connecting - david allen · summer of sport jill hetherington david allenwealth management derek...

Summer of Sport

Jill Hetherington

David AllenWealthManagementDerek Baty

A few pointers from KirstieKirstie Somerville

ConnectingSummer 2012

84492_accounting newsletter.indd 1 21/05/2012 13:06

David AllenStrategy & Business Development [email protected]

Editorial

www.david-allen.co.uk

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Welcome to our Summer 2012 issue of Connecting.

Steve Balmer has joined our Wealth Management team as an Independent Financial Adviser and Sarah Priestley has joined our Agricultural team as a Farm Accounts Specialist. Jane Clingan joins us on 11 June to head up our Workington office. We are very much a people business and it's great to have these three champions on board. They'll be out and about with us at the shows this summer so please look out for them.

We're continuing to build on the services that we provide to our clients. Our Debt Recovery and Credit Control business is having great success helping clients manage their debtors and collect debts that have gone bad. Martin Leyshon, Chairman of the High Court Enforcement Officers Association and Gary Bovan, an Enforcement Officer visited our offices at Dalston and gave a brilliant talk to over 40 people working in the sector. Please visit our website to see their presentations.

Part of our vision is "to help individuals and businesses achieve their goals in the most practical, proactive and dynamic way. We will combine our technical know-how, financial awareness and commercial acumen with a passion and energy rarely seen in our sector." Our business involves working with owners and decision makers to build wealth by maximising profits. We have specialist expertise to do this over a wide range of sectors. Our tax team have the knowledge to ensure as much of that profit as possible is kept by minimising tax.

There were some interesting changes in the Budget this year and Lucy Metcalf has picked out a few of these on page 4 and Kirstie Somerville has highlighted some VAT changes on page 6.

We always enjoy celebrating the success of our clients and Tony, Stuart & Peter are thriving at Morton Garden Buildings on page 10.

If you're involved in the Construction or Agricultural industries please see our other newsletters 'Connecting Construction' and Connecting Agriculture'.

If you would like to contact me about anything in these issues please call me on 07769 645 577 or the numbers on the back page.

Please enjoy this issue of Connecting.



Alison WeltonBusiness Development Partner

[email protected]

Strength in our people

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Dates for your diaries

9 June 2012 – Cumberland Show at Carlisle Racecourse

7 July 2012 – Skelton Show

31 July 2012 – Tax Credit submission deadline

31 July 2012 – Second Payment on for personal tax liabilities to be made

1 August 2012 – Wigtown Show

4 August 2012 – Cockermouth Show

11 August 2012 – Dalston Show

Since our Spring Connecting publication we have continued to strengthen our team with the addition of Steve Balmer who joined David Allen Wealth Management (DAWM) on 16 April 2012. Steve has worked in the financial services sector for 15 years. Most recently he worked as an Independent Financial Planning Manager, for a national bank. He has experience with all types of customers, providing advice to individuals and businesses. Steve has always lived in the area around Penrith and Carlisle and is married to Helen and has two children, Josh and George. He enjoys playing and watching football and likes to be involved in his local community. Steve’s experience and knowledge will further enhance our well qualified team at

DAWM. To find out more news on future developments within DAWM go to page 8. David mentioned in his editorial that Jane Clingan will be joining us from 11 June 2012. Jane will be heading up our Workington office and is familiar with the area as she lives in West Cumbria with her husband James and two children Oliver and Elizabeth. Jane was educated in West Cumbria and attended the University of Northumbria and gained a first class honours degree in business. Jane started her accountancy career as a trainee chartered accountant at David Allen, Dalston. She then moved on to work in West Cumbria providing business and accountancy advice for companies working at Sellafield. Jane is looking forward to working at David Allen again and in particular joining the Workington team, where she will be instrumental in working with businesses in the area, sharing her knowledge and expertise and helping them achieve their goals.

