Are You Due A Tax Rebate?


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Gambling Industry Employees Tax Rebates

Do you work in the Gambling Industry? What tax rebates are you missing out on?

If you work in the gambling industry you may be able to get tax refund on some of your work related expenses.

Uniform tax rebate

You are entitled to claim the tax back for the laundry of your work uniform. Tax rebates are based on the highest rate of tax you pay which is either 20% or 40%, normally totaling £12 or £24, per tax year. As this can be backdated for up to four years, this works out between £48 and £96 in total per claim.

 

Personal function licences

The gambling commission requires casino employees to hold a Personal Functional Licence (P.F.L.) to do work involving gaming or handling cash in relation to gaming. If you are a gaming supervisor, pit boss, cashier, inspector or security and surveillance staff in a casino you need a P.F.L. These licences cost £185.00 per year. If you have to cover this substantial cost yourself, you are entitled to claim tax back. The average amount is between £37 and £74 per licence.

 

Security industry authority licence

Different jobs within the industry require an employee to hold a Security Industry Authority Licence. For example, door supervisors, CCTV operators, security guards and cash handlers all need to be registered with the S.I.A. The average tax back on this expense is between £44 and £88 per registration. There is no need to root out old bank statements for the registration cost rates as we can do this for you.

Depending on your job specification, you may actually need more than one S.I.A. licence. You may need to purchase extra licences for close protection, security guarding, cash and valuables in transit, door supervision, public space supervision and security or manned guarding. We are able to claim a tax rebate for each of these licences individually, which could amount to between £264 and £528 going back over four years.

 

I don’t keep receipts!

You can make a successful claim without a trail of carefully filed receipts. All we need is a list of the things you have bought with approximate costings for each year.

Sometimes HMRC have rejected some tax rebate claims because there were no receipts as evidence. But any claims that were incorrectly rejected were successfully challenged and compensation was received by the client. So, if your claim is rejected on these grounds, we can fight this on your behalf.

 

Do I have to remember to go through this process every year?

When you have made a successful claim you should then automatically receive the allowance in your pay. The only time you may need to check your status and make another claim is if the cost of licences change.

 

How do I make a claim?

Let the experts take care of it for you. We make it easy and hassle free while making sure you get everything your entitled to.

Click here to start your tax rebate claim

Tony Shanks

 

 

HMRC Doubling Tax Investigations

HMRC have hired an extra 200 investigators in the past three years, taking the total to 1,600. The Daily Telegraph discovered that the number of tax investigations has doubled in the past tax year to 237,215 in a bid to recoup the £35 billion of income tax lost each year. The number of annual prosecutions has gone up seven times in the last three years and the number of investigations into self-employed people has multiplied by four.

Tax experts are becoming increasingly concerned that people who have made mistakes on sometimes complicated self assessment tax returns are easily intimidated into paying without question. Mark Giddens, a partner at accountancy firm U.H.Y. Hacker Young, said that “teachers, doctors and lawyers” are the “soft targets” being pursued by HMRC. This is because they are more likely to be stressed into paying a bill straightaway, rather than dispute its fairness. Many genuine mistakes involve misunderstandings about capital gains tax, jointly owned properties and second properties. David Lawrenson from Lettingfocus.com said, “There is a great deal of uncertainty among landlords about what expenses can be offset against income.” You are trying to pay the correct amount of tax so let us cut the confusion and avoid mistakes from the start, contact Tax Rebate Services.

Tory MP Brooks Newmark on the Commons Treasury select committee said that HMRC had been “given a mandate to aggressively go about trying to collect tax” and that “people in middle England are easy targets”…”there are some errors there that HMRC may in previous years have left or not necessarily picked up, but are now nit-picking”. Newmark also pointed out that there is a difference between a one off genuine mistake and a repeated pattern of tax avoidance over consecutive years. HMRC should treat each type of case appropriately, not apply the same heavy-handed, stressful tactics to both.

This strong-arm attitude seems to be endorsed by the government as it included new powers for HMRC to remove money directly from taxpayers’ bank accounts in this year’s Budget.

A spokesperson HMRC said that the number of cases had gone up because it was holding more compliance inquiries and these “are only opened where we believe there may be a problem causing the wrong tax to be paid”.

Tony Shanks

Social Worker Tax Rebate

Social workers – do you know what tax relief you can claim?

Social workers across Britain can claim income tax rebates for the cost of uniform laundry, subscriptions to professional bodies and unions, and for using your private vehicle for work travel.

You have four years to make a claim before you start missing out. Many social workers miss out on money their owed simply because they didn’t know they could get tax relief on their work related costs.

 

Continued savings

Claiming back isn’t just about years gone by, it means you can get a new higher tax code resulting in you paying less tax in each year moving forward.

