HMRC nightmares, strange taxes and what's coming up in May
Hi Reader
With the bank holiday and a wedding to attend on a Tuesday (unusual but fun), I'm already feeling like May is slipping past quickly and I'm sure with the 2 other bank holidays this month that June will soon creep up on us!
On the plus side, bank holidays will mean lots of time out on the motorbike for me (as long as the weather is right) and May also means its birthday celebrations for me (and the big decision on what cake I want... Biscoff is ranking high).
This month's newsletter will give you an insight into the nightmare that we all know as HMRC and their planned strike dates, and then to lighten to mood from that dire subject, I'll be asking if you would shave to save... You'll have to read more to find out what I'm on about, so let's dive in.
HMRC frustrations
HMRC has always been frustrating and a bone of contention for a lot of people (which is also why I have it set up so I can speak to HMRC on behalf of my clients), but they have gone up a level with the frustrations.
They announced last month, that they were putting restrictions on the agent-dedicated line (the line that accountants use to speak to HMRC for their clients). The restriction runs from April 17th until June 2nd and while this restriction is in place they will ONLY deal with queries regarding self-assessment penalties and PAYE coding notices. This means agents (accountants/bookkeepers) can't speak to them about normal technical queries, which is a big part of why we speak to them in the first place.
They also had similar restrictions earlier this year too and would hang up on advisors who were trying to get technical queries resolved (bearing in mind that accountants only tend to phone if out of other options). This is unfortunately also mirrored by frustrations already held by everyone else who phones the normal lines, as it is well documented that you can spend hours on hold, only to be cut off.
The bad news is frustration will be even higher during May as HMRC staff will be striking for most of May and a couple of days in June. The strike days that have been announced are:
- 10, 11 and 12 May
- 15, 16, 17, 18, and 19 May
- 22, 23, 24, 25 and 26 May
- 29, 30 and 31 May
- 1 and 2 June.
This means that if you have any HMRC queries during May, you're unlikely to be able to get an answer and that includes help from your accountant too, as we also won't be able to contact them easily (if at all). HMRC has advised that it has "robust plans" in place to minimise disruption, but I doubt that any of us will notice as HMRC is fundamentally flawed and in crisis (and has been for a very long time).
| You can read more about the strikes here |
In non-accountancy news
You may have spotted on my Instagram stories that I had a bit of a motorbike adventure this month. I had to take my beloved Scarlet (pictured right) in for her annual service and got a loan bike for the day (pictured left). Effectively they are the same bike, with the same engine, but just with some cosmetic tweaks and an adjustment to the riding position.
It was fun to play with something a bit more sporty, but after a little while, I could really feel it in my neck. I am far too used to the upright position of naked motorbikes now. Maybe one day I will change, but for now, I am very happy with what I've got.
What's coming up
I've recently fallen into a "strange tax" hole (yes, really!), which means I have a whole heap of random tax facts and myths to fill you in on over the next few months. I'll be starting an Instagram series for these, but I'll give you a sneak peek now and you can find out about the first one ahead of everyone else.
It was rumoured in 1535 that Henry VIII (a well-known beard wearer) bought in a tax on beards. The tax was supposedly graduated with the tax varying in line with the wearer's social position. It does appear to be a myth though, as modern documentation of the beard tax is lacking and there National Archives have no records of the beard tax ever being a thing. That being said, there is evidence that beard pulling was a fine-able offence!
However, there is a well-documented beard tax that was imposed by Peter the Great of Russia in 1698. This came about after he had spent time in Europe (where he also spent time at a Dutch shipyard to learn ship-building techniques) and he decided to impose the tax as part of an effort to modernise Russia. The tax was imposed as an incentive for shaving and to eliminate beards and like the rumours for Henry VIII tax, it was graduated depending on the social status of the beard wearer.
Would you (or a bearded friend) be willing to pay the beard tax or would you shave to save?
Key dates for May
- 1st - Corporation Tax payment: 31 July 2022 year ends
- 6th - VAT return payment: month-end or quarter 31 March 2023
- 7th - VAT return submission (online): month-end or quarter 31 March 2023
- 31st - Corporation Tax returns: 31 May 2022 year ends
- 31st - Issue P60's to all employees by this date
- 31st - Provide statement to employees of information for payrolled benefits
Finally, please note that the office will be closed for all bank Holiday weekends and also all day on the 17th of May (so I can have a birthday adventure).
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