Accounting / Charity accounts: what trustees need to look out for

Many trustees will be expert in accounting, but will still find charity accounts a bit of a mystery. Other trustees will not have much financial training but they are equally responsible for the financial governance of the charity. Judith Miller, partner at Sayer Vincent explains how to make sense of charity accounts

Insight / Guidance on disqualification rules for charity execs

The Charity Commission has published guidance on changes to the automatic disqualification rules which mean there are tougher restrictions on who can run a charity or hold senior management roles, plus details of how individuals can apply for a waiver from the new regulations, which come into effect from 1 August

Tax / HMRC simplifies claims for group relief for carried-forward losses

HMRC has released a policy note on changes to the rules for relief for carried-forward losses changed which are backdated to 1 April 2017 and are designed to simplify the arrangements for claims for group relief

Tax / HMRC offers support for businesses affected by Carillion liquidation

HMRC is providing practical advice and guidance to businesses affected by the Carillion liquidation through its Business Payment Support Service (BPSS, which can suspend any debt collection proceedings and review penalties for missing deadlines

Audit / CIPFA revoked as an audit qualifying body

The Financial Reporting Council (FRC) has revoked the recognition of CIPFA as an audit qualifying body, now that it no longer has any members who hold a CIPFA awarded audit qualification

Accounting / NAO slams lack of analysis of private finance initiative deals

The National Audit Office (NAO) has published a scathing report on the rationale, costs and benefits of the government’s private finance initiative (PFI) which says there is still a lack of data available on the benefits of this approach to procurement, and warns it is difficult to establish whether it offers value for money

17 Jan 2018

Accounting / Companies Act 2006 Part 10: director disqualification

This article, the tenth in our series on the Companies Act 2006, will focus on what powers directors have outlining the rules around borrowing money from the company and how directors can be disqualified

Tax / Whiscombe: what's the chance of reforming VAT post-Brexit

VAT is a European construct so post-Brexit any government could have the freedom to reform this hugely complex and irrational VAT rating system, argues David Whiscombe CTA, partner at BKL

Insight / Regulators urged to fast track Carillion investigations

Carillion’s creditors may receive less than 1p in the pound, as the collapsed outsourcing company revealed it had just £29m in the bank when it went into liquidation earlier this week, and has a £16m HMRC tax bill due at the end of the month

Tax / HMRC urged to plug the gap on electric car charging

The Association of Taxation Technicians (ATT) is urging HMRC to issue guidance to employers and employees about a planned tax exemption for employer-provided electric car charging, including details of any exclusions or exceptions, which has not been included in the current finance bill

Tax / HMRC brushes off claims for aliens, chips and rabbits

Marital difficulties with visitors from outer space and an acute attack of vertigo were among the more outlandish excuses given to HMRC for not completing a tax return on time, while among the more optimistic expense claims made was one for birthday drinks in a Glasgow night club

Insight / Half a million UK businesses in ‘significant’ financial distress

Nearly half a million businesses across the country ended 2017 in a state of 'significant' financial distress, a third more than at the same point in 2016, according to research from Begbies Traynor

Insight / Begbies Traynor knits up deal for failed German yarn supplier

Administrators from Begbies Traynor have been appointed to the German subsidiary of a Keighley-based distributor of knitting yarns and patterns that ceased trading at the end of 2017, in a rare example of English administrators being appointed over a foreign company

Technical Alerts

16 Jan 2018

Accounting / End of pseudo hedge accounting under FRS 102 and IFRS

Does the recent IFRIC policy statement on hedge accounting mean the end of the use of pseudo hedging under IFRS and FRS 102 accounting, asks Zwi Y Sacho CA(SA), FCA, director of the corporate accounting advisory practice at Chatham Financial Europe

Tax / HMRC loses argument over VAT and taxable farming activities in Smart case

In the case of Frank A Smart & Sons Ltd [2017] CSIH 77, the appeal at the Scottish Court of Session focused on whether a farming company could reclaim VAT on the purchase of single farm payment entitlements (SFPEs). Croner Taxwise VAT consultant Julie Green considers the implications of the appeal judgment against HMRC

Audit / FRC considers Carillion audit investigation

The Financial Reporting Council (FRC) has indicated it is considering an investigation into the auditing of government outsourcing specialist Carillion, which has gone into liquidation putting thousands of jobs and dozens of complex infrastructure projects at risk

Tax / Apple pays additional £81m to HMRC

A week after its subsidiary Apple Europe Ltd paid an additional £136m to settle tax and interest payments with HMRC, another subsidiary of the US tech giant, Apple UK Ltd, has also revealed an additional tax and interest payment totalling £81m

Insight / Ill-health sees Kreston International CEO stand down

Global network Kreston International has announced that CEO Jon Lisby is to stand down due to health reasons which now prevent international travel, and it is looking for his replacement

Insight / RSM breaks through $5bn global revenue

RSM International saw revenues rise by 5.6% to $5.1bn (£3.7bn) in 2017, reporting growth in each of the network’s service lines and geographical regions and expanding into eight new countries

Insight / Half of UK’s largest companies have unresolved compliance issues

Over half of the UK’s biggest companies admit they are aware of unresolved compliance issues that are yet to surface to a regulator or the public, according to research by global law firm Baker McKenzie

Tax / Large business tax investigations taking longer to settle

HMRC investigations into large business tax affairs are becoming increasingly drawn out and are now taking almost three years to settle, according to analysis by Pinsent Masons

Insight / Banned director given additional 14-year disqualification

A director of a London based construction company, who was previously disqualified, has been banned for 14 years after continuing to run the company, along with his mother who has been given an eight-year ban

Technical Alerts