Why have I received a penalty from HMRC self-assessment?
The 2020/2021 self-assessment liability was due for payment on the 31st January 2022, if you haven’t made the payment then you may have received a late payment penalty from HMRC in the post recently. If you delay paying your tax by 30 days – you’ll have to pay 5%, 6 months – you’ll have to pay a further penalty of 5% and 12 months – you’ll have to pay a further penalty of 5% again, all calculated based on the tax you owe at that date. If you have not paid due to limited funds, it is best advised that you contact HMRC ASAP: https://www.gov.uk/difficulties-paying-hmrc/pay-in-instalments
What is an S455 charge in my accounts?
If you have taken a director’s loan from your Limited Company or withdrawn more dividends than the company can afford to pay you, you may need to pay additional S455 tax at 32.5% (2022/2023). The loan would need to be repaid to the company before the accounts are filed (9 months and 1 day after the accounting period end) to avoid paying the S455 tax. There are additional rules to be aware of when withdrawing and repaying a director’s loan, contact your accountant to discuss this in more detail if you have an outstanding loan.
What can you claim for working away from home?
Expenditure on overnight accommodation and subsistence needs to be incurred “wholly, exclusively, and necessarily in the performance of the duties of the employment. Accommodation charges can be reimbursed at cost; a benchmark scale applies to the costs of meals as set out below:
Amount (up to)
One meal (5 hour) rate
Two meal (10 hour) rate
Late evening meal rate