Tetbury Accounting Limited

Tetbury Accounting Limited We are a family accountancy firm based in Witney. We provide a bespoke service which takes on every

We are a small family firm of chartered accountants and bookkeepers based in the Witney area with clients drawn mainly from the Oxfordshire area. We pride ourselves on being friendly and approachable and becoming a vital cog in our client's team.

13/05/2025

Do you or your employees have children aged between 16 and 19 years old?

There is important information coming from HMRC so don’t miss out on claiming up to £1354 a year in child benefit

HMRC are writing to parents to let them know that they must confirm if their teens are staying in full time education or training before the deadline of 31st August 2025

It’s easy to confirm to continue to get Child Benefit payments by going online or through the HMRC app.

The letter you receive will contain a handy QR code which opens up the digital service on GOV.UK

Quick and easy so don’t forget confirm by 31st August or you lose up to £1354.

19/06/2024

Vat is the tax that goes unnoticed in our everyday lives even though we pay it every day.

Vat is charged at either 20%, 5% or zero rated but it can be complicated.

Food that is essential can be zero rated, contraceptives 5% and sanitary products and children’s clothing can be zero rated but this is where it can become complicated.

What is classed as food can be difficult to distinguish between standard and zero-rated items

If food is served hot, it becomes standard-rated unless sold warm just because it is freshly baked and in the process of cooling.

All food sold in the process of catering is standard rated but takeaway food sold to be eaten off the premises such as sandwiches are zero rated.

Crisps are regarded as confectionery and will attract vat at 20% however only if they are made from potato products. Doritos and Twiglets attract zero rating as they are made from Corn.

Biscuits are zero rated unless they are covered in Chocolate, they then become standard rated, but chocolate chip cookies and Bourbons are zero rated.

Cakes are zero rated unless classed as biscuits there have been some famous cases recently with Tea cakes classified as biscuits but later classified as zero rated and the famous Jaffa cake case where they won their case to be classed as cakes not biscuits

Flapjacks are zero rated if they are made the traditional way with syrup and oats.

Another famous case is the Nesquik case decided by the Upper Tribunal 2016 that found strawberry and banana Nesquik is standard rated, but chocolate is zero rated.

Tea, coffee and sugar are all zero rated as food products, but bottled water and fresh juice are standard rated.

19/01/2024

Important reminder that the deadline for submitting Individual, Partnership and Trust Self-Assessment PAPER Returns has passed and now any unfiled Returns must be submitted electronically by 31st January 2024

Returns are required for income and expenses covering the tax year 6th April to 5th April 23

A person (individual, partner in a partnership or trustee) is liable to a penalty if they do not file their income tax self-assessment (ITSA) Tax Return on time

The penalty regime is a mixture of fixed, daily and tax-geared charges

Where an ITSA Tax Return is filed late a person can be charged:

• an initial penalty of £100 on the day after the Return was due;

• daily penalties of £10 per day for 90 days where the Return is more than three months late;

• a further penalty of the greater of £300 and 5% of the tax liability where the Return is more than six months late; and

• a further tax-geared penalty of the greater of £300 and 5% of the tax liability where the Return is more than 12 months late (this penalty can be charged at a higher percentage rate if the person withheld information)

Be careful if you are a partnership as a filing penalty is payable by every partner

Get your Tax Return in on time to avoid wasting your hard earned money

27/04/2023

HMRC will issue 1.5 million annual tax credits renewal packs for the 2023 to 2024 tax year from 2nd May 23

Once customers receive these packs they have until 31st July 23 to notify HMRC of any changes to their circumstances which may affect their claim and it is important to check the details carefully as mistakes happen.

Tax credits help working families with badly needed financial support so it is important that people do not miss out on this money. Families should be encouraged to check whether they qualify for this extra financial support and this is easy to check online by visiting the gov.uk check tax credits calculator page.

• There are two types of renewals one with a red line across the page and says ‘reply now’ customers will need to confirm their circumstances to renew their tax credits.
• If it has a black line across the first page and says ‘check now ‘customers will need to check that their details are correct. If they are then it will be automatically renewed.

Renewing online is quick and easy as customers can log into Gov.uk to check the progress of their renewal and be reassured that it is being processed.

10/03/2022

Rising fuel costs

The cost of fuel is rocketing the average prices now 1.65 per litre for unleaded and going upwards.

But what makes up the price we pay at the pump if it’s not just profit.

The price of fuel can be seen as Taxes imposed by the Government, the costs of drilling, refining and transporting and the profit margins for fuel companies

The price you pay at the pumps is governed by wholesale fuel prices which are affected by the global price of crude oil and supply and demand. If there is more demand or supply issues the prices will increase.

The pound to dollar exchange rate also affects the price of fuel as it is always purchased in dollars.

Duty on fuel a tax charged by the Government is currently 57.95 and has been frozen at that since 2012. It stays the same per litre and is not affected by the rising prices as it is fixed.

Vat is added onto the price of the fuel at a rate of 20% so for every litre of fuel 57.95 fuel duty will have 11.59 of vat added onto the duty.

So at todays price of 1.65 per litre it will include 57.95 duty and 27.5 of vat a total of 85.45 in taxes

With rising fuel prices the government are set for a windfall from extra vat receipts where the motorist is set to struggle.

Transport costs will increase and this will in turn increase the cost of our groceries adding to an increase in the cost of living and a further squeeze on our purses.

02/03/2022

VAT on Household Energy Bills..