Michael will tell you more about Sarah Priestley in Connecting Agriculture.

Steve, Sarah and Jane are great additions to the David Allen team and we are all looking forward to working with them.


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Budget Overview & Tax Credits

The Spring Budget held few surprises, but for anybody with children or those approaching retirement, changes to the Child Benefit, Tax Credit, tax free Personal Allowance and State Pension age might well have an impact on you.

Child Benefit

If you are receiving Child Benefit it had previously been announced that the benefit would be withdrawn from families where either parent is a higher rate taxpayer.

This announcement was unpopular, it was unfair as a couple where both partners were earning just under the higher rate tax band would have continued to receive the benefit, whereas a couple where one parent earned just over the limit would have lost it all.

Thankfully the Chancellor listened to the concerns and has now confirmed that there will be a phased withdrawal of the

Changes to Tax Credits

Many important changes to the Tax Credits system have been announced for the 2012/2013 tax year onwards.

Shorter notification time limitsFrom April 2012 a new Tax Credits claim can only be backdated for one month, compared to the previous three month rule.

Any changes in circumstances which may increase your entitlement, for example increased childcare costs, must also be reported within one month.

Increase to working hours for couplesPreviously a couple with children could claim Working Tax Credits provided one of them worked more than 16 hours a week. Tighter rules apply from 6 April 2012 which require the couple to work 24 hours between them, with one working at least 16 hours. This will not however apply where one of the claimants is entitled to Carer’s Allowance.

benefit if either parent’s income exceeds £50,000 a year.

The new rules, which come into force on 7 January 2013, will mean that the full benefit will be paid throughout the year but at the end of the year, once your income figures are known, you might have to pay some back by way of a tax charge. The rate of the claw back will be 1% of the total Child Benefit received for every £100 of income which exceeds £50,000.

If you suspect that your income is at a level which means you might have to pay back Child Benefit, you can opt to cease your claim; however this option may not be advisable for everybody.

HM Revenue & Customs will release further information at the end of the year. Anybody who becomes liable to pay the tax charge will be required to complete a Tax Return. This is something that we can help you with if you are not already under the Self Assessment system.

Lucy Metcalf Tax [email protected]


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Income thresholdThe withdrawal of the £40,000 higher income threshold means that Tax Credits will now be reduced to nil when in a basic situation the household income goes over £25,676 where there is one child in the family and £32,237 if there are two children. This could result in a number of families now being entitled to no Tax Credits at all.

Some of these changes may mean that you see a significant decrease in the Tax Credits you receive. We can review your claim and suggest planning opportunities to maximise your award.

Age related tax free Personal Allowance

For many years anybody over the age of 65 at the end of a tax year has been entitled to a higher tax free personal allowance, which is the amount of income that you can receive before you start to pay tax. For the 2012/2013 tax year this amount is set at £10,500 for the over 65’s and £10,660 for anybody aged 75 and over.

The Chancellor announced that from 6 April 2013 these age related personal allowances will no longer annually be increased but will be frozen until this figure is overtaken by the rising standard personal allowance. Claiming the higher age related personal allowances will therefore be restricted to people born on or before:

• 5 April 1948 for the allowance worth £10,500; and

• 5 April 1938 for the allowance worth £10,660.

People born on or after 6 April 1948 will be entitled to the normal tax free personal allowance of £9,205 for the 2013/2014 tax year.

State Pension age

It is well publicised that as a nation we are living longer and following this the age at which we can expect to receive our State Pension is also increasing.

Previously a man could claim his State Pension at the age of 65 and a woman at 60; however the date that you become entitled to your State Pension now depends on your date of birth.

From December 2018 onwards the State Pension age for both men and women will start to increase to reach 66 by October 2020, 67 by 2036 and 68 by 2046. However, the Government recently announced that it intends to bring forward the increase in this age to 67 by 2028, so we may see further changes to these.

