The impact of FRS102

UK and Irish accounting standards are in the midst of the most significant overhaul for decades. From 2016, previous standards are being replaced by a single new standard, FRS 102, which is based on more complex international accounting standards. The introduction of FRS 102 will mean changes to accounting treatment that could have a substantial impact on your own accounts.

We have published further guidance for service, manufacturing and property management companies.

Click here if you are a:

Service business

Manufacturing business

Property Management Company

For further information about how FRS102 will affect your business, please contact Martin Wharin, Business Services Partner at Hart Shaw on 0114 251 8850 or martin.wharin@hartshaw.co.uk.

Money Matters – Winter 2015

Hart Shaw’s winter newsletter, Money Matters, covering articles on a number of topical issues is available to download from our website. 

Download your copy of Money Matters here.

In our lead article we consider whether your business may be at risk for ‘failure of commercial

Download Money Matters here

organisations to prevent bribery’ and the procedures that need to be put in place to reduce your business’ exposure and to prevent prosecution under the Bribery Act.

The Enterprise Investment Scheme is now over 20 years old. Our article considers the significant tax breaks available and points out the pitfalls of failing to claim the tax reliefs available on a timely basis.

We report on the introduction of a register of persons with significant control (PSC) which will need to be maintained by companies and filed at Companies House. The register will allow interested parties to check who ultimately controls the company.

HMRC are warning of the risks of bogus HMRC phishing emails, texts and websites. We also include links for reporting incidents and viewing examples. With the self-assessment deadline approaching it is important to be vigilant as the deadline has previously prompted an increase in phishing activity.

The Scottish Rate of Income Tax (SRIT) is to be introduced from 6 April 2016. We consider who the SRIT will apply to and the operation of PAYE for affected employers.

Changes are proposed to the rules for claiming a deduction for the costs of repairs and replacement furnishings for landlords of residential property. We consider the impact of the proposed changes for landlords of unfurnished, partly and fully furnished residential property.

We advise on availability, for a limited period, of the pensions top up window. This enables those eligible to top up their State Pension entitlement by up to £25 per week. The Class 3A lump sum payment required varies depending on your age and sex.

Please contact us if you have any questions regarding any of the articles we have included in our newsletter or if you would like further information on a topic we haven’t covered. Your views are always important to us and we would welcome your feedback.

 

Read Hart Shaw’s newsletters

Download Hart Shaw’s mobile app

Follow Hart Shaw on Twitter

UK’s smallest employers need to embrace auto-enrolment

Hart Shaw has responded to a Chartered Institute of Payroll Professional survey which states that more than a third of workers reaching the end of their working lives are not planning financially for their retirement.

At a time when auto-enrolment is very much at the forefront of SME owners’ minds, 36 per cent of individuals aged 51-60 admitted to having no pension provision. Meanwhile, two-thirds of 20-24 year-olds surveyed also confessed to having no pension plans, with 30 per cent of all survey respondents fearing that their final pension pot is unlikely to be enough to live on when they do come to retire.

Martin McDonagh, Managing Partner at Hart Shaw said: “I would hope that most people are thinking about their future, but these results show that a great many towards the end of their working lives are not planning for their retirement.

“This should act as a wake-up call for SMEs to look at their automatic enrolment staging date and evaluate the role that payroll plays within their organisations. Auto-enrolment is here to stay and will not go away by ignoring it.

“Small employers should therefore be embracing auto-enrolment and promoting the virtues of it to their staff. After all, the survey revealed that 55 per cent of employees feel saving for the future through payroll is a good idea.”

If you would like more information please contact Martin McDonagh on 0114 251 8850 or martin.mcdonagh@hartshaw.co.uk.

 

Read more about Hart Shaw’s payroll service

Obtain a free quotation to outsource your payroll

Download Hart Shaw’s free mobile app

Employment law and the tax implications: Is your business ready to take on employees? – Wednesday 21st October 2015

A free MADE fringe event with business experts Hart Shaw and Ironmonger Curtis.

Are you employing people? Do you engage people on a self-employed basis? Are you self-employed but generally do work for a single or a small number of clients or customers? Are you sure about yours and your contractors’ tax status? Will HMRC regard them or you as employees? If so what are the consequences?

Problems often arise in this complicated area of tax and employment law and getting it wrong can have costly consequences. A person’s status can be different depending on whether it is considered from an employment law or tax point of view.