 

What you can claim a tax rebate for:

  • Any subscriptions to professional bodies. For example G.S.C.C., H.C.P.C. and Unison.
  • Using your own private car to make work related journeys.
  • The cost of buying and laundering a work uniform.

 

How much money can I get back?

A typical tax rebate claim for a social worker is somewhere in the region of £200-£300. If you belong to more than one professional body or use your own car this can be a lot more. Each claim is an individual case and is worked out on your personal circumstances.

The rules of entitlement mean that you can claim retrospectively as far back as April 2010. This means that even if you have since retired or changed profession you can claim for the expenses you incurred whilst working as a social worker. Remember – time is of the essence! HMRC stick to their deadlines!

 

How difficult and time consuming is the claim?

It’s crucial to realise that you will NOT get any of this money automatically. You MUST submit an application to get any of the money you are rightfully entitled to.

It can be difficult and time consuming which is where we can help you by doing the hard bit, and importantly ensuring you get everything back you’re eligible for.

Click here to start your social worker tax rebate today

Tony Shanks

 

 

 

HMRC Tax Code Proposal

More powers proposed for HMRC – 30 days to tell you of a change to your tax code

Having an incorrect tax code can mean you either pay too much tax or too little – so it’s important.

Under current regulations HMRC tells taxpayers about any change to their tax code immediately, therefore personal finances can be budgeted accordingly. HMRC are proposing additional powers which would mean they would have 30 days to inform you of a change to your code. T

he difference this could make to ‘take home’ pay could easily derail any worker’s budget and also means that it could take a month to check that the newly assigned tax code is correct. As over 5 million workers are currently dealing with errors in the P.A.Y.E. system, a further consequence may be one of trying to rectify subsequent over or under payment issues.

As reported in The Telegraph, tax experts Baker Tilly said that taxpayers would be “effectively lending to the taxman out of their salaries”.

Parliament will make a decision on this proposal later this year. They have already granted HMRC the additional ability to take money directly from taxpayers’ bank accounts.

According to their spokesman, “HMRC anticipates savings for the taxpayer of several millions of pounds in printing and postage costs, as a result of these changes”. They also said that this new power to withhold tax code information is only designed to be used around busy times of the year, such as around the deadline for self assessment. They justified it further by saying that employees can request their tax code earlier for their own financial planning and that employers will still be informed of any changes straightaway.

Tony Shanks

Chef Tax Rebate

If your a chef or kitchen staff you could be due a tax rebate

As an employee you are entitled to reclaim tax on expenses that are a necessary part of your employment. The catering industry has several costs for which you could be claiming your tax rebate. It means you can get a tax rebate for the last four years and save money in the future with a new tax code.

Do you wash your own chef whites?

If you have to wear a uniform or specialist clothing for work, you can claim a tax allowance for the cleaning of these garments. So, if you wash your aprons or chef’s whites at home you are entitled to this rebate.

Have you had to buy your own protective clothing or shoes?

You can also claim a tax rebate on the purchase of your chef’s whites or aprons if they have not been provided for by your employer. To comply with Health and Safety policies in kitchens, staff are often required to wear non-slip safety footwear. If you have been left to carry this cost yourself, then you can reclaim tax relief .

Buying knives and other kitchen equipment 

Needing to buy knives is standard stuff for a lot of chefs. Knives and other kitchen equipment are essential tools in letting you carry out your professional duties. If you’ve bought them yourself and not been reimbursed a tax rebate can be reclaimed. The amount you can get back is roughly either 20% or 40% ( depending on how much you earn ) of what you have spent.

How do I claim my chef’s tax rebate?

We specialise in getting tax relief back for Chef’s and kitchen staff and can he. Claiming can be time consuming and complicated. We make it easy and hassle free.

Click here to start your chef tax rebate claim today 

Tony Shanks

 

 

Taxpayers being held responsible for HMRC mistakes

HMRC send out millions of tax codes which apply to the system of PAYE automatic taxation. This means that tax should have been automatically deducted from your pension or salary. Mistakes are often made, particularly when a taxpayer has more than one source of income or a change in employment circumstances. The wrong tax code can mean underpayment of tax and the potential for a devastating bill from the tax office. In some cases a tax rebate could be due if you have paid too much.

The tax office may take years to discover a mistake of this nature and will then demand payment to be made within three weeks. This is an immediate and frightening shift of responsibility onto the taxpayer who had initially provided all the necessary information and was unaware that they had the wrong tax code. How many of us have access to a few hundred, or a few thousand, pounds at such short notice?