You do not have to take your State Pension when you reach pension age. It may be beneficial to defer it for a period, especially if your income in the year of retirement is high.

At the moment you need 30 full years of National Insurance Contributions to qualify for a full basic State Pension (currently £107.45 per week). It is possible to complete a pension forecast which confirms how much pension you are likely to receive when you do retire.

If you have any queries regarding your Child Benefit or Tax Credits claim, or wish to discuss your State Pension position, please do not hesitate to contact one of our Tax Team on 01228 711 888.

The David Allen Tax Team


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A few pointers from Kirstie

Kirstie SomervilleBusiness [email protected]


Proposed VAT changes with effect from October 2012

VAT has been in the news quite a lot in recent months, for reasons both good and bad!

Following the Budget, proposed changes were announced as VAT is a tax where it is all too easy to get things wrong. Summarised below are the proposed changes to the rules and legislation as this could be the difference between avoiding the pitfalls and falling into them.

Hot Take Away FoodThe most publicised part of the Budget being the VAT on hot takeaway pies and pasties and the effect this will have on Greggs! From 1 October 2012 all food sold hot will be standard rated, with the exception of freshly baked bread. With regards to the sale of pies and pasties, these will be standard rated until they are below ambient (room) temperature!

Food PremisesFood is standard rated if consumed on the premises in which it is supplied. From 1 October 2012, food consumed on shared designated eating areas which are for the consumption of food, for example in shopping malls and airports, will be treated as premises for the purpose of these rules.

Sports Nutrition DrinksCertain types of sport nutrition products in liquid form have been treated as food, but not a beverage, making them zero rated. The law is to be changed to make these products standard rated in their own right.

Self StorageSelf storage over the years has also attracted more than its fair share of avoidance schemes being that the customer is paying for rights over a defined area of land making the supply exempt (if the option to tax has not been exercised).

Storage services provided by the operator of a warehouse where the customer does not have the right over a defined area of land is standard rated.

The declared aim of the proposed legislative change is to make the sale of self storage to the end user standard rated.

Hairdressers’ Rental ChairThis has been an issue for a long time but the new rules which will apply from 1 October 2012 are very specifically targeted at hairdressers and do not cover any similar arrangement in any other type of establishment.

Salon owners can get this wrong and treat rental chair income as an exempt supply of land. When a hairdressing salon rent chair space to individual self employed stylists the stylist receives more than just a licence to occupy chair space e.g. use of wash basins, reception and waiting areas for clients. The overall supply is a supply of facilities and not an exempt supply of land.

Holiday CaravansMobile homes for permanent occupation are zero rated and will continue to be zero rated. Currently the zero rating is defined by reference to the size of caravan and whether it can be legally towed by a car on UK roads.


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HMRC intend to introduce new legislation which will replace the size test and will restrict the zero rating to the sale of caravans that conform to British Standards BS 3632, which indicates that the caravan is designed and manufactured for continuous all year round occupation and therefore suitable for residential purposes. All other caravans for holiday purposes will be standard rated.

Alteration to Listed BuildingsThe new legislation will remove the zero rating for alterations of listed buildings.

Currently repairs and maintenance to a listed building are standard rated for VAT purposes and approved alterations are zero rated. Alterations to all other types of buildings are standard rated.

The new measure will mean that the alteration to the listed building will follow the same VAT treatment of alterations to other buildings at the standard rate.

VAT – don’t be caught out! VAT number verificationIf you are a VAT registered business selling goods to another VAT registered business in an EU country, you will be treating the sale as a zero rated transaction. Care must be taken to ensure that the customer is genuinely VAT registered and simply obtaining their VAT number and including it on your invoice is not sufficient. If it later transpires that the customer had given you fraudulent information, the transaction will become subject to standard rated VAT and you will have the burden of the VAT to pay.

You can check any VAT number online at http://ec.europa.eu/taxation_customs/vies/.