Hart Shaw Chartered Accountants and Ironmonger Curtis Solicitors are joining forces at MADE 2015 to deliver a seminar aimed at entrepreneurs, new business start-ups and early growth stage businesses to highlight the key areas your business needs to be aware of and the risks involved when engaging people in your business. Topics for discussion include:

• Employment Vs Self Employment
• Employer requirements
• Directors service agreements
• Payroll & RTI
• Auto Enrolment
• Benefits in kind
• Termination payments

Join Carla Davis, Tax Manager & VAT Advsier from Hart Shaw, Jon Curtis, Employment Law Partner from Ironmonger Curtis and Toby Pochron, Employment Law Solicitor from Ironmonger Curtis for a crucial insight into the benefits and risks of being an employer.

This seminar is aimed at Entrepreneurs, new business start-ups and early growth stage businesses, and is free to attend.

 

The details are:

Date: Wednesday 21^st October 2015

Time: 10:00am to 12:00pm

Venue: Vincent Harris Suite, Sheffield City Hall

 

To confirm you attendance please contact Brendan Hall at Hart Shaw on T: 0114 251 8872 or email: brendan.hall@hartshaw.co.uk.

Places are limited so please book early to avoid disappointment.

 

Attendees of this event can apply for discounted tickets to the MADE Festival conference on Thursday 22^nd October 2015 using the discount code: FRINGE10

 

Attend the MADE Festival

Attend Hart Shaw’s other forthcoming events

Follow Hart Shaw on Twitter

Employing someone for the first time: a tax and accounting perspective – Thursday 15th October 2015

There are many things to think about when you are employing people for the first time. If you don’t have a full understanding of the requirements this could result in penalties and interest.

Hart Shaw Chartered Accountants in association with Business Sheffield are delivering a workshop which will highlight the main questions that a business needs to ask itself when employing people for the first time such as:

• When do I need to tell HMRC I am employing people
• What do I have to tell HMRC
• What are my ongoing reporting requirements
• Do I need an accountant to prepare my payroll
• How do I pay my staff
• What is the national minimum wage
• Can I pay my employees expenses and benefits
• What is Real Time Information
• What is Auto enrolment

This event will be delivered by Carla Davis, Tax Manager & VAT Adviser and Aaron Alcock, Independent Financial Adviser of Hart Shaw Chartered Accountants.

Full details are:

• Date: Thursday 15th October 2015
• Time: 1:00pm to 3:00pm
• Venue: Business Sheffield, 11 Broad Street West, Sheffield, S1 2BQ

To confirm your attendance please contact the Business Gateway Team at Business Sheffield on T: 0114 224 5000 or email: businesssheffield@Sheffield.gov.uk.

 

Attend Hart Shaw’s other forthcoming events

Follow Hart Shaw on Twitter

Download Hart Shaw’s mobile app for business

SMEs are looking to grow

Sheffield based Chartered Accountants, Hart Shaw has welcomed news that growing a business is top of the agenda for 34 per cent of SMEs. That’s according to research from Close Brothers Asset Finance.

The quarterly survey of UK SME owners and senior management from a range of sectors also revealed that more than half of firms have already experienced growth in the last 12 months, while a further 37 per cent expect their business to expand during the next year.

Patrick Abel, Corporate Finance Partner at Hart Shaw said: “It’s great to see that so many SMEs appear to be experiencing the benefits of an improving financial climate.”

The results also highlighted that a significant number of firms are planning to recruit, with 43 per cent hoping to take on new staff within the next year.

Patrick added: “Naturally, firms need to expand their team as they grow organically but the challenge often lies in how they manage this growth. It’s important that firms seek professional advice to help with obtaining funding.

“I would urge any business owners looking at expanding to ensure that they assess their plans and evaluate all of the financial options available to help them find an appropriate solution to fit their needs. At Hart Shaw my team and I can assist with a range of issues affecting SMEs and we can also handle the payroll. This allows SME owners to get back to doing what they do best; running their business and growing their enterprise.”

If you would like more information please contact Patrick Abel on T: 0114 251 8850 or email: patrick.abel@hartshaw.co.uk

 

Read more about Hart Shaw’s Corporate Finance services

Read more about Hart Shaw’s Payroll services

Download Hart Shaw’s mobile app

Sheffield City Region Breakfast Club – Tuesday 13th October 2015

Hart Shaw Chartered Accountants and Reynolds Trade Credit, in association with Bhayani HR & Employment Law are delighted to announce the next Sheffield City Region Breakfast Club, which is taking place at the Advanced Manufacturing Park between 8:00am and 9:30am on Tuesday 13^th October 2015.

This event marks the second anniversary of the Sheffield City Region Breakfast Club.

