Tax news November 2020

Latest news on the UK tax system, brought to you by the ICAEW Tax Faculty.

Registering a self-employment with no national insurance number

28 October 2020: HMRC has introduced a workaround for those who have been unable to obtain a national insurance number and need to register a self-employment and obtain a Unique Taxpayer Reference (UTR).

To succeed digital tax systems must work for all

28 October: The digitalisation of tax offers significant potential benefits for taxpayers and agents, as well as administrations, but these will not be achieved without collaboration agree industry experts at the Wyman Symposium.

Parents on JSS or SEISS to remain eligible for childcare support

27 October: Parents whose salaries are being partially paid by the new coronavirus support schemes will continue to be eligible for 30 hours free and tax-free childcare support even if their income falls below the minimum threshold requirement.

Surcharge on all corporate card payments to HMRC from 1 November

27 October: ICAEW’s Tax Faculty reminds organisations and tax agents that from 1 November 2020 there will be a surcharge on payments made by corporate debit cards to HMRC.

HMRC reaffirms VAT liability of payroll services following Cheshire case

27 October: HMRC has reiterated that payroll services offered by third parties to disabled individuals employing personal assistants are not VAT exempt, maintaining a First-tier Tribunal case was ‘wrongly decided’.

Are you planning a virtual Christmas party?

27 October: Organisations wanting to provide some festive cheer for their staff this winter face some difficult challenges. ICAEW’s Tax Faculty outlines the tax considerations that employers will need to think about.

Chancellor reveals changes to Job Support Scheme

22 October: Changes announced by Rishi Sunak today will bring more flexibility to the JSS and reduce costs to employers for employees working fewer hours due to the coronavirus pandemic.

Changes to the third and fourth SEISS grants

22 October 2020: Rishi Sunak has announced that the third SEISS grant will now be based on 40% of average trading profits and businesses temporarily unable to trade due to coronavirus will be eligible.

OECD announces delay to global digital services tax framework

21 October 2020: UK digital services tax will continue for longer than originally anticipated after OECD decision to extend discussions until mid-2021 ICAEW’s Tax Faculty reports.

ICAEW’s Tax Faculty is recruiting

20 October: The Tax Faculty is looking to recruit a business tax manager for a 12-month fixed term role.

OTS makes practical suggestions on claims and elections

20 October 2020: The Office of Tax Simplification (OTS) has recommended improvements to tax accounts and the functionality of HMRC’s online forms, alongside backing wider tax agent access to systems in its latest report. ICAEW’s Tax Faculty outlines the key suggestions.