Online Sellers to be targeted by HMRC for investigation.
At Tax Affinity Accountants we have always been at the forefront inside knowledge and key advice and support for all of our clients. And we know that every tax year HMRC picks a category of business to focus its investigations on. We have been successfully guiding and helping those effected by investigations for many years. For the 2014/15 it was Landlords and Property Developers, for 2013/14 it was Electricians and Tutors 2012/13 it was Builders and Decorators. This tax year 2015/16 we have credible information that it is individuals selling items and services on Autotrader, Gumtree, Ebay, Amazon, E-Auctions, Craigslist, AirBnb and other online platforms that will be investigation for undeclared incomes. HMRC says it wants to target those that have failed to register for and pay the correct amount of tax. It thinks that this could amount to as much as £5.9 billion of missed tax. And so it is currently starting a consultation on extending their powers even further than before to be to collect data on companies and individuals from other sources. So far, Ebay has been sympathetic to the request from HMRC and says that it has tried to identify to its sellers their obligations to the tax authorities of the relevant country in which they trade. And have said that they would share information with the tax authorities where there is evidence of wrongdoing. And so it's highly likely other online platforms will be following suit. HMRC has said it is better that an online seller should come forward and volunteer to put their affairs in order as it will only be a matter of time before they will catch up them. They went on to say that they will not be targeting people selling personal property, but rather those that sell large quantities of similar or categorised items. And they will get the source information directly from the web and the online platform providers. From our experience investigations can take at least 6 months with some lasting up to 2 years and always cause a lot of stress upon individuals and their families. Especially as the penalties and fines can be up to a further 100% on top the tax due. If you are concerned about how this may affect your business we recommend you contact your local Tax Affinity Office and ask for more detailed help. By Anni Khan at Tax Affinity Accountants. Tax Affinity Accountants are experts in Tax and Accountancy. Based in Kingston upon Thames they provide a bespoke service to client’s right across the UK and are considered in the industry to be experts. For more information visit www.taxaffinity.com. To read more interesting articles like this visit www.taxaffinity.com/blog. Please feel free to comment and share this with your friends.
0 Comments
Budget 2015 the key points for you at a glance:
The Chancellor George Osbourne delivered the first 100% Conservative budget since 1996 and here is the all important quick reference guide for all new and experienced entrepreneurs: Good News:
Bad News:
Either way News:
By Anni Khan at Tax Affinity Accountants. Tax Affinity Accountants are experts in Tax and Accountancy. Based in Kingston upon Thames they provide a bespoke service to client’s right across the UK and are considered in the industry to be experts. For more information visit www.taxaffinity.com. To read more interesting articles like this visit www.taxaffinity.com/blog. Please feel free to comment and share this with your friends. Many business people will attempt to do their own accounts, assuming that they don’t need an accountant. However, doing this means you will most likely end up paying more tax than necessary, possibly being given a penalty charge and in some cases, having your papers inspected by HMRC. Therefore, it is a great idea to look for an accountant that will do what’s best for your business, financially, so that you can worry about actually running your business.
Hiring a good accountant is like investing, you pay for their services and in turn they save you money on tax, causing you to generate a profit. HMRC do not reveal all the information regarding allowable deductions so that people end up paying more tax than they have to. However, a good accountant knows exactly what can and can’t be deducted from your income and so they are able to deduct as much as legally possible. This then lowers your taxable income and means you pay less tax. Therefore, the money you make from not paying tax is greater than that which you pay for an accountant, causing the profit. HMRC may give you a penalty charge if you; pay tax late, pay the wrong amount of tax, or give incorrectly filled out forms. A good accountant knows exactly when you need to pay your tax, and so will be there to remind you, they know exactly how much tax you should be paying and they do all the paperwork for you, so there is no chance of it being incorrect. This saves you the stress of getting things wrong and money as you will not be charged. Business is all about growth and that is exactly what you want for yours. A good accountant will be there to help you with any of your financial queries and business needs. They will give the best advice for your business advising you on what steps to take. This will cause your business to grow and in turn, make more money. Having a good accountant means you don’t have to deal with HMRC. As your authorised agent, your accountant will be able to speak to HMRC on your behalf and they will know how to deal with them properly. They will be in contact with HMRC most of the time saving you the stress of trying to contact them yourself. By Aiden Woodley at Tax Affinity Accountants. Tax Affinity Accountants are experts in Tax and Accountancy. Based in Kingston upon Thames with branches in Surbiton and Worcester Park they provide a bespoke service to client’s right across the UK and are considered to have one the highest customer satisfaction ratings in the Industry. For more information visit www.taxaffinity.com. To read more interesting articles like this visit www.taxaffinity.com/blog. Please feel free to comment and share this with your friends. |
Various AuthorsOur experienced accountants and tax advisers provide valuable insights into practical every day questions and issues. Archives
August 2024
Categories
All
Ask your own question: If you would like to have a tax related question answered here, please send your question to [email protected]. |