For example, Jessica Gorst-Williams of The Daily Telegraph took on the case of Peter Patton who received a bill for £10,459 pounds from HMRC in 2009. This bill had accumulated over six years as a result of HMRC applying the wrong tax codes to his combined income of a final salary pension and current work for a disabled care provider. Mr Patton had retired in 1999 from the civil service and paid his bill in full. In 2010 he read an article in the Daily Telegraph about a clause in tax rules which states how he could have his tax arrears written off. His subsequent complaint was denied and may only have received justice, and a refund, after his case was spotlighted by the Telegraph journalist.

‘Escape Clause’ not being used by HMRC to resolve their mistakes

There is a clause called ‘Extra-Statutory Concession’ – ‘Esc A19’ – which sets out three conditions which, if met, allow tax arrears to be written off. These are;

  1. HMRC failed to make “proper and timely” use of the information provided to it.
  2. The tax payer “could reasonably have believed their tax affairs were in order”.
  3. No notification was sent to the taxpayer within twelve months of the end of the tax year in question.

HMRC have been criticised by the Head Tax Adjudicator in a report published in June of last year. This report stated that they were investigating a “marked increase” in complaints that should have been resolved by the tax office using ESC A19. Also that “careless and avoidable errors” had not been noticed and corrected by HMRC whilst handling complaints.

Instead of using this concession, especially when no pattern of tax avoidance is established, HMRC are aggressively pursuing the taxpayer in order to fix their own mistakes. Cheap Accounting director Elaine Clark said, “Taxpayers who suffer errors are being forced to be more tenacious. In our experience HMRC has toughened its stance. It’s almost as if officials don’t read the case file, they just send out a letter demanding payment even if the taxpayer  would have legitimately qualified for ESC A19”. When faced with a bill from an authority like HMRC, taxpayers are anxious about challenging the figures and are unaware of their own rights within the system. Disputes are lengthy, which is why more people are turning to the Tax Adjudicator for justice.

An HMRC spokesperson said that rules had not been tightened and that the number of complaints had “tailed off”. He added that “The concession (ESC A19) only became of interest to taxpayers because we were behind in our end-of-year reconciliation process, but we have now been back on an even keel for years.” HMRC are putting a new system in place to help reduce the number of discrepancies in PAYE payments called ‘Real Time Information’. This changes the requirement for employers to give information annually to monthly or weekly submissions, depending on how they pay their employees. There is a massive amount of information necessary for the 44 million PAYE taxpayers and already there are fears that tax code accuracy has been compromised by the sheer volume of data being processed.

Tony Shanks

HMRC Tax Collectors

Tax collectors are honing in on ‘soft’ targets.

HMRC have hired an extra 200 investigators in the past three tax years, taking the total to 1,600. The Daily Telegraph discovered that the number of tax investigations has doubled in the past year to 237,215 in a bid to recoup the £35 billion tax lost each year. The number of annual prosecutions has gone up seven times in the last three tax years and the number of investigations into self employed ( including CIS sub contractors ) people has multiplied by four.

Tax experts are becoming increasingly concerned that people who have made mistakes on complicated self assessment tax returns are easily intimidated into paying without question. Mark Giddens, a partner at accountancy firm U.H.Y. Hacker Young, said that “teachers, doctors and lawyers” are the “soft targets” being pursued by HMRC. This is because they are more likely to be stressed into paying a bill straightaway, rather than dispute its fairness. Many genuine mistakes involve misunderstandings about capital gains tax, jointly owned properties and second properties.

David Lawrenson from Lettingfocus.com said, “There is a great deal of uncertainty among landlords about what expenses can be offset against income.” You are trying to pay the correct amount of tax so let us cut the confusion and avoid mistakes from the start, contact Tax Rebate Services.

Tory MP Brooks Newmark on the Commons Treasury select committee said that HMRC had been “given a mandate to aggressively go about trying to collect tax” and that “people in middle England are easy targets”…”there are some errors there that HMRC may in previous years have left or not necessarily picked up, but are now nit-picking”.

Newmark also pointed out that there is a difference between a one off genuine mistake and a repeated pattern of tax avoidance over consecutive years. HMRC should treat each type of case appropriately, not apply the same heavy-handed, stressful tactics to both.

This strong-arm attitude seems to be endorsed by the government as it included new powers for HMRC to remove money directly from taxpayers’ bank accounts in this year’s Budget.

A spokesperson HMRC said that the number of cases had gone up because it was holding more compliance inquiries and these “are only opened where we believe there may be a problem causing the wrong tax to be paid”.

Tony Shanks

Uniform Tax Relief And Tax Codes

If you’ve made a uniform tax rebate claim it’s likely you will get a new tax code shortly before or after your claim completes.

Getting a new tax code means that HMRC are adjusting your tax free personal allowance which tells your employer how much tax you should be paying. Having a uniform tax allowance entered in your tax code will result in you having a higher tax free personal allowance resulting in you paying less tax.

