At a recent tax update course, the speaker mentioned that the Treasury drafted various proposals to change certain aspects of our tax system in case the Government decided to include them within the budget in order to raise extra revenues.

In the end, little of tax significance went though, presumably because the government is extremely wary of upsetting too many people at a time when they are somewhat vulnerable.

Some of the potential changes that were apparently being considered included further reduction to the dividend allowance, a tightening of the Entrepreneurs’ Relief rules restricting entitlement, a tightening of rules enabling business property relief and agricultural property relief (BPR and APR) from being obtained; specifically investments in AIM listed companies might not obtain BPR status and land that is let to farmers might not obtain APR status in the future. Further rumours indicated further restrictions on tax relief for pension contributions was also being considered.

Therefore, for anyone who might be seeking to take advantage of these areas of tax relief, it could be a case of use it before you lose it.

If you have a question please contact our team of accountants in Midhurst and Chichester.

Please be aware that if you are planning to settle your tax bill by using a credit card, you will only have until 12 January 2018 to do this. HMRC have announced that they will no longer be able to accept payment by way of personal credit card. This apparently all has to do with the fact HMRC are no longer able to pass on charges they incur for accepting payment this way to a taxpayer.

The implication is that it is just personal credit cards that will no longer be accepted, so presumably a business credit card could still be used. If you do use a business credit card, and your business is a company, please remember that there could be tax implications if this payment is not then promptly reimbursed to the business.

This change won’t help any individuals who also might have made their payments at the Post Office – as this method of payment has also now been stopped!

Any new trusts which incur a charge to tax and complex estates that will sell assets for proceeds in excess of £500,000 in a year (if the death was after 5 April 2016), or incur tax liabilities in excess of £10,000 during the period of administration now need to register online with HMRC.

Should a UTR be required in order to submit a 2016/17 tax return, the trustees or Executors must register by 5 January 2018.

Longer established trusts also have an obligation to ensure details of the trust are correctly showing on the trust register. In particular, now whenever there are changes to the persons associated with the trust, these changes must be reported to HMRC through the trust register. We would recommend that any trustees access the trust register to check the details HMRC have and provide any further information required by HMRC as soon as possible.

Changes to Tax Payment Options: No More Payments at the Post Office

Keyword phrase: “tax payment changes 2017”

As of 15 December 2017, significant tax payment changes 2017 will take effect. From this date, it will no longer be possible to pay taxes at the Post Office. This adjustment is part of HMRC’s ongoing efforts to modernise tax payment methods and improve efficiency.

What This Means for Taxpayers

For many years, the Post Office has been a convenient option for paying taxes, particularly for those who prefer in-person transactions. However, with the tax payment changes 2017, taxpayers will need to use alternative methods to settle their tax liabilities. These changes mean that individuals and businesses must review their payment habits and ensure they are prepared for the shift.

Alternative Payment Methods

Fortunately, there are several options available for paying taxes securely and on time. These include:

• Online Payments: HMRC’s online portal allows taxpayers to pay directly using debit or credit cards.
• Direct Debit: Setting up a direct debit is a hassle-free way to ensure timely tax payments.
• Bank Transfers: Payments can be made directly from your bank account using the appropriate HMRC account details.
• Telephone Banking: For those who prefer phone-based services, most banks offer this option.

It is important to familiarise yourself with these alternatives before the tax payment changes 2017 come into effect.

Why Is This Change Happening?

The decision to discontinue Post Office tax payments aligns with HMRC’s goal of moving towards digital services. This shift is designed to improve efficiency and reduce administrative costs while encouraging taxpayers to adopt modern payment methods.

Prepare for the Changes

To avoid disruptions, ensure you understand and implement one of the alternative payment methods before 15 December 2017. If you have any questions or concerns about the tax payment changes 2017, our team is here to help. Get in touch today and let’s partner in your success!