Those who work for themselves are always keeping an eye on the news to check whether planned changes will affect them, and when there is a big announcement such as the Budget imminent, there is always plenty of speculation. Those who work for themselves will always hope be acknowledged, whether that’s through tax breaks or additional benefits, but will the dreams of the independent workforce be realised?
Experts make predictions about Chancellor’s announcement
With the 2016 Budget announcement looming, plenty of people will be waiting with baited breath to see how their sectors fare when the Chancellor sets out his plans for the future. While there is still time to make changes, those organisations which lobby the government on behalf of their members are attempting to put pressure on George Osborne to ensure that they will not be forgotten when it comes to making legislative changes. Travel and subsistence will be one of the main issues that will draw attention as the critics of the planned changes hope that George Osborne will change his mind about their abolition.
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VAT investigations net significant sums for HMRC
Deliberate underpayment of VAT on the part of a small number of businesses could be causing those companies making genuine errors significant problems when it comes to dealing with HMRC. Although it may be only a small minority who are actually attempting to evade VAT, by treating any SME that has inconsistencies in its VAT return as though they are actively trying to subvert the system, many companies are having to spend a lot of time, money and effort resolving such issues. The additional income generated by these investigations is vital to HMRC, but many believe that there should be some middle ground.
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Tax plans may be more positive than expected
The self assessment deadline is always one of the most fraught times of the year for those who work for themselves as independent professionals across the country try to ensure that their finances are in good order. Planned changes to the way the system works revealed the worrying news that quarterly reporting could mean that this panic sets in four times a year from 2018. A petition with 100,000 signatures has been presented to the government, asking them to reconsider the plans, and they have defended them by claiming that the planned changes should be nowhere near as complex as the current system.
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Contractors urged to prepare for dividend tax changes
The controversial changes to the way dividends are taxed will come into place soon, and those who are likely to be affected are being reminded that they will need to be prepared for the implementation of those changes. The Treasury is likely to try and claim as much of the new tax as possible as soon as possible, which they will do by altering the tax codes of those who will be affected and using estimations to collect the tax based on expected earnings.
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