The format of the meeting is open networking followed by a short discussion and Q&A session.

The topic for discussion at this event is “Watertight HR- protecting your business and cutting cost” and will be delivered by Jay Bhayani.

 

Jay has established an impressive reputation as one of the leading employment lawyers in the Yorkshire region previously having been senior partner and head of employment in a Sheffield practice for 18 years. Jay has won various accolades including Yorkshire lawyer employment lawyer of the year award and short listing for the Yorkshire and Humberside Institute of Directors business adviser of the year award. In 2013, Jay was awarded the ABDN Professional of the Year award and in 2015 she has had national recognition, being the only employment solicitor in the region to have a UK top rating in the consumer ratings website, Vouchedfor.

As employers you might often ask questions such as  “What do I do if a key member of my workforce is on long term sick?”, “how do I dismiss a worker who isn’t doing their job?”,  “I want to reduce my employee numbers to increase profitability, I am told that the law says I can’t sack anyone if they have been with me for over 2 years”, “I take on sub-contractors regularly in my business, what does the law require me to do to ensure they are not classed as employees?”

Come along for some practical tips and advice to protect your organisation, at minimal cost.

As ever, we aim to keep the presentation time short, focussing on networking and discussion opportunities between group members.

 

Full details are:

• Date: Tuesday 13^th October 2015
• Time: 8:00am for breakfast sandwiches and open networking, followed by a brief presentation, with Q&A and further networking until 9:30am
• Venue: Advanced Manufacturing Park, Technology Centre, Brunel Way, Catcliffe, Rotherham, S60 5WG

 

The breakfast club is FREE to attend and you are very welcome to bring a guest or a colleague.

To confirm your attendance please contact Brendan Hall at Hart Shaw on T: 0114 251 8872 or email: brendan.hall@hartshaw.co.uk.

It is essential that you pre-book as we regularly reach capacity at the venue. Places are limited so please book early to avoid disappointment!

We look forward to seeing you there.

 

Attend Hart Shaw’s forthcoming events

Follow Hart Shaw on Twitter

Download Hart Shaw’s mobile app

Tax relief on pensions 2015/16 and beyond

The Government announced in the Summer 2015 Budget their intention to cut pensions tax relief for

Download ‘Tax relief on pensions 2015/16 and beyond’ here

high earners by introducing a tapered annual allowance from April 2016 for individuals with income (including the value of any pension contributions) of over £150,000, and who have an income (excluding pension contributions) in excess of £110,000. The rate of reduction in the standard annual allowance of £40,000 is by £1 for every £2 that the adjusted income exceeds £150,000, up to a maximum reduction of £30,000.

Although this measure may not directly apply to you, in advance of its implementation, a change is to be made to align ‘pension input periods’ with the tax year replacing the complex rules which have applied until now. This change could affect many individuals and therefore transitional rules will operate during 2015/16 to protect savers who might otherwise be affected by the alignment of their pension input periods. The impact of these transitional changes is that it may provide a one off additional opportunity during 2015/16 to maximize pensions saving tax relief.

This briefing looks at why pension input periods are important, why there are transitional rules and how these rules operate, detailing various examples of different scenarios of pension input periods.

 

Download ‘Tax relief on pensions 2015/16 and beyond’ here.

Read Hart Shaw’s newsletters

Read more about Hart Shaw’s Taxation services

VAT on overseas and property transactions

As with most taxes there are many areas in VAT that can have costly implications if a business does not get it right.

In this video, Hart Shaw’s VAT Adviser, Carla Davis looks at the complexity of the VAT rules from the viewpoint of UK businesses with particular focus on the sale of services overseas specifically to the EU and businesses who are entering into property transactions.

Watch Hart Shaw’s video on ‘VAT on property and overseas transactions’

If you require VAT advice on overseas transactions or property transactions our VAT team can help. Please contact us on 0114 251 8850 or email taxation@hartshaw.co.uk.

 

Watch VAT on overseas and property transactions here.

Watch Hart Shaw’s video content

Download Hart Shaw’s mobile app

 

Pensions – maximising the opportunities for tax relief

The recent substantial changes to the rules for accessing money purchase pensions and the treatment of funds remaining on death has sparked increased interest in pension fund provision.

In our latest briefing we consider the amount of allowable tax relief on pension contributions and the extent of taxation of the funds on retirement to ensure tax efficiency is obtained and tax charges are avoided.

 

Download ‘Pensions – maximising the opportunities for tax relief’ here.

Read Hart Shaw’s newsletters

Download Hart Shaw’s mobile app