HMRC are asking married couples to register their interest in claiming the new Marriage Allowance due to start after 6 April 2016.
If one person's total income is going to be less than £10,600 in the 2015 to 2016 tax year, they may be able to reduce their husband, wife or civil partner’s tax by up to £212.
The allowance can be claimed if the spouse or civil partner has an annual income of between £10,601 and £42,385.
The relief is not available to higher rate payers.
If this applies to you, then you can register your interest with HMRC at www.gov.uk/marriage-allowance.
If you would like to discuss if you are entitled to this allowance then please do not hesitate to contact me at firstname.lastname@example.org or 01482 650297.
chancellor has announced changes today which could bring big savings to those buying a new property.
From midnight on 3rd December, the new rates of stamp duty will only apply to the amount of the purchase price that falls within the particular duty band, making it more like income tax.
In other words, someone buying a house for £200,000 will pay nothing on the first £125,000, and then 2% of the next £75,000, giving them a bill of £1500. Previously they would have paid 1% on the total purchase price, giving them a bill of £2,000.
The new rates are
Up to £125,000 : 0%
£125,001 to £250,000 : 2%
£250,001 to £925,000 : 5%
£925,001 to £1.5m : 10%
Above £1.5m : 12%
Also those people who are in the middle of purchasing a property and have exchanged by midnight tonight but not completed will be able to choose whether to use the old or new system. This could give an unexpected bonus of hundreds to thousands of pounds.
Please contact Newsham & Co if you require any clarification on the changes.
or 01482 650297
From the 6 April 2014 you can get the Employment Allowance which could reduce your employer's Class 1 National Insurance Contributions (NICs) by up to £2,000 every year.
Who is eligible? Almost every employer who is a business or charity (including a Community Amateur Sports Club) that pays employer Class 1 NICs on their employee's or director's earnings will be eligible.
How do I apply? If you're eligible all you need to do is claim it using your 14-15 payroll software. This will depend on your package, but will most likely be a box you have to tick. If Newsham & Co process your payroll we will claim this automatically on your behalf.
Up to 1.25 million businesses and charities will benefit from the Employment Allowance and around 450,000 will not have to pay any Class 1 NICs at all in 2014-15.
Contact us if you would like Newsham & Co to process your payroll and to find out how much national insurance your business could save.
There is a concession available until 5 April 2014 for employers who employ less than 50 employees. The concession is the employer does not have to submit their weekly pay figures until on or before the last pay day in the tax month (5th Month). For example if the last weekly payment in the tax month was 28th February, then the weekly RTI submissions for the full month would be due by 28th February.
From April 2014 this concession will now only be available for existing employers who employ 9 or fewer workers and will be available until 5 April 2016. All new employers, as well as existing employers with 10 or more employees, will need to report PAYE information in real time from 6 April 2014.
If you need any assistance with your payroll affairs please contact Newsham & Co.
The statutory sick pay (SSP) percentage threshold scheme (PTS) is to be abolished at the end of the 2013/14 tax year. The PTS compensates employers for higher-than-average sickness absence and smalll employers. An employer is entitled to recover some of the SSP paid to their employees if the total SSP paid in a tax month is greater than a set percentage of their gross Class 1 NICs (employers' and employees') liability for that month.
From April 2015 it will be possible to transfer savings kept in a child trust fund (CTF) to a junior ISA. This was announced by the government on 23 December 2013. This will affect children born between 1 September 2002 and 2 January 2011.
The government has set out the benefits of making a transfer which include those transfering a CTF may get better returns on investment, pay lower charges and have a greater choice of products by transferring to a junior ISA.
See here for more details.