Newswire November 2018

  • By Mercia Group
  • 30/11/2018

Following last month's Budget the tax team have been absorbing the content of the Finance Bill which is making its way through Parliament. Meanwhile the Scottish Budget is due to take place on 12 December, we will update you on pertinent announcements. With the Brexit uncertainties dominating the news, the government is starting to legislate for a possible 'no deal' scenario as a backstop for the proposed Withdrawal Agreement.

Another month, and yet another inquiry into the future of audit.  This one will be undertaken by the Business, Energy and Industrial Strategy Committee to ensure other reviews are acted upon swiftly and effectively and that they deliver necessary improvements to audit quality and corporate governance. See more on this, draft Brexit legislation, and a review of the effectiveness of the 2016 auditing standards in the A&A section below. 

AUDIT & ACCOUNTING

 

Review of 2016 Auditing Standards

The FRC is undertaking a Post Implementation Review of the 2016 Ethical and Auditing Standards. Views are being sought on whether:

  • the changes made to standards have had the desired impact on auditor independence, prevention of conflicts and on audit quality;
  • further measures are needed to address weaknesses, and ensure that audit better meets the expectations of those who rely on it; and
  • auditor reporting and communication with those charged with governance could be further strengthened to better meet the needs and expectations of users.

 Feedback has been requested by 15 February 2019. 

Post 'exit day' draft legislation

The Government has published draft statutory instruments that propose amendments to legislation to come into force on 'exit day' or for periods commencing on or after 'exit day'.  These include the Draft Companies, Limited Liability Partnerships and Partnerships (Amendment etc.) (EU Exit) Regulations 2018 and the  Draft Accounts and Reports (Amendment) (EU Exit) Regulations 2018 relate to EEA companies with a UK establishment or branch and the preparation and filing of accounts with removal of, or amendments to, references to the EU and EEA. 

BEIS Committee examine the future of audit

The Business, Energy and Industrial Strategy (BEIS) Committee has launched an inquiry  into the future of audit that will focus on the likely impact of the CMA market study and the review of the FRC, by Sir John Kingman. Public enquiry sessions will commence in January 2019, soon after the Kingman and initial CMA reports are published.  

A&A technical round-up

Other news and publications you may find of interest include: 

  • an FRC announcementon its 2019/20 audit thematic reviews, priority sectors and audit areas of focus; 

a Charities SORP making body consultation on the process for developing the Charities SORP. 

 


 

TAXATION

 

HMRC release guidance on loan schemes

HMRC has released guidance on loan schemes, otherwise known as 'disguised remuneration' schemes, used to avoid paying income tax and national insurance. To read more, please click here.

Changes to the advisory fuel rates from 1 December 2018

The advisory fuel rates have been changed with effect for all journeys undertaken on or after 1 December 2018. More information available here

Engine Size Petrol Diesel LPG
1400cc or less 12p (12p)   8p (7p)
1401cc - 2000cc 15p (15p)   10p (9p)
Over 2000cc 22p (22p)   15 (13p)
1600cc or less   10p (10p)  
1601cc - 2000cc   12p (12p)  
Over 2000cc    14p (13p)  
Find software suppliers for sending VAT Returns and Income Tax update
HMRC has published details of approved software providers for MTD. To read more, please click here.
HM Treasury cat
A request which asks how much money has been spent by the Treasury on keeping Gladstone, the cat, since 2016. To read more, please click here.
Campaign to prevent properties being bought with dirty money
The Government has teamed up with property industry experts targeting estate agents who fail to report suspicions of dirty money used to buy properties. To read more, please click here

HMRC to review High Income Child Benefit Charge penalty cases

High Income Child Benefit Charge cases will be reviewed where a 'Failure to Notify' penalty was issued for certain tax years. To read more, please click here.

Customs, VAT and Excise regulations: leaving the EU with no deal

This collection brings together regulations, explanatory memoranda, and an impact assessment in preparation for day 1, if the UK leaves the EU with no deal. To read more, please click here.

 


 

OFFICE GOSSIP & IDLE CHAT

 

We are delighted to announce that our new website is live!

We have been working hard to provide you with a new and improved experience when you visit our website. It is now easier than ever before to access and benefit from all our products and services, so whether you are looking for training, technical support or help promoting your firm, we can help. 

Helping local people in crisis

At this time of year, we support a charity that helps those less fortunate than others. This year we are supporting the South Leicestershire Foodbank.

The team is coming together to produce food hampers to give local families some essentials and few little luxuries which will help to spread a little Christmas cheer. We decided to support families of four and the charity has provided us with a shopping list to make Christmas special for them. The response from the team has been amazing.

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