News

If you are a landlord/landlady who have not declared their rental income on a self assessment tax return, then beware! HMRC have linked up with the Land registry and it is probably just a matter of time before they contact you. Should this happen the consequences can be extremely severe with penalties as much as 100% of taxes owed. HMRC currently have an amnesty which basically means that any landlord/landlady who discloses the fact there is undeclared income may only have to pay back the Taxes owed. If HMRC come to you, these penalties can be severe, and you would still need to pay the taxes. Why not contact CAB Accounts NW Ltd who are accountants in Chorley to discuss your position before it becomes a real issue. We believe it is a matter of when, not if, that HMRC will contact you and they can then go back years to recover these taxes and therefore penalties. As principally accountants in Chorley we also cover the PR, WN, BB and BL postcodes. This process is usually started on line and whether you use a letting office or deal directly with your client then we would need to see your Income/Expenses to facilitate this online submission. As accountants in Chorley we complete self assessment tax returns all the time, usually at a third of the price of a conventional high street accountant so our costs for this process can save you considerable money. Please visit our website at www.cabaccountsnw.co.uk for a complete list of our services and prices.

It is probably believed by many people that accountants are only useful to the self-employed, Sole traders and Limited company directors. As a recent PAYE client found out, we can also claim for some benefits for PAYE personnel that are usually allowed by HMRC to the Sole Traders and Directors and the most obvious one would be fuel allowance. Our client Johanna is a carer and whilst this profession our generally paid low wages they also only recover part of the fuel allowance. CAB accounts NW Ltd who are a caring accountant based in Chorley and Bolton offer a unique scheme where we charge 10% of any saving made so if we recover £500 we take £50, £1000 recovered will cost you £100 and if we don’t recover anything then there is no charge. The maximum a PAYE client can recover in any one tax year is equal to the Tax paid, so you may be entitled to more benefit but HMRC will only allow a claim up to this amount. Clearly if you have paid no tax then there is no claim that can be recovered. The good news is that you can go back 4 years so any claim made before the 31st January 2019 can include the Tax years 2014/15,2015/16,2016/17 and 2017/18. In Johannas case she had paid tax in excess of £300/year and was able to receive a cheque for nearly £1500, not a bad return for £150. This was because her employer had only paid her 35p/mile whilst HMRC allow 45p/mile for the first 10,000 miles, so you only need to cover 3000 business miles at the 10p difference to recover the £300 tax paid. In the carers case this mileage also includes social mileage. If you believe that your employer is under paying your expenses why not contact the accountants in Chorley for some free advice. We would initially only need to see your P60s to determine what tax may be recoverable and then we can take it further if you so wish.