CHARTERED ACCOUNTANTS 
CHARTERED TAX ADVISERS BUSINESS DEVELOPMENT CONSULTANTS
CHARTERED TAX ADVISERS BUSINESS DEVELOPMENT CONSULTANTS
CHARTERED TAX ADVISERS BUSINESS DEVELOPMENT CONSULTANTS
With the start of the new tax year on 1 April for Companies and 6 April for Individuals, Partnerships and Trusts, a few of the changes are highlighted below:
The first £50,000 spent on Plant and Machinery (excluding cars) qualifying for capital allowances can be set off against profits of Sole Traders, Partnerships or Limited Companies.
The annual writing down allowance for the general pool is reducing from 25% to 20% per year, the rate for Long Life Assets, Thermal Insulation and Integral Features will be 10% per year.
There is a 100% First Year Allowance on cars with CO2 emissions lower than 110g/km.
New penalties are being introduced for errors in tax returns and documents. The penalties apply to Income Tax, Corporation Tax, Capital Gains Tax VAT, Construction Industry Scheme, PAYE and National Insurance Contributions.
There has always been a framework of penalties for incorrect returns, penalties are now going to be linked to the behaviour that gives rise to the error. The size of penalty will therefore depend on whether the error arose as a result of:
Penalties can be up to 100% of the tax due so it is important that you are professionally represented for all your tax and accounting needs.
The new regime came into effect on 1 April 2008 and will apply to forms submitted after 1 April 2009.
The filing date for paper tax returns is changing from 31 January 2009 to 31 October 2008. Tax returns which are filed online, will keep a January filing deadline.
As part of the changes to the filing deadlines, the time HM Revenue and Customs have for enquiring into a Tax Return, will be 12 months after the Return was filed.
HM Revenue and Customs are currently reviewing the powers available to them and the time limits for previous years Tax Returns to be amended.
