Thursday 20th December
The Blue Door.
First edition: Winter 2018
Important Tax Dates to note
The end of the year is fast approaching and therefore the deadline for the submission of electronic self-assessment tax returns for the year ended 5 April 2018.
Any tax return submitted after 31 January 2018 will be subject to a £100 penalty. If the return is still outstanding after 3 months then there are also daily penalties of £10 per day for up to 90 days (max £900). Penalties for later submission, of 6 months and 12 months, are 5% of the tax due or £300 if greater, on both occasions. This will apply in every case – however good the excuse.
Your balancing payment for 2017-18 (or the full tax liability for 2017-18, if this is the first year of self-assessment) is also due by 31 January 2019, along with the first payment on account for 2018-19 (being 50% of total tax liability for 2017-18). Again, penalties are due for late payment of tax. For a delay of 30 days, you will be charged 5% of tax due. If you are 6 months late a further 5% of tax outstanding at that time is added on. Were you to get to 12 months without sorting out your payment, you will have to pay an additional 5% of tax outstanding at that time. This is in addition to the interest of 3.25% which is charged on all outstanding amounts from 1 February.
Given the potential penalties for late submission of your tax return, it is worth getting your returns in as soon as possible.
Our in-house tax specialist Shona Cox is here to help you get your paperwork sorted out and avoid those penalties.
Jokes of the day
A man sued an airline company after it mislaid his luggage.
Sadly, he lost his case.
What’s the difference between a good lawyer and a great lawyer?
A good lawyer knows the law. A great lawyer knows the judge.
Use them or lose them
5 April 2019
This is the end of the 2018-19 tax year and may be the final time you can use some of your annual exemptions before they are lost.
Certain exemptions/allowances such as the capital gains tax allowance or ISA contributions only apply to one tax year and cannot be carried forward if not used. The CGT allowance amounts to £11,700 of capital gains, on which you will not pay any CGT. Therefore, it is a good idea to review any share portfolios you have to see whether you can use the allowance.
The ISA allowance is £20,000 (for adults) and £4,260 (for children) and any interest or gains in a share ISA generated on these accounts are tax free.
Other exemptions/allowances, such as the £3,000 annual inheritance and pension annual allowance (lower of 100% of earnings or £40,000, subject to certain restrictions), can be carried forward if unused but, there are limits on the number of years this can happen.
It makes sense to review your position prior to 5 April 2019 to see whether you are able to take advantage of any of the exemptions available. Shona Cox, our in-house tax specialist, can guide you through the process.
A focus on Scott Bailey Staff
Shona is a relative newcomer to the New Forest, having been born and raised in Kent.
She has spent over 20 years working in accounting and tax but her main interest has always been travel. Not for her a couple of weeks on a beach in Europe. She has much broader horizons. She finds it hard to decide which has been her favourite trip. The Pyramids and Pharaohs’ tombs of Egypt and the Terracotta army in Xian, China are high on the list but have stiff competition from the splendours of St Catherine’s Palace in St Petersburg and the majestic Norwegian fjords. Shona still has a long list of places she wants to visit both East and West.
Phil is very much a local chap.
He has lived in the area all his life and has worked in Lymington in his specialist field of commercial, residential and agricultural property for the past 18 years. He is a great family man. When not building Lego with his 6 year old son, he has always enjoyed baking. His original creations often combine less than obvious ingredients. His jelly baby cake was a particular – if unexpected – success. Who knew melted jelly babies in the middle of a sponge would taste that good? An undoubted career high point was being chosen as Star Baker in a recent Scott Bailey charity baking competition.
Alice Burch ranked Silver as an IRONMAN All World Athlete in 2018.
She placed 6th in the Country for AWA Ironman 70.3 and 19th for AWA Ironman Overall, having competed in various Ironmans, including Vichy, Weymouth and Belek 70.3 and placed 10th in the Vichy Irongirl held after the Vichy ironman race! Alice has enjoyed numerous running races with recent placings: 9th in her age category in the Great South Run, 3rd female in the Oakhaven Half Marathon and 7th in her category in the Gosport Half Marathon and 4th Female open in the Ageas Bowl 10k.
Alice plans to attempt a second Guinness World Record next December by running the Greatest Distance on a Treadmill in 7 days at her sponsored venue, David Lloyd Southampton, sponsored by Garmin UK, in aid of the Marine Conservation Society.
Elayne secures herself a charity place in the London Marathon next Spring in aid of Breast Cancer Care.
Dena Whitehorn completes the NYC Marathon 2018! Well done Dena!
A showcase of our
favourite furry friends
The Partners and staff would like to wish you a Happy Christmas and peaceful New Year.
This year, instead of sending Christmas cards to clients and colleagues, we are making a donation to the Marine Conservation Society.
(registered charity no 1004005)