On Friday 6th September the Government announced that they are delaying the introduction of the domestic reverse charge for construction industry businesses by one year.

The new rules had been due to take effect at the beginning of next month, but it has now been confirmed as delayed until 1 October 2020. 

The official announcement can be seen on the Gov Website.  The change has been made following representations from construction industry bodies who felt that many businesses would not be able to make the changes in time, and also to avoid further complications arising from Brexit happening around the same time.  

The government has confirmed that they will take a light touch with any errors arising for businesses that have already made changes to their systems to take effect from October 2019 who then encounter problems switching them back.  Other traders who anticipated getting regular repayments and have opted to switch to monthly VAT returns can use the HMRC online account to change this back to quarterly stagger dates.  

Two self assessment deadlines are approaching:

• 5th October 2019 - For those individuals who have not previously completed a tax return but need to report a liability for 2018/19.
• 31st October 2019 - For those individuals who have previously submitted 'paper' self assessment tax returns the deadline for the 2018/19 return is 31 October 2019. Returns submitted after that date must be submitted electronically or they will incur a minimum penalty of £100. The penalty applies even when there is no tax to pay or the tax is paid on time.

If you would like any help with the completion of your return, please do get in touch.
Internet link: HMRC deadlines

HMRC have published the updated rates for mileage claims on company cars that take effect from 1 September 2019.

You can use the previous rates for up to one month from the date the new rates apply.  The advisory fuel rates per mile for journeys undertaken on or after 1 September 2019 are: