The question of how to pay family members is perennially important. This area can be the subject of scrutiny by HMRC, and our lead article covers a recent tax case where the taxpayer made a number of critical errors jeopardising his claim for tax relief on payments made to his son. That the son had worked in the business was not in dispute. He had, in fact, been paid less than a market rate for his services. But the arrangements had not been rigorous in terms of record-keeping and this produced a negative result which could have been avoided.
'Open banking' gives the possibility of using bank data in new and surprising ways, allowing customers to take control of their information. Shopping around for better deals and improved money management are just two of the advantages cited, although it is also vitally important to get data security right if using the service.
Elsewhere in the newsletter, we consider a highly topical issue: Brexit. The UK’s departure from the EU on 29 March 2019 may usher in an era of change for business of a magnitude not experienced for some generations. Although there is much still to be determined at the negotiating table, it is important to consider now what impact Brexit will have on your business.
We also draw attention to the new and highly demanding data protection regime which takes effect from 25 May. The General Data Protection Regulation is a key piece of legislation which will have consequences for the vast majority of UK businesses.
In our other articles, we examine:
- the rise (and falls) of bitcoin
- government moves to help small businesses affected by late payment problems
- the latest developments in pensions auto-enrolment
- the potential tax advantages of buying a company van.
We are sure you will find the newsletter an interesting read. Please contact us if you have any questions regarding any of the articles we have included in our newsletter or if you would like further information on a topic we haven’t covered. Your views are always important to us and we would welcome your feedback.