Extra charges from landlordsMany landlords incorrectly treat extra sums charged to their tenants. If insurance or other unmetered utilities are invoiced to the tenant, the VAT rate should follow the VAT liability of the lease. This could result in the landlord having to charge VAT on items provided to the tenant, for example insurance, which when provided by the insurance company is an exempt supply. Planning restrictions on VAT claimsAnother area to be careful of is assuming that VAT can be claimed on all new build properties. Planning documentation may restrict the new dwelling from being sold separately from any other property which restricts the use of any VAT relief’s.

If you require any further information on VAT please contact Kirstie Somerville on 01228 711 888

• Compulsory VAT registration threshold rose to £77,000 from 1 April 2012

• VAT Returns must be submitted online from 1 April 2012 (with very few exemptions)

• Hungary has the highest VAT rate of 27%, within the EU. The Irish VAT rate is 23%.


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Funding Further Education

Kevin BattyAgricultural [email protected]

The recent rises in tuition fees to £9,000 has sparked an increased number of queries from clients regarding courses, funding and questioning whether sending their children to college is worthwhile.

The tuition fee changes come into force in September 2012 and only affect those starting new undergraduate courses this autumn. Those on courses which started before then stick with the current fees and repayments. Scottish students receive support from devolved administrations and for 2012 will not pay fees.

The following summary will help those thinking about going to college but worried about the financial commitments:

• Paying the tuition fees - the Student Loan Company will provide this finance meaning you do not need the cash up front. You don’t have to use the Student Loan Company but other borrowers won’t offer such flexible finance.

• What other financial help can I get? – There is maintenance support to help cover living costs. The maintenance loan is available to all students whilst a

Residual Household

income

Maintenance grants

Maintenance loans

Total

<£25,000 £3,250 £3,875 £7,125

£30,000 £2,341 £4,330 £6,671

£35,000 £1,432 £4,784 £6,216

£40,000 £523 £5,239 £5,762

£45,000 £0 £5,288 £5,288

£50,000 £0 £4,788 £4,788

£55,000 £0 £4,288 £4,288

£60,000 £0 £3,788 £3,788

>£62,500 £0 £3,575 £3,575

maintenance grant (which does not need to be repaid) is based upon the parents’ residual income. The table below demonstrates this.

• How much will I have to pay back? – For those starting in September 2012 repayments will start in April 2016, but only if they earn over £21,000 per year. The loan is for 30 years and the interest rate depends upon your income and the level of inflation.


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Compared to the current system students will owe money for longer and pay more as there is a higher rate of interest and repayments will not start until you earn £21,000. The table below compares the two systems.

• What other support is available? – Each college or university will have a range of scholarships/bursaries on offer. It is definitely worth spending the time researching these and doing a good job of the application as they will provide extra cash towards your studies.

Earnings Current system New 2012 system

Annual

repayment

Monthly pay packet reduction

Annual repayment

Monthly pay packet reduction

£15,000 Nothing Nothing Nothing Nothing

£16,000 £18 £1.50 Nothing Nothing

£21,000 £470 £39 Nothing Nothing

£22,000 £560 £46.50 £90 £7.50

£30,000 £1,280 £106.50 £810 £67.50

£40,000 £2,180 £181.50 £1,710 £142.50

£50,000 £3,080 £256.50 £2,610 £217.50

Where David Allen comes in…Through careful planning, business structuring and practical advice we can help families receive the maximum financial support for their child’s studies. In addition, through the new system many people will not actually ever pay the entire loan back. In fact, the student loan can be looked at as a graduate tax rather than debt.

It has the characteristics of a tax as it is repaid through the income tax system, increases with earnings and has a payment threshold. Equally unlike normal

loans it doesn’t go on credit files, there are no strict repayment schedules and debt collectors will not be chasing for it.

From a personal view I spent four fantastic years down at Harper Adams which opened my eyes to a range of farming systems, the latest agricultural developments/technology and independent advice. This is on top of great friends and social life.

