Britain is extremely unlikely to face an economic recession over the next two years and is on safer ground than any other major country in the developed world, according to a new crisis-study by Goldman Sachs.

Will Buy-to-let taxes affect you?

As limited companies are not affected by the tax relief changes, it may be financially beneficial for some landlords to consider using this vehicle for their buy-to-let property investments. Of course, it will depend on individual circumstances and landlords considering this option should seek qualified tax advice beforehand.

Tax credits reversal

http://www.independent.co.uk/voices/the-privileged-osborne-must-never-be-allowed-to-wield-the-economic-axe-against-working-families-a6748391.html

excellent article in the independent which in our view supports our compaign against the tax credit cuts

Setting up in Business? - Things to consider

When setting up a business, especially with family or friends, it is easy to assume that nothing will go wrong in the future. You assume that as you trust one another you do not need to put in place things like shareholders’ or directors’ or partnership agreements.

Whilst they sometimes consult their own advisers, it’s up to you to make sure that your investment and shareholding documents comply with the law. If you don’t, and things go wrong, you expose your business and possibly yourself to liability.

Why this is a problem: Hopefully nothing will go wrong in the future but even family members and best friends fall out. If the worst should happen you could then end up with nothing and you might face the breakdown of a friendship alongside a costly and acrimonious legal dispute.

If an investor puts money into your business and loses money, they’ll often ask their lawyers to investigate whether appropriate disclosures were given. If they were not, investors may sue – and seek damages.

Growth is good. It’s a sign that your product or service works!

But to the Finance Controller, growth can bring a bitter aftertaste.

􀁕􀃊 A push into a new geographic region, for example,

means the business needs to deal with half a dozen

new currencies, languages and tax jurisdictions.

􀁕􀃊 An acquisition brings with it new legacy systems

that may or may not work with the existing ERP

/ accounting system.

􀁕􀃊 The need to meet new requirements spawns ad-hoc

solutions that immediately start to look permanent.

In other words, growth sows the seeds for chaos within

an otherwise well-run company’s financial management

systems and processes. The cost of compliance can build

up, often undetected, as a result.

Can back-end systems worsen the situation, or aid it?

Changes to flexible working laws that you need to know about

Before 30 June, 2014, only employees who care for certain children or adults living with them had the right to request flexible working.

Under new rules, which apply to England, Wales and Scotland, any employee with at least 26 weeks' service can now ask for flexible working.

Employees must make the request in writing, date it, and state whether they've asked for it before and, if so, when.

Changes have also been made to how these requests are dealt with. Previously, there was a statutory procedure in place to deal with requests. Now, you have a duty to deal with requests in a 'reasonable' manner. You also have 3 months to consider their request, talk to them about it and tell them of your decision (this period can be extended if agreed).

Retain Key personnel

How do you keep your best employees? - Here is something to think about:

1. Provide incentives: either by giving them more responsibility in the business so that they can learn and improve

2. Recognition: nomination by other employees for best candidate for an award

3. Promotion: recognise achievement and best practice

How can you terminate an employee’s contract?

 

Terminating an employees contract is one of the less pleasant things you will have to do so it pays to know what the process is.

These are some of the key steps you need to go through:

  • Know precisely why the employee is being dismissed - the grounds should be based, obviously, upon nondiscriminatory reasons. Don't do it on a whim and collate records of misdeeds and the grievance procedures that have already taken place.
  • Keep it brief. Get the bad news across at the outset. Avoid long speeches and platitudes.
  • Let them speak - Let the dismissed employee have an opportunity to get their side across, without interruption.
  • Settle the account - Have any final payroll cheque, benefits, or holiday payments prepared in advance and provide the dismissed employee with a financial statement.

While most employees respond to a dismissal with shock and anger, be cool, calm, collected and professional so the employee understands why you're doing what you're doing.

Self Employed? Sole Trader? CIS refunds

We can assist you obtain a tax refund if you are engaged as a self employed sub-contractor in the construction industry. Similarly if you are Self Employed or operate as a Sole Trader we can minimise your tax bills, give us a call or email us.

We offer rates from only £120 per annum which can be submitted as part of your expenses.

Failure to pay National Minimum Wage

Future changes: increased fines for those who fail to pay the National Minimum Wage

An employer who is caught paying less than the NMW is required to pay the unpaid wages and also a financial penalty of 50% of the total underpayment, up to a maximum of £5,000. The penalty will increase to 100% of the unpaid wages, with a new maximum of £20,000.

Regulations introducing these new limits came into force in February 2014.

TUPE - What's next?

The Transfer of Undertakings (Protection of Employment) Regulations (commonly shortened to "TUPE") aim

to protect employees who work in a business, or part of a business, which is transferred. All rights and

obligations transfer (including trade union recognition) except criminal liabilities and occupational pension

schemes. However, employees who were members of an occupational pension scheme before a TUPE

transfer are entitled to join a scheme or be eligible to join a scheme provided by the new employer.

Dismissal is unfair if the reason for it is the transfer, unless there is an "economic, technical or organisational

reason" ("ETO") for the dismissal (for example, redundancy). Changing terms and conditions are only lawful

if the changes are unrelated to the transfer or if there is an "ETO" reason. Special rules apply if the transferor

is insolvent.

The vendor or outgoing contractor is required to provide "employee liability information" to the purchaser or

incoming contractor.

Two types of transfer are covered under TUPE: a "business transfer" and a "service provision change"

(SPC).

• A business transfer occurs when a business or trade (or part of it) situated in the UK immediately

before the transfer moves to a new owner. This includes the sale of all or part of a business, it also

includes mergers or a change of licensee, franchisee or a concession. TUPE only applies where the

business (or part of it) retains its identity after the transfer has taken place.

• A service provision change would be where contracted out services are transferred to a new

contractor OR when a service provided by an employee/s is then outsourced to a contractor, or

where external services (provided by a contractor) are brought back in-house. In a service provision

change, there is no requirement for the entity to retain its identity after the transfer.