A new scheme of tax-free childcare is scheduled to launch in autumn 2015 and rolled out within a year to all eligible families with children under 12, the government has announced. An earlier version of the set-up had the age limit at four years old.
The subsidy itself has also been increased, meaning parents will receive as much as £2,000 for each child: 20% support on care costs up to £10,000. The maximum amount proposed originally was £1,200.
RTI guidance updated
The new tax and National Insurance (NI) rules on offshore employment intermediaries will take effect from 6 April.
With regard to offshore intermediaries:
Each Taxation writer provides a tetrad of analyses of the chancellor’s announcements
Employers face penalties at the end of the 2013/14 if they should have started using the real-time information (RTI) system but have not yet done so, HMRC have warned.
The department urged firms to act immediately, having already issued letters in June and September 2013 to urge employers to start reporting PAYE in real time as soon as possible.
CRC v Apollo Fuels Ltd and others, Upper Tribunal (Tax and Chancery Division)
HMRC have fixed a problem with their business tax dashboard that caused employment records to merge on the department’s systems.
The error hit some firms that employed a work to do more than one job within the same PAYE scheme, and resulted in erroneous consolidation of the separate employments.
Affected accounts were incorrect on the business tax dashboard – but the Revenue has updated the employer records, which will be displayed as follows:
Aspect Capital plc v CRC, Upper Tribunal (Tax and Chancery Division)
L Howard (TC3154)
An IT contractor operates via a limited company as the director and shareholder, paying himself a low wage and dividends. His brother is also an IT contractor, but is a disqualified director and has been using the limited company as a conduit for his income
Peebles Baptist Church (TC3204)
Download the exclusive Xero
free report here.
