Accounts & Bookkeeping Services within your local area
Thecbsltd providing Bookkeeping Services to suit your business
Thecbsltd located in Chalfont St Peter [Gerrards Cross]
OPENING TIMES
MONDAY 8.00AM : 17.30PM
TUESDAY 8.00AM : 17.30PM
WEDNESDAY 8.00AM : 17.30PM
THURSDAY 8.00AM : 17.30PM
FRIDAY 8.00AM : 17.30PM
SATURDAY 8.00AM : 12.00PM
SUNDAY CLOSED
Not Just a bookkeeper an ICB Bookkeeper
The Chalfont Bookkeeping Service Limited (Thecbsltd) provides Accounts & Bookkeeping services within your local area. These include Final Accounts for Limited Company (FRS 105), Sole Trader, Partnership, Non Profit Organisations, Vat tax Returns, Payroll, self assessment tax returns. These bookkeeping services are not limited to just The Chalfonts with cloud based computerised accounting software such as Xero, Quickbooks and payroll software such as Brightpay you are just a click away.
The Chalfont Bookkeeping Service Limited is a member of The Institute of Certified Bookkeepers (ICB).
Located in Chalfont St Peter a village local to Gerrards Cross in Buckinghamshire, within a group of villages collectively called The Chalfonts this includes Chalfont St Giles and Little Chalfont.
These Accounts & Bookkeeping services are available to you in local areas such as Amersham, Beaconsfield, Chesham, Denham, Farnham Common, Farnham Royal, Fulmer, Gerrards Cross, Harefield, Hedgerley, Iver, Iver Heath, Jordans, Maple Cross, Ricksmansworth, Seer Green, Slough, Stoke Poges, Uxbridge, Watford, Wexham.
PAYE
Rates and thresholds for employers 2022 to 2023
From April 2022 the rate of National Insurance contributions you pay will change for one year. The amount you contribute will increase by 1.25 percentage points which will be spent on the NHS and social care across the UK.
Reversal of National Insurance Increase takes effect from 6th November
From 6 November the 1.25% point cut to National Insurance rates for employees and employers takes effect across the UK.
On 23 March 2022 the UK Government announced at Spring Statement 2022 an increase in National Insurance thresholds for the 2022 to 2023 tax year.
This means employees and self-employed people will pay National Insurance contributions on less of their income or profits. Updated rates and thresholds will be published before these changes take effect.
Tax thresholds, rates and codes
The amount of Income Tax you deduct from your employees depends on their tax code and how much of their taxable income is above their Personal Allowance.
England and Northern Ireland
PAYE tax rates and thresholds 2022 to 2023
Employee personal allowance £242 per week
£1,048 per month
£12,570 per year
English and Northern Irish basic tax rate
20% on annual earnings above the PAYE tax threshold and up to
£37,700
English and Northern Irish higher tax rate
40% on annual earnings from £37,701 to £150,000
English and Northern Irish additional tax rate
45% on annual earnings above £150,000
Income Tax rates and Personal Allowances
Income Tax rates and bands
The table shows the tax rates you pay in each band if you have a standard Personal Allowance of £12,570.
Income tax bands are different if you live in Scotland.
Band Taxable income Tax rate
Personal Allowance Up to £12,570 0%
Basic rate £12,571 to £50,270 20%
Higher rate £50,271 to £150,000 40%
Additional rate over £150,000 45%
You can also see the rates and bands without the Personal Allowance. You do not get a Personal Allowance on taxable income over £125,140.
Other allowances
You have tax-free allowances for:
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dividends, if you own shares in a company
You may also have tax-free allowances for:
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your first £1,000 of income from self-employment - this is your ‘trading allowance’
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your first £1,000 of income from property you rent (unless you’re using the Rent a Room Scheme)
Find out whether you’re eligible for the trading and property allowances.
You pay tax on any interest, dividends or income over your allowances.
Self Assessment
With January 31st fading into the distance where you an early bird in submitting your 2019-2020 return or where you one of those who buried your head in the sand in the hope it would sort it’s self out. 96,519 filed their returns on 6th April 2020 as against 702,171 scrambling to file and pay their returns on 31st January 2021. For those struggling due to the pandemic they could submit their returns by 28th February without incurring a late filing penalty but would incur interest on late payments.
So who is smarter those that filed on 6th April or those that filed on 31st January, for those that filed on 6th April they have:
Peace of mind that they had filed their return.
Received any refund due 10 months earlier than those that filed on 31st January.
Had 10 months to save any tax due.
Had 10 months to amend their return if any errors/additional information came to light.
Important dates for 2021-2022 Tax Returns
Register for Self Assessment 5th October 2022
Paper tax returns Midnight 31st October 2022
Online tax returns Midnight 31st January 2023
Pay the tax you owe Midnight 31st January 2023
Construction Industry Scheme (CIS)
The Construction Industry Scheme (CIS) will be applicable to you if you are involved in any of the following construction works:
CIS covers most construction work to:
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a permanent or temporary building or structure
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civil engineering work like roads and bridges
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For the purpose of CIS, construction work includes:
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preparing the site - for example, laying foundations and providing access works
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demolition and dismantling
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building work
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alterations, repairs and decorating
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installing systems for heating, lighting, power, water and ventilation
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cleaning the inside of buildings after construction work
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You do not have to register if your work entails the following
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architecture and surveying
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scaffolding hire (with no labour)
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carpet fitting
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making materials used in construction including plant and machinery
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delivering materials
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work on construction sites that’s clearly not construction - for example, running a canteen or site facilities
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Even if your business is not located in the UK but is involved in construction work as a contractor or subcontractor in the UK you will be subject to the same CIS rules.
How does Construction Industry Scheme (CIS) work
If you are classed as a contractor then it is your responsibility to deduct money from a subcontractor’s payment and pass it to HM Revenue and Customs (HMRC).
HMRC will class these deductions as advanced payments towards the subcontractor’s tax and National Insurance.
What constitutes being classed as a Contractor
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you pay subcontractors for construction work
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your business does not do construction work but you have spent more than £3 million on construction in the 12 months since you made your first payment
If either of the above apply to your business then you are required to register as a Contractor.
What constitutes being classed as a Subcontractor
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if you do construction work for a contractor
If the above relates to your business then you are encouraged to register for the scheme but it is not compulsory. If you do not register then the contractor is entitled to deduct a higher rate from payments to non-registered subcontractors.
If your business falls under Contractor and Subcontractor you are required to register as both a Contractor and Subcontractor.
Contractors
Can be classed as a Mainstream or Deemed contractors
Mainstream contractors
If your business is construction and you pay subcontractors for construction work, you’re a ‘mainstream’ contractor. This applies if you’re a:
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builder
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labour agency
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gangmaster (or gang leader)
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property developer
Deemed contractors
You count as a ‘deemed’ contractor if your business does not do construction work but you have spent more than £3 million on construction in the 12 months since you made your first payment. This could apply to:
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housing association or arm’s length management organisations (ALMOs)
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local authorities
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government departments
You must monitor your construction spend if you are likely to become a deemed contractor.
There are exceptions for contractors where CIS does not apply
If your work is:
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paid for by a charity or trust
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paid for by a governing body or head teacher of a maintained school on behalf of the local education authority
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on the subcontractor’s own property and worth less than £1,000 excluding materials - you must call the CIS helpline to get an exemption
CIS also does not apply if you’re a deemed contractor paying for:
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work on property (that is not for sale or rent) for your own business use
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a construction contract worth less than £1,000 excluding materials - you must call the CIS helpline to get an exemption
Construction work not covered by CIS
There are also certain jobs that are exempt from the scheme, including:
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architecture and surveying
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scaffolding hire (with no labour)
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carpet fitting
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delivering materials
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work on construction sites that is clearly not construction, for example running a canteen or site facilities
Having decided that your business should be deemed as a contractor then you will need to do the following:
Register as a Contractor
Verify subcontractors
Make deductions and pay subcontractors
Pay deductions to HMRC
File your monthly returns
Keep records of payments and deductions
Keep HMRC up to date of any changes
Subcontractors
You should register for the Construction Industry Scheme (CIS) if you work for a contractor and you’re one of the following:
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self-employed
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the owner of a limited company
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a partner in a partnership or trust
Under CIS, a contractor must deduct 20% from your payments and pass it to HM Revenue and Customs (HMRC).
These deductions count as advance payments towards your tax and National Insurance bill.
If you do not register for the scheme, contractors must deduct 30% from your payments instead.
If you do not want deductions made
If you do not want deductions to be made in advance by contractors, you can apply for ‘gross payment status’. You can do this when you register for CIS.
You do not need to register for CIS if you’re an employee. Check your employment status if you’re not sure.
Having decided that you should be deemed as a subcontractor then you will need to do the following:
Register as a subcontractor
Apply for gross payment status if you qualify
To qualify
You must show HM Revenue and Customs (HMRC) that your business passes some tests. You’ll need to show that:
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you’ve paid your tax and National Insurance on time in the past
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your business does construction work (or provides labour for it) in the UK
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your business is run through a bank account
HMRC will look at your turnover for the last 12 months. Ignoring VAT and the cost of materials, your turnover must be at least:
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£30,000 if you’re a sole trader
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£30,000 for each partner in a partnership, or at least £100,000 for the whole partnership
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£30,000 for each director of a company, or at least £100,000 for the whole company
If your company’s controlled by 5 people or fewer, you must have an annual turnover of £30,000 for each of them.
Getting paid from a contractor
To be paid correctly by a contractor, make sure you give them the same legal business name or trading name you gave when you registered for the Construction Industry Scheme (CIS). You should also give them your Unique Taxpayer Reference (UTR) so they can verify you.
If you do not, this could affect how much you get paid
Contractors will not make a deduction from amounts you charge on your invoice for:
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VAT
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materials that you have paid for directly
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equipment which is now unusable (‘consumable stores’)
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plant hired for the job
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manufacturing or prefabricating materials
Annual review
If you have gross payment status, HM Revenue and Customs (HMRC) will review your business every year, to decide if you can keep your status.
You must be on time with your tax returns and payments to keep your gross payment status.
Keep HMRC up to date of any changes
For a more details on Construction Industry Scheme and construction operations refer to the following items
Guidance
Construction Industry Scheme: a guide for contractors and subcontractors (CIS 340)
Updated 6 April 2021
https://www.gov.uk/hmrc-internal-manuals/construction-industry-scheme-reform/cisr14330
CISR14330 - The Scheme: construction operations: index of construction operations