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Pension auto-enrolment was introduced as part of the Pensions Act 2008, amid growing concerns that the population in general was neglecting opportunities to make payments towards state, private, and employer pensions. 
 
In October 2012, auto-enrolment into a workplace pension scheme became mandatory for large companies in the UK. All employees in the UK between the ages of 22 and state pension age will be eligible for the scheme, so long as they earn above the £10,000 income threshold. By 2018, companies of all sizes (as small as 1 director and 1 employee) will be included in the scope of the legislation. So what does this mean for limited companies? 
A limited company is a separate legal entity and must have an official “registered office address”. This address is publicly available on the Companies House website. In fact, if you Google your company name, you will find that one of the top results will take you to a company search page showing the registered office address, director’s names and several other details. 
Buy-to-let owners will suffer additional tax over the next few years as new rules are being phased in relating to how much tax relief you get for mortgage interest. Read on to see what the changes are and how it may affect you. 
Contractors in the UK are allowed to claim back travel expenses, so long as these are incurred while travelling to and from a ‘temporary workplace’. A workplace is deemed temporary so long as the contractor is not travelling to the same site for a period of 24 months or longer. Beyond this point, contractors cannot claim back travel expenses. This period is known as the 24 Month Rule and is something all contractors should be aware of. 
At first glance, a company car may appear to be a fantastic perk, but once employees start looking at the emissions based company car tax they’ll have to pay, the luxury of having one may begin to seem like a reluctant or unnecessary expense. And once we consider the National Insurance costs to the employer and the delay in claiming deductions for depreciation, such as capital allowances, it becomes clear that a company car is unlikely to be tax efficient from either side. But what about a company motorcycle? 
In our recent article explaining the recent changes to contractors’ claims for tax relief on travel and subsistence, we briefly covered what is meant by “supervision, direction, and control” as a test to distinguish ‘false self-employment’. There hasn’t been a great deal of guidance provided by HMRC, but using the Employment Status Manual, we hope to provide a little clarity on what the new rules mean for UK contractors. 
The VAT Flat Rate Scheme (FRS) allows small businesses with a turnover up to £150,000 to calculate the amount of VAT they pay back to HMRC as a fixed percentage between 5% and 14.5%, instead of the standard 20%. The amount payable is calculated based on the type of business you have. 
Contractors in the UK may have heard recent rumblings of new legislation placing restrictions on claiming tax relief on travel and subsistence. The dreaded “IR35” will take effect from this month (April 2016), but what do the changes mean for you? 
Investing in a pension personally allows you to benefit from tax relief at your highest marginal rate but you must draw the contribution as salary and dividends. However you can also invest directly via your company which not only saves the hassle of drawing out the funds but also reduces your corporation tax bill without any benefit in kind considerations. 
Many business owners are unaware that they may be able to put life insurance through the company as a legitimate tax-deductible business expense. Not only that, if the policy meets certain conditions, it is not treated as a benefit-in-kind so there is no National Insurance or personal tax payable. Win, win! 
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