pay gap improves at manager level

The gender pay gap for full-time employees in 2016 remains unchanged year on year for full-time workers although the overall salary divide is showing slight signs of improvement at management level although it remains above 10%

Accounting / FCA consults on long-term strategy to avert future financial crises

The Financial Conduct Authority (FCA) has launched a consultation on its mission to provide a core set of principles about future strategy and day-to-day work in a bid to strengthen its effectiveness as the financial regulator

Insight / Scottish business insolvencies down by 16%

The number of Scottish businesses becoming insolvent or entering receivership is down 16% to 218 in quarter three of 2016

25 Oct 2016

Insight / Economic trends: economy in limbo

The UK’s economy could steer clear of recession, but Brexit shockwaves still reverberate throughout the market as uncertainty about the economic outlook has caused growth to slow, says Chris Williamson, chief economist at Markit

Accounting / International reporting: audit considerations under IFRS 9

Under the new accounting rules set out in IFRS 9 Financial Instruments, there are a number of key issues for auditors to consider including lending models, credit risk and proportionality, says Jeroen Van Doorsselaere, IFRS expert at Wolters Kluwer Financial Services

Insight / Former accountant jailed over £151K online relationship fraud

A former accountant from Ashford who persuaded a client to lend him £151,000 has been given an 18-month jail sentence after being found guilty of fraud, having been scammed himself by a love interest he met online

Tax / Road tax rates set to rise for £40K plus new car purchases

An overhaul of the road tax system from April 2017 will mean that purchasers of new cars valued over £40,000 will face a five-year charge in addition to the annual road tax rate, which is set on a sliding scale

Tax / US tax authorities pass $10bn offshore tax milestone

The Internal Revenue Service (IRS) said the move had prompted over 100,000 taxpayers to come forward, and credited the introduction of automatic third-party account reporting with accelerating the process.

Insight / UK regulators ‘sleepwalking’ to next financial crisis

The culture of the UK’s financial regulators needs to change to avoid ‘sleepwalking’ into another financial crisis, according to report by the Cass Business School which warns that crucial changes following the 2008 crash are already being watered down

Tax / Devolution could see Wales lose ‘hundreds of millions’ in tax

Wales could lose ‘hundreds of millions’ a year in tax revenues if a deal to devolve tax powers to Cardiff does not take into account lower incomes and slower population growth in the country, a report suggests

Accounting / Charity accounts filing deadline reminder for 31 October

The final reminder for filing charity accounts for year end 2015 for the largest charities is less than a week away, warns the Charity Commission, with deadline for receipt of accounts on 31 October 2016 and nearly 1,600 charities running close to the wire

Insight / Watford Football Club investigated over ‘forged’ financial paperwork

Premier League football club Watford is under investigation by the English Football League (EFL) over claims it supplied false financial information to the governing body when a new owner was being cleared to take beneficial control

Insight / Begbies Traynor identifies ‘Brexit bounce’ at accounting and law firms

UK businesses across nearly every sector of the economy including professional services are showing positive signs of stability following the EU referendum, according to research from Begbies Traynor

Technical Alerts

24 Oct 2016

Tax / Nunn: the risk of ‘digital first’ tax policy

Yvette Nunn CTA is criticical HMRC’s digital first tax policy after a tribunal case illustrates how easily mistakes can be made

Tax / Concentrix tax credits staff in TUPE move to HMRC

The controversial tax credit contract outsourced to Concentrix, which has been slated by MPs for serious customer service failures, is being brought back in-house with immediate effect, with existing private sector staff transferring to work at HMRC in Belfast

Tax / Kent accountant jailed for part in £6.9m payroll fraud

Three Kent men including accountant Aquil Ahmed have been jailed after a two-and-a-half year payroll fraud that saw them steal £6.9m of UK taxes

Tax / Upper Tribunal overturns VAT decision on pitch hire at fairs

With the Christmas season approaching, HMRC has won an appeal to the Upper Tribunal over the issue of VAT on the hire of pitches for stalls at organised events such as game fairs, rural shows and craft fairs, which has overturned the previous ruling by a First Tier Tribunal (FTT) that no VAT was due

Tax / Bury Football Club cries foul over HMRC petition

Bury Football Club is facing another winding up petition from HMRC, following on from one which it successfully challenged earlier this year, and claims the tax authority is ‘intent on winding a football club up'

Insight / Grant Thornton expands with Aberdeen office

Grant Thornton has set up an office in Aberdeen in a move to expand in the north east of Scotland as part of plans to achieve long-term growth in Scotland, part of the firm’s 2020 strategy of focusing on increased profits, investment in people and a more dynamic range of services

Insight / Charity Commission launches campaign to counter multimillion pound charity fraud

The Charity Commission has launched a website dedicated to helping charities in the fight against fraud, providing an initial point of reference for trustees, staff and volunteers in a bid to clamp down on the estimated £2bn of VAT fraud 

Insight / FTSE 100 reporting identifies cyber risks as critical

Cyber threats are increasingly identified as a critical business risk in company reporting according to analysis for Deloitte’s annual survey of a sample of 100 UK listed companies

Tax / Braddick named Treasury’s DG financial services

Katharine Braddick has been appointed to the role of director general, financial services at the Treasury following an external recruitment process

Technical Alerts