Newsletter - Back to work & more
The Summer holidays are over and Christmas will be on us before we know it
Things to consider now whilst there is time:
Prepare your price increase justification and targets for 1 January
Write down your goals for 2024
Start collecting your overdues, in anticipation of a December close
Finalise those remaining contracts that need to be delivered in Q1
Lastly, book the Christmas party venue.
CAPITAL ALLOWANCES CHANGES
Super-deductions for purchases of plant & machinery, brought in post Covid to encourage business investment, ended on 31 March 2023. We now have “full expensing” which essentially means you receive 100% tax relief on qualifying purchases.
However, as the Annual Investment Allowance is so high at £1m (under which again you receive 100% tax relief on the same purchases) it makes no odds to most small businesses. Capital allowances is a complex area and worth chatting to us before incurring unusual expenditure to ensure you understand the tax consequences.
GOLDEN NUGGETS - TRIVIAL BENEFITS
For limited companies there are various small benefits that are tax deductible:
Eye tests: for directors and employees who for work spend more than1 hour a day looking at computer screens
Eye wear: if prescription glasses are needed for work then it could bean allowable business expense. These can only then be worn for work
You can provide small benefits for employees if all of the followingcriteria are met: under £50, not cash or cash voucher, not performancebased, not a part of their contract. Some examples of eligible benefitsare birthday presents, Friday night post work drinks. Restricted to£300 a year for directors
XERO'S GLOBAL SEARCH FUNCTION
The global search function very useful tool within xero that we have begun using in the last few months. Located in the top right hand corneras a magnifying glass the search function can quickly take you to an invoice, customer, bill or bank transaction.