We keep you updated

We provide our clients with regular updates on changes in taxation regulation, news from the world of accounting and, of course, information about the latest developments at GMV Chartered Accountants & Business Advisors.

Personal and Business news

For the tax year 2014/2015:

• Employment allowance per year, per employer is £2,000

• Personal allowance increases to £10,000

• Anuual Investment Allowance (AIA) increases to £500,000 until 31 December 2015

• Fuel benefit charges - Car £21,700 and Van £581

• Car benefit charges - Car as a % of the list price and van £3,090

Pensions

From 27 March 2014:

• No need to buy an annuity

• Capped drawdown increased to 150% of the basic amount

• If over 60 years old and the pension fund is less than £30,000, the full amount can be withdrawn

• 25% of the pension fund remains tax free and the balance is taxed at marginal rates and not at 55%

• Three pension pots with a value of up to £10,000 can be taken as a lump sum

Savings and Investments

• From 1 July 2014, maximum investment in ISAs increases to £15,000 either in cash or stocks or both

• From 6 April 2014 maximum investment in Junior ISAs increases to £3,840

• From 1 July 2014, maximum investment in a Child Trust Fund increases to £4,000

Capital GainsTax - Private Residence Relief

With effect form 1 April 2014, the final period of ownership of a Private Residence which qualifies for relief is reduced to 18 months from the current 36 months.

Disabled persons or persons moving into care homes still qualify for 36 months relief.

VAT

From 1 April 2014:

• Registration limit increases to £81,000

• De-registration limit increases to £79,000

New UK GAAP

New Accounting Standards to come into effect on 1 January 2015.

SMEs not aware of flexible working

Nearly half (45%) of small and medium-sized enterprises (SMEs) are unaware of the upcoming changes to the law on flexible working recent research reveals.

From 30 June, changes to employment law will allow all employees with at least 26 weeks' continuous employment to apply for flexible working.

Key findings:

• 55% of SMEs are aware of the changes
• 46% have no flexible working policy in place
• 43% support the legislation
• 21% think it will have a negative impact on their business
• just 5% of SMEs without a flexible working policy believe the changes will have a positive effect on their business.

Under the changes:

• all employees with 26 weeks' continuous employment can apply for flexible working
• employers have a statutory duty to consider flexible working applications
• employees have the right to appeal against decisions
• flexible work becomes a permanent change under the contract once agreed.

Changes to the law are not bad news for employers - they will receive some flexibility too. The new law replaces the statutory procedure for consideration of flexible working requests, with a duty on employers to deal with requests in a 'reasonable' manner.

It does not give employees the right to working flexibly but provides a right to request it. Employees can request a change to working hours, working time or working location once every 12 months.