Various
Regarding the recent posts.
1. On HMRC access, the VATman gets in but you can usually see the taxman elsewhere. In either event, HMRC only get access to business records but if you pay company receipts into a personal bank account or use such an account to pay company expenses then they will get access to that account as well.
The only other way to get access to your private accounts is if they can discredit your business records.
2. "I don't think you need to panic about writing up a contract. If ever you did get an HMRC pull, knock one up retrospectively if you're bothered." I think you will find HMRC take a very dim view of retrospective documents and under the new Business Records Checks you might not get a lot of advance warning of their coming. They also review electronic/computer based records and have some handy equipment to search this.
3. On employees getting paid up to £3 per week, I agree, but you can't just pay that, the guidance states you can do it where, "You reimburse an employee for additional household expenses – such as gas or electricity charges - incurred because they have to work from home....."
If you charge the company rent then you could be better off as you save the CT and don't necessarily have to pay IT on all of the rent as you can claim a proportion of the gas, etc. that you pay anyway against the rent but as always, it has to be reasonable in amount.
Finally, all cases are unique and your accountant should be consulted.
Regarding the recent posts.
1. On HMRC access, the VATman gets in but you can usually see the taxman elsewhere. In either event, HMRC only get access to business records but if you pay company receipts into a personal bank account or use such an account to pay company expenses then they will get access to that account as well.
The only other way to get access to your private accounts is if they can discredit your business records.
2. "I don't think you need to panic about writing up a contract. If ever you did get an HMRC pull, knock one up retrospectively if you're bothered." I think you will find HMRC take a very dim view of retrospective documents and under the new Business Records Checks you might not get a lot of advance warning of their coming. They also review electronic/computer based records and have some handy equipment to search this.
3. On employees getting paid up to £3 per week, I agree, but you can't just pay that, the guidance states you can do it where, "You reimburse an employee for additional household expenses – such as gas or electricity charges - incurred because they have to work from home....."
If you charge the company rent then you could be better off as you save the CT and don't necessarily have to pay IT on all of the rent as you can claim a proportion of the gas, etc. that you pay anyway against the rent but as always, it has to be reasonable in amount.
Finally, all cases are unique and your accountant should be consulted.
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