HMRC Stakeholder Digest – 6 July 2022
Please see the following message which we are sharing on behalf of HMRC:
Finance Bill 2022 to 2023
The government will publish draft clauses for the next Finance Bill, which will largely cover pre-announced policy changes, on 20 July along with accompanying explanatory notes, tax information and impact notes, responses to consultations and other supporting documents.
All publications will be available on the GOV.UK website.
Support available for childcare costs with Tax-Free Childcare
Families shouldn’t miss out on financial support that can help pay for childcare during the summer holidays.
Through Tax-Free Childcare, families can receive up to £2,000 a year per child – or £4,000 if their child is disabled – to put towards the cost of childcare. This is available for children aged up to 11, or 17 if the child has a disability.
The money can help towards the cost of holiday clubs, childminders, nurseries, and other approved childcare schemes.
The government will pay 20% of childcare costs by topping up the money paid into a Tax-Free Childcare account. This means for every £8 paid into the online account, families will automatically receive an additional £2 in government top-up.
We’d appreciate your help in promoting Tax-Free Childcare to parents and carers.
Find out more about Tax-Free Childcare on the Childcare Choices website.
Making Tax Digital reminder for VAT customers
Regardless of taxable turnover, businesses now need to keep digital records, sign up for MTD, and file all their future VAT returns using MTD-compatible software.
This reduces common mistakes and makes it quicker and easier for them to manage their tax affairs.
Businesses can find what actions they need to take now and help and support for MTD on GOV.UK.
PAYE tax refund – download the HMRC app
Customers can quickly check and claim a PAYE tax refund using the HMRC app.
It’s a free, quick, and secure way to claim a refund and it will be paid straight into the customer’s bank account.
Customers can watch our animation to find out how they can use the app to claim a tax refund on YouTube.
The app can be downloaded from Google Play for Android devices, or from the App Store for Apple products. They can then sign in again on any device using their 6-digit pin, facial recognition, or thumbprint.
Tax responsibilities for people arriving to the UK from Ukraine
It is important that people coming to the UK from Ukraine are aware of their tax responsibilities to avoid any potential future implications or compliance activity from us.
Everybody has a responsibility to pay tax on their earnings if they earn over a certain amount. Employment status, such as self-employed or agency worker, can affect the amount of tax paid.
If people arriving from Ukraine are employed by someone else, their Income Tax will most often be deducted directly from their monthly salary through Pay As You Earn (PAYE).
If they are self-employed, they have a responsibility to declare that income and pay the right amount of tax by registering for and submitting a Self Assessment tax return.
Ukrainian arrivals who are struggling with their tax responsibilities can contact us directly or take advice from reputable agencies such as Citizens Advice, as well as professional accountants.