Business

Are you ready for the corporation tax rise?

The main rate of corporation tax is increasing from 19% to 25% for companies with profits over £250,000 on the 1st of April 2023. The 19% rate will be used as a small profits rate, for companies with profits of £50,000 or less. Any companies with profits between the margin of £250,000 and £50,000 will pay tax at the main rate, but it will be reduced by a marginal relief. This will lead to a gradual increase in the effective corporation tax rate.

What are we expecting in the spring budget?

Mr Hunt will deliver his Spring Budget in Parliament on Wednesday 15 March. The Chancellor normally delivers his statement after Prime Minister’s Questions, which typically finish at 12.30pm. His statement is likely to focus on the Government’s aims to halve inflation, reduce public debt and boost economic growth.

Energy Bills Discount Scheme

The Energy Bill Relief Scheme currently provides a discount on wholesale gas and electricity prices for all non-domestic consumers. This includes public sector organisations, voluntary sector organisations like charities, and businesses. The scheme came into effect on 1 October 2022 and was always intended to run until 31 March 2023.

Digital Self-Assessment Delay

The Treasury has announced that Making Tax Digital (MTD) for income tax self-assessment will be delayed until April 2026.

Digital self-assessment was due to come into play from April 2024 and would have required all self-employed individuals and landlords with income over £10,000 to report earnings quarterly through the MTD for ITSA system.

We’re Hiring

We are looking to build our Uckfield Team due to demand. We’d love to hear from you if you are looking for an opportunity listed below. We would welcome applications for : Audit senior, Audit manager, Personal Tax Manager, Personal Tax Trainee

How to survive a recession

The UK economy unexpectedly grew by 0.1% in November as consumers headed to the shops in the run-up to Christmas and pubs and bars enjoyed a boost from the men’s World Cup. The CBI however, expects the UK economy to shrink by 0.4% in 2023 — a significant downgrade from the growth of 1% it predicted in June. The economy is forecast to recover to its pre Covid size only in the second quarter of 2024.