Domestic supplies of fuel and power are liable to VAT at 5% so for every energy bill of £100 there is a VAT charge of £5 making a total of £105

When VAT was first introduced in 1973 domestic supplies for heat and light were charged at zero rate and then increased in March 1993

Energy prices have soared since the October budget and it is estimated that an extra 973 million will be received by the treasury in VAT from these rising bills from April

Families are expected to see increases of £700 per year in their bills on top of the highest inflation seen for years

With rising energy costs and predicted fuel poverty, calls have been made to provide relief on the VAT rate but Ministers are not keen to provide them as they argue that reliefs are not means-tested and would be benefiting the rich as well as the poor

They also argue that this may bring other areas into contention for relief which would risk undermining the tax base and would see rises elsewhere which is strange as Boris himself suggested leaving the EU would allow the UK to cut VAT on fuel and hence make energy bills lower

As well as the VAT on energy there are also green taxes on Energy Companies called Environmental & Social Scheme Taxes which account for approximately 13% in extra costs on the energy companies themselves

The Government has announced it will help up to 80% of households in the UK by giving them a discount of their Council Tax bills of £150 but interestingly these bills are also increasing

18/02/2022

National Insurance Increase

The Government has introduced a new Health & Social Care Levy to fund the NHS and the Social Care sector and initially pay for the backlog in the NHS

At first this will show as an increase in NI Contributions from 6th April 2022. In later years it will be shown as a separate levy distinct from NIC’s which will return to normal rates

Class 1 NIC (Employee) and class 4 (Self -Employed) will both increase by 1.25% so the employed and self-employed will be hit by the increase equally

The changes will affect working age employees, employers and the self-employed as well as directors taking dividends as the dividend tax will also increase by 1.25% to 8.75%

In 2022/23 a typical taxpayer will pay the following additional amounts, depending on the tax band…

• Basic rate taxpayer (earning £24,100) - £180 extra
• Higher rate taxpayer (earning £67,100) - £715 extra

The new rates are…

• Earnings between £0 and £184 per week - Nil
• Earnings between £184 and £967 - increase 12% to 13.25%
• Earnings above £967 - increase 2% to 3.25%
• Self-employed earnings between £9500 & £50000 - increase 9% to 10.25%

20/01/2022

Due to COVID HMRC have announced that they will waive late filing and payment penalties for 2020/21 Tax Returns as long as Returns are filed by 28th February and payments are made by 1st April

However, there are some consequences of using this extension and it is still better to file your return and pay on time if possible…

• Late payment can affect entitlement to some state benefits such as maternity allowance
• For individuals claiming tax credits actual 2020/21 figures must still be reported by 31st January and in some cases reporting actual figures after the deadline may impact the finalised tax credit award
• Although penalties have been waived, late payment interest has not and is charged at 2.75% per annum

12/11/2021

Experienced bookkeeper/accounts assistant required to work with a small team on a part-time basis. Hours to be arranged. Must have experience of accounting software and an excellent knowledge of bookkeeping to Trial Balance. Experience required rather than qualifications

12/11/2021

Experienced bookkeeper required to work with a small team on a part-time basis. Hours to be arranged. Must have experience of accounting software and an excellent knowledge of accounts production to Trial Balance. Experience required rather than qualifications

08/11/2021

Universal Credit - Making Work Pay

5.8 million households rely on Universal Credit to help make ends meet

It exists to provide an income for both the unemployed and also for low paid workers as well as supporting people back into work

Unlike the old benefits system Universal Credit does not stop when you start paid work but instead gradually reduces the more you earn which is a good thing as it removes the barriers for people wanting to work

The way it reduces is calculated by taper relief so for every £1.00 you earn you lose 63p of Universal Credit which is automatically deducted from your Universal Credit payment

If you are responsible for a child or young person or living with a disability or health condition you will receive a work allowance which is an amount that you are able to earn before it affects your Universal Credit payments

Current monthly rates are £293 if you receive housing support or £515 if you don’t

Announced in the Budget last week is a reduction to the taper percentage from 63p in the £1.00 to 55p in the £1.00 so you get to keep an extra 8p for every £1.00 earnt which will be a comfort and bonus to many families

In other words for every £1.00 you earn you now get to keep 45p rather than 37p which is a better incentive to work

These changes will allow more people to receive help so it will be worth people claiming again even if they were previously turned down

29/10/2021

Alcohol Duties

One of the budget announcements that I am sure will have a lot of interest is the simplification of alcohol duty in April 23

Currently alcohol duty falls into 15 different classes but this will be reduced to 6

How will this filter through to prices we pay which is what we are interested in as the consumer

Current Apr-23
Stella Artois (1 pint) £3.80 £3.77 Down 3p
Frosty Jacks cider (750ml) £3.70 £4.15 Up 45p
Kopparberg cider (1 pint) £3.80 £3.67 Down 13p
Hardy's Merlot (750ml) £7.00 £7.35 Up 35p
Blossom Hill rosé (750ml) £8.00 £7.88 Down 12p
Buckfast fortified wine (750ml) £8.50 £9.31 Up 81p
Bailey's Irish Cream (750ml) £17.00 £16.69 Down 41p

Sparkling wines heavily taxed before will be taxed as wine

Finally Draught beers and ciders will benefit from the duty cut by 5%

Lets hope these filter through to the supermarket and pub prices

Address

31 Home Close
Carterton
OX183GQ

Opening Hours

Monday 8am - 8pm
Tuesday 8am - 8pm
Wednesday 8am - 8pm
Thursday 8am - 8pm
Friday 8am - 8pm
Saturday 8am - 4pm
Sunday 8am - 4pm

Telephone

+441993775635

Website

Alerts

Be the first to know and let us send you an email when Tetbury Accounting Limited posts news and promotions. Your email address will not be used for any other purpose, and you can unsubscribe at any time.

Contact The Practice

Send a message to Tetbury Accounting Limited:

Shortcuts

Share