Uniform tax code example:

An example of a tax code which has been adjusted to reflect the uniform tax allowance is 1006L. In the 2014/2015 tax year the standard personal allowance is 1000L. The uniform allowance is worth £60 per tax year, which when included in the 2014/2015 tax years tax allowance makes the code 1006L.

If your circumstances change…

If your circumstances change and you no longer have to wash your own uniform or protective clothing for work you should tell HMRC as soon as you can. This will ensure your tax code is changed to make sure you don’t get the benefit of uniform tax relief when you’re not eligible.

Tony Shanks

Tax Relief for Specialist Tools and Clothing Explained

If you need to spend money on tools or specialist clothing for your job, you may be entitled to tax relief.

Trying to understand what your eligible to claim for can be confusing, so if your trying to claim a uniform or tool tax rebate we’ll hopefully make things clearer below.

When you can get tax relief for tools and specialist clothing

Generally, employees are not entitled to tax relief against the cost of work clothing, though there are exceptions. If you work in a sector where protective clothing is necessary (such as the building trade or in metalworking) you’ll need some or all of the following:

  • Overalls
  • Gloves
  • Boots
  • Helmets

You will also be entitled to tax relief if you are expected to pay for all costs of repair, cleaning or replacing the specialist clothing. You may not claim for the initial outlay of purchasing the clothing.

You will also be entitled to tax relief against any tools you must buy to be able to perform your job. For example, as a hairdresser your employer may expect you to purchase your own scissors; this tax relief will also apply against maintenance and replacement costs.

 

What about uniforms?

You are entitled to tax relief against the cost of repair, cleaning and replacement of the uniform on condition that:

  • The uniform is recognisable, demonstrating that you have a certain job – examples are nurses and police officers
  • You are required to wear it on the job
  • You must pay for it yourself

 

Flat Rate Expenses

If you are required to spend your own money on the tools or specialist clothing mentioned above, there are two ways of getting your tax relief back:

  • tax relief for the actual amount that you spent on the items
  • or a ‘flat rate deduction’

The flat rate deduction is a nationally agreed amount by HMRC. There may be local variations in some cases where conditions differ, such as with trade unions and other bodies. Flat rate deduction typically covers what employees in different trades will normally spend each year. An individual working in the clothing industry gets a deduction of £60 each year, a cabinet maker is entitled to £140 per year while a stone mason’s entitlement is £120; it is not required that you be a member of a trade union to get the deduction either.

Flat rate expense example

To calculate the value, you will need to know the tax rate that you pay – you will always get the relief against the highest tax band that you pay. Therefore, if you’re a cabinet maker paying the basic tax rate then you will get a £28 reduction in your tax bill, which is worked out as 20% of £140.

 

Pro’s and Con’s

Actual Cost

You will usually get considerably more money back if you have spent more than the amount of the flat rate deduction you are allowed, but you will have to provide receipts. Typically this type of claim is made by way of reclaiming capital allowances. This is not easy to do which is why we’re here to help.

Flat rate deduction

You’ll benefit from having to fill out less paperwork and you will not be expected to keep a record of each expenditure, but you will lose out if you spend more than the flat rate deduction.

You may also claim several years of relief – the time you have to claim is four tax years.

Tony Shanks

 

 

 

RTI System

New multimillion pound RTI system fails to reduce number of tax discrepancies

Are you one of the estimated  5.5 million people who have paid the wrong amount of tax this year?

The numbers of PAYE errors have increased this year, despite the new Real Time Information system being fully rolled out. You may be one of 2 million people who have paid too much income tax and are due a rebate. Or, more worryingly, you could be one of the 3.5 million people that HMRC are claiming have paid too little. It’s a good idea check your tax code now to make sure yours is right.

The PAYE system only checks tax paid against tax due at the end of every year. This means that things like changes in pay or job are not taken into consideration and lead to over and underpayments of tax. The idea behind the new Real Time Information system is that employers report their wage payments weekly or monthly, thereby ensuring increased accuracy. The Treasury told MPs that R.T.I. would “bring PAYE into the 21st century” and spent £270 million implementing the system. This year the numbers of errors has actually risen from 5.2 million to 5.5 million.

Some businesses had concerns that the new system would be too unwieldy. As payroll consultant Kate Upcraft said, “Taxpayers have spent hundreds of millions on R.T.I. and employers have had to spend hundreds of millions to use the new system, so we are entitled to expect significantly fewer errors in the reconciliation process.”

Tax inspectors have estimated the average discrepancy to be about £300.00 and claim that there have been an increase in errors because there have been an increase in the number of people in employment due to an upturn in the economy. HMRC stand by RTI and say that the positive effects of the new system will be seen in time. They also added that underpayments and overpayments would remain part of our tax system.

Tony Shanks

 

 

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