Diversification is a growth strategy where alternative lines of business are explored to generate additional revenue, whilst specialisation is a decision to focus on a particular area which will produce the most rewards, and provide the best service to customers. Both can present great opportunities, but must be managed carefully to avoid potential disasters.Read More
Annual Return – Charities filing annual returns for financial years ending in 2015 will need to answer three new questions on the form:
• In the reporting period, how much income did you receive from:
- contracts from central or local government to deliver services
- grants from central or local government?
• Does your charity have a policy on paying its staff?
• Has your charity reviewed its financial controls during the reporting period?
Trustees may wish to take action in respect of questions two and three prior to drafting the return Accounts – It has previously been possible for your accountant or adviser to submit accounts on your behalf by emailing them to Charity Commission.Read More
The Government’s response to its consultation on the UK implementation on the EU Accounting Directive has been released, and although legislation, expected by April 2015, will be required to implement the changes, gives a clear indication of what the significant changes will be. The new rules will apply to accounting periods commencing on or after 1 January 2016.Read More
UK financial reporting is certainly experiencing exciting times! Hot on the heels of the Government’s announcement on how it will implement the EU Accounting Directive (main impact being a big increase in the small company thresholds) the Financial Reporting Council, the body responsible for setting accounting standards, has launched a consultation on its planned changes to accounting standards.Read More
As you will no doubt be aware, significant changes to UK accounting standards are coming (and for some they have already come!) Unless FRS 101 or IFRS is adopted (which is unlikely in the majority of cases), FRS 102 is the new mandatory accounting standard for medium or large entities for accounting periods commencing on or after the 1 January 2015.Read More
The Solicitors Regulation Authority (SRA) and The Law Society are continually providing guidance and comment in respect of frequently asked questions. Highlighted below are key points where guidance has recently been issued.
Keep your client account usage for clients
Rule 14.5 is in place to ensure that your client account is not used for criminal or other uses.Read More
The issue of how company directors/shareholders are remunerated is still an issue when companies are insolvent, and we are frequently asked to advise on options for the company.
Many companies have policies involving the payment of a salary to a director and then as a shareholder receiving dividend payments.Read More
According to an HMRC press release issued on 2 February, around 4.3 million people filed their tax returns in January and approximately 2.5 million (seven percent of the total number of submissions) missed the deadline, resulting in (yet again) another large bonus to the Treasury.
However, the amount of the ‘penalty income stream’ has the potential to increase significantly if a new system of penalties detailed in a recently issued consultation paper is implemented.Read More
The Government has confirmed its intention to double the income threshold for charity audit to £1 million from £500 thousand. Assuming the regulations are passed as planned, charities with accounting periods ending on or after 31 March 2015 would be able to apply the new thresholds in deciding which form of scrutiny is appropriate or necessary.Read More
If you have been waiting for a healthy environment to sell an SME (small medium enterprise), then 2015 may be a great opportunity to realise the value of your business.
Deal volumes and values, on a national and local level, are increasing, and it is anticipated that this trend will continue into 2015.Read More