The riots and protests surrounding the changes in tuition fees may have cast a grey cloud over going to university but this should be balanced against the future benefits it will have on you, your family and your business.

If you would like further help in ensuring you or your child receives the most support available please do not hesitate to contact me on 01228 711 888.

• Maintenance grant of up to £3,250 available to help with student living costs

• Look at residual household income

• Spend time researching and applying for student bursaries/scholarships

• You only pay back the student loan when earning over £21,000 per year

• View as graduate tax rather than debt


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Derek BatyIndependent Financial [email protected]

Retail Distribution Review (RDR)

www.davidallen-ifa.co.uk www.davidallen-ifa.co.uk Company Number 4030020. Registered in England & Wales. David Allen Wealth Management Limited is an appointed

representative of Network Direct Limited which is authorised & regulated by the Financial Services Authority

The financial services industry has for many years stumbled from one crisis to another such as the scandal surrounding inappropriate pension transfers to endowment miss-selling. A common factor has been the commission paid to the salesperson and the fact that an unscrupulous salesperson would be more interested in lining their own pocket than doing what was right for the client – or so the Financial Services Authority would have us believe.

Whilst there is no doubt that such sales tactics were employed by a minority, the industry has made progress over recent years in trying to raise the level of professionalism shown by advisers, not least by setting a minimum level of qualification needed to practice as a financial adviser. In my view the pension and endowment mis-selling was in the main done by unqualified sales people who could describe themselves as financial advisers. Any person providing financial advice now needs to be suitably qualified and from 31 December 2012 the minimum level of qualification will be further increased.

At David Allen Wealth Management (DAWM) all our independent financial advisers are already qualified to at least the new minimum standard well in advance of the required date.

Together with the increase in the minimum level of qualification, commission payments to financial advisers will also be banned and therefore any payment to an

adviser must be separated from the costs of the product sold. This is one of if not the biggest change ever in the UK financial services landscape.

“All our financial advisers are qualified”

“David Allen Wealth

Management are independent

financial advisers”

The separation of the cost of advice from the sale of a product can only be a good thing as it will remove any suggestion that a financial adviser has selected a product, however suitable it may be for a client, on the grounds that it pays a greater amount to the adviser than a similar product paying less. Clients will also have the ability to turn off any regular payments to their adviser if they feel they are not receiving an adequate level of service.


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Wealth Management

www.davidallen-ifa.co.uk Company Number 4030020. Registered in England & Wales. David Allen Wealth Management Limited is an appointed

representative of Network Direct Limited which is authorised & regulated by the Financial Services Authority

The Retail Distribution Review will also see the introduction of two distinct channels of financial advice - restricted and independent. The restricted advice channel will mean that a restricted adviser will offer financial solutions from a limited range of providers and products, whilst an independent financial adviser will be expected to research the whole market place and offer solutions from the full market. At DAWM we are currently independent financial advisers and intend to remain independent after RDR even though this is likely to incur additional cost for our business.

We believe that the changes we have made will ensure that we are fully prepared for RDR before 31 December 2012 and beyond.

Contact Derek Baty on 01228 711 881 for an initial discussion or to arrange a meeting

At DAWM we are fully supportive of RDR and over recent months have invested in new technology that will further improve upon the service we provide to our clients. Other financial institutions have taken the decision that they will not be able to operate profitably under the new rules with one of the major high street banks making the decision to scrap its tied adviser operation.

RDR may also require a degree of re-education of consumers. Some consumers mistakenly believe that financial advice is free and that advisers receive both initial and ongoing payments from product providers. However product providers don’t have a bottomless pit of money from which they pay financial advisers and of course the payments are deducted in some shape or form from the product, meaning the consumer pays and always has!

