News

VAT registration – should I register voluntarily?

Question. I am thinking of starting my own business and I would like to know more about my obligations for registering for VAT. What are the rules and what do I need to do to comply with these rules? Answer. It is usually clear whether a business should register for VAT as soon as it starts trading. This might be because it has a large amount of ...

Family Business Succession Seminar

PKF-FPM and Fingal Dublin Chamber would like to invite you to the Family Succession Business Breakfast seminar on Thursday 21st January 2016 at 9.30am in the Graham Bell Room, Grand Hotel, Malahide. Our Managing Director, Feargal McCormack will deliver the presentation which promises to be an insightful look not only at family businesses but the DNA and culture that is in place in successful growth businesses. It ...

Revenue note on tax payments and flood relief published

In light of the recent flooding, Revenue has clarified that property owners whose principal private residence has been flooded and who are in receipt of assistance through the Department of Social Protection Humanitarian Relief Fund can apply to have their 2016 LPT payment deferred. You must contact the LPT Helpline on 1890 200 255 if you are seeking a deferral. Business owners who have suffered flood ...

HMRC provides leeway for flood victims

Those affected by the December floods won’t have to meet the January 31 self-assessment deadline, HMRC has said. An HMRC spokesman explained: “No taxpayer affected by flooding will have to pay a fine if their return is late. We will accept a customer has a reasonable excuse if the delay is caused by flooding at their premises or their agent’s premises and the return is ...

Higher allowances could increase tax demands

Question. I have recently retired from running my own business but I continue to make regular monthly contributions to my favourite charity under a Gift Aid declaration. With the increased personal allowance and the £5,000 tax-free band I am no longer paying tax on my savings and dividends. Can the charity still continue to claim tax relief on my donations? Answer. The accelerated rise in the income tax ...

Happy Christmas from PKF-FPM

Tax credits renewals – why all the fuss?

Question. When I submitted my Tax Credits renewal forms, I had to estimate my self-employment income because I had not prepared my accounts. I have now completed my accounts and I am about to file my tax return. Will the Tax Credits office be informed of the actual figures on my tax return? Answer. Tax credits, unlike other benefits, follow an annual cycle based on the tax year (6 April ...

HMRC to charge 45% Tax on restitution interest payments

Question. My company overpaid VAT for many years on a mistake that was in breach of EU law. We submitted repayment claims and we have recently been advised that the interest we are paid back from HMRC will be taxed at 45%. Why is this? Answer. HM Revenue and Customs (HMRC) will charge corporation tax at a special rate of 45% on any interest it is ...

Gifts in the wrong order may result in more inheritance tax

Question. I am keen to gift shares I own in my trading company to my son and the business premises that I own personally to a trust for the benefit of all my children but I need to understand the inheritance tax (IHT) implications of doing this? Answer. Business property relief (BPR) for inheritance tax (IHT) purposes is perhaps most commonly claimed in respect of an ...

Avoid penalties for late registration of internet sales

Question. Over the last few years, my business has changed and I now sell many of my products to customers within the EU. Most of these customers are not businesses and I had a VAT inspection recently and I am now having to register for VAT in other countries and I may be liable to interest and penalties. Why is this the case? Answer. Mail order and internet ...