Interest earned from a bank account, investment company, bond, or even a Director’s loan to their own company may qualify as tax-free income.
If you own a company and you employ at least 1 employee you can qualify for a £4,000 employment allowance. The employee must earn above the secondary threshold of £8,788 per year and the directors must not have another company that is claiming the Employment Allowance already.
HMRC late payment rate has has increased
In response to the covid-19 pandemic, the government temporarily reduced the VAT rate to 5% and then 12.5%. However, the 20% standard rate will once again come into effect from 1st April 2022.Affected business owners should ensure their systems are setup to reflect the corrected VAT rate.