• Investment Advice

• Retirement Planning

• Protection Advice

• Commercial Lending

• Wealth Management


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Vicki MoffatManaging Director Recovery [email protected]

Recovery Solutions

www.davidallen-recoverysolutions.co.ukDavid Allen Recovery Solutions is the trading name of Debts-In Ltd. Company Number 07884710. Registered in England and Wales

After our January launch, I am pleased to say David Allen Recovery Solutions continues to grow from strength to strength and as well as increasing our recovery team from 3 to 5 full time members of staff, we held our first annual Debt Recovery and Credit Control Seminar on Thursday 19 April 2012 at Dalmar House. Over 40 professionals working in credit from a whole range of local and national businesses were in attendance.

In addition to this, we now offer in-house training and credit control support to businesses whatever the size or location and hope you will be able to take advantage of this fantastic new service which is tailored to your individual business needs.

To register to view the seminar or for more information on how we can help support your business, please visit our website www.davidallen-recoverysolutions.co.uk or contact me on 01228 713 070.

As well as myself, speakers at the event included Solicitor Nick Marshall from Strutt & Co in Penrith, Martin Leyshon, current Chairman of the High Court Enforcement Officers Association and Enforcement Officer Gary Bovan. The speakers were entertaining and informative providing essential advice for all businesses.

As demand for the seminar was so high, the event was filmed by John Harkin and Susanna Boccaccio from Brilliant Trees Media and is now available for viewing and download from our website, meaning that credit controllers and businesses everywhere can still benefit from the wealth of knowledge and experience of the speakers in the comfort of your own office or home, at a time convenient to you.

“The speakers

were entertaining”

Services we offer;

• Credit Control

• Credit Checks

• Debt Recovery

• Enforcement of Judgements


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A wireless network can increase access to information for your family or your business well beyond the traditional limits of a PC plugged into a power socket and wired network connection. Unfortunately, an unprotected wireless network can also open up your sensitive private information to a whole new world of malicious opportunists.

More Wireless Security OptionsUsing multiple security methods makes it much more difficult for unauthorized access to your wireless network. Many come with a default SSIDs (the public name for a wireless network) and one popular option is to change the default SSID of your router. You can also disable SSID broadcasting, which makes it much more difficult for others to find and connect to your network.

This article should serve as a starting point for wireless network security but if you would like to discuss any aspects of your PC security contact our IT Consultancy team on 01228 711 888.

Securing a Wireless NetworkThere are many important reasons to secure your wireless network. Do you really want to make it easy for someone to check out what websites you are viewing? Or how about having your internet connection used for sending or receiving illegal information like pirated software or music? The good news is that all of the damage can be prevented by properly securing your network.

Wireless Network EncryptionThe most popular method is to use encryption, which protects your network while also preventing unauthorized access to the data on your computers.It is relatively simple to add encryption to your network through your admin interface, but the process differs from router to router, so you’ll need to consult your router’s documentation. Once you’ve enabled encryption and created an encryption key, you’ll need to provide each user that is connecting wirelessly to the network with the key.

IT – Wireless communication

Julie CampbellPractice Manager

[email protected]

“Many important reasons to secure your wireless network”


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Morton Garden Buildings

Morton Garden Buildings has been at the forefront of garden building manufacturing in Cumbria since 1974. It enjoys an enviable reputation for quality buildings and excellent service, so when in 2010 founder Ken Morton announced he was going to retire, three of his long serving workforce decided to take over and carry on the tradition. Tony Milburn, Stuart Havery and Peter Cape are well qualified to take over the business as far as manufacturing and erecting the buildings is concerned and with the help and support of David Allen Accountants, the takeover went very smoothly, with customers not even realising anything had changed.

