- Tax return deadline extended.
As was the case in 2021, HMRC have taken account of the current coronavirus situation and its impact on individuals and businesses and have announced that no penalties will be issued for tax returns which are filed before 28th February 2022.
The normal deadline is of course 31 January.
However, the deadline for payment of any tax arising remains 31 January and we wish to ensure that all our clients’ tax return are in fact filed by 31 January and not take advantage of this amnesty, on the simple basis that if tax is paid late, interest will be charged.
- VAT Penalty Regime.
HMRC were due to bring in a new penalty system with effect from 1 April 2022 but HMRC have announced that this has been delayed by nine months until January 2023. We will not therefore give details of the changes now but will do so nearer the time.
The Financial Secretary to the Treasury, Lucy Fraser said “HMRC is committed to becoming one of the most digitally advanced tax authorities in the world. The extra time allows HMRC to ensure the IT changes necessary.”
Editorial comment – it is nice to know that HMRC have these ambitions. For practitioners such as us, we would rather they concentrated their efforts on actually responding to correspondence quickly instead of the nine to twelve months it now takes to do anything. It seems to us that HMRC are approaching a top down policy to their management of the tax system whereas a “bottom up” approach to sort out the very many inefficiencies that taxpayers are encountering on a daily basis, would be a more fruitful priority.
- We warmly congratulate our Henry Van Perlstein and Nick Seaw for having successfully completed their First Aid course.
We would remind all businesses that there is a legal requirement to make sure that they provide adequate and appropriate First Aid equipment, facilities and personnel in the workplace. What this actually entails is not defined in legislation but the Health and Safety Executive recommends that if work activities are low level hazard (EG Office or shop), and there are less than 25 employees, only one appointed person as a minimum may be suitable.
All businesses should undertake an assessment to determine their requirements.