April Newsletter 2024
As the new tax year is upon us, we thought we would highlight some of the changes that are impacting individuals and businesses from this month. Some may be useful to you, ensuring you take full advantage of all tax-saving strategies.
Please do get in touch if you would like to talk further about any of the areas covered.
‘Awful April' Tax hikes and cuts at the start of the new tax year
From April 1 - Workers aged 18 to 21 earning the minimum wage will receive a rise as it goes up from £7.49 to £8.60 per hour. Anyone 21 or over will now be able to earn the NLW which is rising to £11,44, from £10.42 per hour.
From April 6th
National Insurance is being cut by 2p from 10% to 8%.
The high-income child benefit charge threshold is rising from 50,000 to 60,000.
Higher taxes for those earning six figures by reducing the threshold at which the 45% additional rate kicks into £125,140 from the current £150,000.
Property capital gains tax cut from 28% to 24%. The dividend allowance was reduced to £500 for the 2024/25 tax year.
Late filing penalties
If you have not filed your 2022/23 personal tax return with HMRC that was due by 31st January 2024 we would advise this is done as soon as possible.
From the 1st May 2024, you will receive a £10 a day late filing penalty until your personal tax return is filed.
Companies House is increasing its Company Incorporation and registration fees.
From 1st May 2024, Companies House is increasing their Company Incorporation and registration fees.
A Confirmation Statement disbursement fee previously would normally be £13 but from 1st May 2024, it will now increase to £34!
For more information and details of all price increases please, see this link
Basis Period Reform (BPR)
From April 2024 the HMRC basis period reform imposes a new timeline to report profits for unincorporated businesses (sole traders and partnerships and not limited companies).
The new rules will apply to sole traders and partnerships that have a different year-end to the tax year.
For example, if the business year end is 31st December 2023 the 2023/24 tax works will reflect the periods January to December 2023 and January 2024 to 31st March/5th April 2024. In effect a 15- month period for calculating tax rather than the normal 12 months.
This may mean more profits and subsequently more tax.
HMRC is allowing taxpayers to spread overlapping profits/tax over 5 years for the additional period.
For the 2024/25 tax year and following this all profits will align with the tax year (6th April to 5th April/1st April to 31st March).
How generative AI might scam you!
Be mindful and navigate the ever-changing world of AI
Communications can be highly convincing. Messages created using tools like ChatGPT may be professional and convincing especially if they are personally addressing you.
Fraudsters may replace a video of themselves with someone else's likeness, tricking you into thinking you're speaking to someone else.
Voice spoofing (or voice cloning) uses generative AI to copy a person's voice. they could use this to trick you into thinking you're speaking to someone you know.
Generative AI tools make it easier for fraudsters to carry out malware attacks, potentially increasing the scale and sophistication of the attack.
Exciting News Alert!
We're thrilled to announce the launch of our brand-new website!
After months of hard work and dedication, we're thrilled to finally unveil our new image company image on our new website.
Ready to explore? Head over to www.abmv.co.uk and see for yourself.
ABMV Company Update
We have introduced the ability to ePay your invoice through the new ABMV website and/or via the ePay link on your individual invoice. Paying your invoice couldn’t be easier.
If you have any questions or would like to learn more about how we can help you with your accounting and business needs, please don’t hesitate to contact us. Our team of experts is always ready to assist you with any queries you may have.