Tony, Stuart and Peter were eager to put their new ideas for a re-furbished showground into action to showcase some new designs. In their first year business was extremely busy, totally against the trend in this economic climate. It seemed that customers were improving their homes and gardens instead of moving house and with the more cost-effective idea of having your office in your garden, orders for this type of building increased steadily. The demand is high also for a retreat in the garden to pursue ones hobbies e.g. painting, pottery etc. We design buildings to suit a particular pastime and here are the comments of one very happy customer:-

‘Being new to the area our Estate Agent firstly recommended us to ‘Mortons’ for the development of a Garden Studio. We quickly learnt from several other people of their excellent reputation. Our Garden Studio has required such a specialist build to house a Printing Press and meet various requirements. The craftsmanship and overall quality has far exceeded our expectations. We are delighted with the outcome and can’t thank them enough for their help and for the excellent work.’ Mr & Mrs Earley, High Hesket.

Mr & Mrs Early



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Sheds and greenhouses continue to be a popular choice and customers say it is the quality of materials and workmanship which make Morton Garden Buildings their first choice. The beautiful summerhouses really do make a focal point in any garden no matter how small and these can be custom made buildings to fit any space no matter what shape or size.

Morton Garden Buildings doesn’t just deliver buildings in Cumbria. They regularly travel over the border into Dumfries & Galloway, and south to Lancashire and Yorkshire. In fact, distance is no problem and the company have travelled to Dorset, London and recently Warrington to name but a few places. In 2012 a very exciting and adventurous project takes off, which involves

manufacturing a bespoke Office type building to sit within a ruin on the Hebridean island of Tiree. Logistically the project will be a challenge but perhaps not as big a challenge as the weather! Tony travelled to the island by train, then flew from Glasgow to undertake a site visit and is now looking forward to completing the project in late summer/early autumn.

Our company motto is ‘Making Quality Affordable’ showing our desire to work with the customer to make a great product at a realistic price. For a free, no obligation site visit and quotation contact Tony, Stuart or Peter on 016974 73578. Alternatively, visit our website.

www.mortongardenbuildings.co.uk

Tony Stuart & Peter



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It’s Showtime

As summer approaches our team is busy preparing for the forthcoming agricultural shows which we will be supporting over the summer months once again.

These events are always a fantastic day and a great opportunity to catch up with everyone, so please come along

and visit our stand for a chat and some refreshments whilst having a go at our competition.

We will have a trade stand at the following shows:

• 7 July 2012 – Skelton Show

• 4 August 2012 – Cockermouth Show

• 11 August 2012 – Dalston Show

Our staff will also be in attendance at the following shows:

• 9 June 2012 - Cumberland Show

• 1 August 2012 – Wigtown Show

✁Please complete the form below and bring along to the show to enter into our free prize draw.

Name: .................................................................................................................................................................................

Business name: ..................................................................................................................................................................

Address: .............................................................................................................................................................................

.............................................................................................................................................................................................

Email: .................................................................................................................................................................................

Telephone no: ....................................................................................................................................................................

From time to time we may wish to send you information and updates that we think may be of interest to you. If you do not wish to receive information from us please tick here.


Emailing invoices from Sage

If you are using Sage Accounts did you know you can email sales invoices direct to your customers from the Sage system? By emailing direct from Sage you are saving on office overheads such as paper, printing and the increasing cost of postage!

You will need to complete email settings within each customer account, including email addresses and tick boxes.

Once you have processed invoices and they appear in the invoice list you can send them as a batch or individually.

In addition to emailing invoices you can also email statements, letters and other reports, again some of the reports may need the layout options tailored slightly to ensure the customer receives them, in the correct format and the information is accurate.

If you have any queries on emailing directly from Sage or would like assistance in setting up templates bespoke to your business including logo’s please contact one of the Sage team on 01228 711 888.

You may need to review which layout you are going to be using as the layout controls how the invoice looks and what information it sends. It is important to get this right as it can’t be changed once you click email from the invoice list.

You may need to update the email options on your invoice template layout within report designer. Our Sage team can assist with this process. This will ensure that only the intended invoice is delivered, that the layout is correct when your customer receives it and that it automatically pulls in the email addresses to enable batch emailing.

