AMD Accountancy News

 

From 15th July 2020, a temporary 5% VAT rate was granted to the hospitality sector by chancellor Rishi Sunak. It will run until 12th January 2021.  It will be a positive boost to many industries, including the following:  Cafes Pubs Restaurants Holiday accommodation theatres circuses fairs amusement parks concerts museums zoos cinemas exhibitions  Nandos, Pret A Manger, KFC, Mcdonalds, Whetherspoon and Starbucks, have all made the decision to slash prices, giving up to 100% of the reduction in VAT on to their customers. (15% reduction) Many other businesses will not pass on the reduction to their customers, instead choosing to use this to buffer themselves after the losses suffered through to COVID-19.  Anyone for a coffee? ....   

 From next April, IR35 status is going to be placed on EMPLOYERS within the medium to large private sector. Currently, the onus is on contractors to understand and report their IR35 status, and only within the public sector. In a landslide case, TalkSPORT presenter Paul Hawksbee has been ordered to pay HMRC £143,126 in unpaid tax and NICs. This relates to his 18 year employment whereby he presented for the same radio show, receiving his pay through his company Kickabout Productions Ltd; whilst acting as self employed. Mr Hawksbee has been proven to fall foul of the IR35 legislation, whereby an employee has to be given employment rights such as sick leave, holiday pay and pay taxes as any other employee would.      HMRC used the following to make their decision: MOO: Mutuality of Obligation and Control findings: The radio show had control over how and where Mr Hawksbee performed his work. He was required to work weekdays for 44 weeks of the year for the same radio company; very clearly