Rachael PercivalBusiness Software Specialist

[email protected]

David Scott joined us in September 2011. His work mainly involves preparing Company Accounts and dealing with statutory information.

David embarked on a career at a local firm of accountants where he qualified as a member of

the Association of Accounting Technicians.

David is also a valued member of our Sage team and will be working closely with clients to provide training, support and general advice.

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Danny RoperTax [email protected]

Company Cars

Do not be caught out by the changes in Company Car rules!

Companies should look to review their company car policy to avoid their staff being caught out by additional tax payments as a result of changes on company car taxation.

From April 2013, the CO2 emissions threshold for the main rate of capital allowances for business cars and lease rentals will be reduced from 160g/km to 130g/km.

As announced in the Budget, tax rates on company cars are to rise by one per cent to a maximum

of 35 per cent in 2014-15 and by two percentage points to a maximum of 37 per cent in 2015-16 and 2016-17.

These changes will end up resulting in additional costs for company car users and employers, including higher tax and national insurance contributions.

Your Questions answeredQ: When do I need to advise the Tax Credits office of my income figures for the year ended 5 April 2012?

A: If you receive an Annual Declaration form you must

report your income figures for the year ended 5 April 2012 to the Tax Credits office by 31 July 2012. Failure to submit this form will result in your claim being cancelled, however if your income figures for the year ended 5 April 2012 are not known by the 31 July 2012 deadline an estimate can be submitted until the actual figures are known.

Q: When do I need to inform the Tax Credits office of a change in my circumstances?

A: You should advise the Tax Credits office of any changes in your circumstances immediately. Failure to do so might mean that

you miss out on credits that are due and can result in a penalty of up to £300 being imposed.

Q: I am due to make a tax payment on 31 July 2012 but my income has gone down, can this payment be reduced?

A: Your tax payments are based on the previous year’s tax liability and if you know or expect that your profits have decreased, it might be possible to reduce the tax payment due at the end of July.

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Employer Services

Summer of Sport!

Just after the extra Bank Holiday for the Queen’s Diamond Jubilee on 5 June 2012, Euro 2012 kicks off on 8 June 2012, the Olympic Games will be getting underway on 27 July 2012 and the starting gun goes off for the Paralympics on 29 August 2012!

This summer of sport may lead to employees requesting time off and all at the same time! Or a worse scenario, turning in late after watching a key event in the pub the night before!

What can you do as an Employer?

Strictly speaking as an Employer you can say yes or no to time off in accordance with your contracts of employment or existing policies.

However you may want to be a flexible employer and allow some time off for those all important matches and events. If you are taking this approach plan ahead and get a policy in place. Points to consider are:-

• Flexible working arrangements

• Swapping shifts• Watching events at work

- make sure you have the relevant TV licence

Jill HetheringtonEmployer Services Specialist

[email protected]


“Flexible working

arrangements”

Whilst looking after your staff, make sure you are consistent in your approach to all requests for time off and you also maintain appropriate staffing levels, as all of your customers may not be watching the TV!

It may also be a good idea to remind your staff, ahead of the Summer of Sport, of your unauthorised absence policy, as prevention is always better than cure!

If you need any further information on Contracts of Employment or Staff Policies please contact me on 01228 711 888

From 1 April 2012 the main rate of Corporation Tax reduced from 26% to 24%. This change of tax rate will affect companies with taxable profits in excess of £300,000 within the year.

Changes to the Corporation Tax Rate

The main rate of Corporation Tax is set to decrease by 1% each year until 1 April 2014 when the rate will then remain at 22% until further notice.

The tax rate has not changed for companies with profits below £300,000 in the year and this remains at 20% for the foreseeable future.

For further information, contact Danny Roper or Ricky Taylor on 01228 711 888.


[email protected]

www.david-allen.co.ukThis newsletter is for guidance only and professional advice should be obtained before acting on any information contained herein.

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