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Tax season can be stressful with various deadlines to remember. Missing any could result in penalties, so here’s a simple guide to key UK tax deadlines:

 

Registering for Self Assessment: 5th October

If you’re filing a self-assessment tax return for the first time, register with HMRC by 5th October. This is required if you’re self-employed or have extra income like rental or savings interest.

• Newly Self-Employed: Register online and get your Unique Taxpayer Reference (UTR).
• Returning Self-Employed: Update your details with HMRC using a CWF1 form.
• Additional Income: If you earn extra income but aren’t self-employed, fill out the form to register.

Registering on time ensures you’re ready to file your tax return.

 

 Start of the New Tax Year: 6th April

The UK tax year begins on 6th April, often bringing new tax codes and allowance updates.

• Personal Allowance: The amount you can earn before paying tax is £12,570 for 2024/25.
• New Tax Codes: Check for any changes to avoid paying too much or too little tax.

Being aware of these changes helps prevent surprises later.

 

Payment on Account: 31st July

If you’re required to make payments on account, the deadline is 31st July. This is an advance payment toward next year’s tax bill based on what you owed last year.

• Payment on Account: Spread out your tax payments to avoid a big bill in January.
• Payment Methods: You can pay online, by BACS transfer, or by cheque.

Staying on top of this mid-year payment makes tax season easier.

 

Paper Filing Deadline: 31st October

If you’re filing a paper return, the deadline is 31st October. Though many prefer to file online, paper returns are still allowed.

• Going Digital: HMRC is encouraging online filing, which is faster and easier.
• Missed the Deadline? File online by 31st January instead.

 

Final Deadline for Online Submissions: 31st January

31st January is the final day to file your online self-assessment and pay any due taxes. Missing this deadline could lead to penalties.

• Payment on Account: You may also need to make your first payment on account for the next year.
• Why File Early? Early submission gives you time to fix any issues and ensures you’re set for the next year.

For more information, visit the official HMRC website.

 

How DataTracks Can Help

Need assistance with iXBRL compliance for HMRC CT600 filings? Our experts can help ensure you’re always in compliance. Contact us at +44 (0) 203 608 8035 or email [email protected].

 

 

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“The CGT increase on asset sales/business sales could affect future retirement plans, meaning clients are working longer to some degree or saving more heavily. Salary sacrifice is now more attractive given that NI rates have increased.”

Stamp Duty Land Tax: The increase in Stamp Duty Land Tax for additional properties will affect businesses purchasing property.

This is bad news for budding property barons:the Higher Rate for Additional Dwellings surcharge of Stamp Duty Land Tax will rise from 3% to 5% as of 31 October 2024, providing those looking to move home, or purchase their first property, with a comparative advantage over second home buyers, landlords, and businesses purchasing residential property.

At the moment, buyers of homes worth less than £250,000 don’t pay stamp duty. This was doubled from £125,000 under Liz Truss’s mini-Budget in September 2022.

The threshold is £425,000 for those buying their first property. This was raised from £300,000 as part of the mini-Budget. These higher thresholds will end in March 2025, when they will revert to their previous levels. 

Current thresholds:

• £0-£250,000 (£425,000 for first-time buyers) = 0%
• £250,001-£925,000 = 5%
• £925,001-£1.5m = 10%
• £1.5m+ = 12%The single rate of stamp duty charged when firms buy dwellings worth more than £500,000 will also increase from 15% to 17%.

The single rate of stamp duty charged when firms buy dwellings worth more than £500,000 will also increase from 15% to 17%.

For small business owners in the UK, recent news of an interest rate cut from 5% to 4.75% is a welcome relief. This change marks the lowest rate in over a year and offers real benefits for businesses looking to reduce financing costs, manage debt more effectively, or explore new growth opportunities. In this blog, we’ll discuss how this rate cut could benefit your business and practical steps to make the most of it.

Andrea Reynolds, CEO of Swoop, shares her perspective:

“Another rate cut is starting to move the dial back in favour of borrowers which is great news following an eventful couple of weeks with the Labour budget and the US election. We all needed a bit of cheer going into the weekend.”

What this rate cut means for small businesses

A lower interest rate means borrowing becomes cheaper, which can have many positive effects for small business owners. Whether you’re looking to finance new projects, invest in property, or refinance existing loans, this reduced rate can further your money by lowering your repayment costs.

3 key opportunities for small business owners:

With interest rates now lower, here are some practical ways to make the most of the change:

1. Refinancing current loans  

   If you have existing loans or debts, refinancing them at a lower rate could save you money on monthly payments, freeing up cash flow that can be reinvested into your business. Check with your lender or speak to Swoop to see if refinancing could reduce your overall costs.

2. Considering growth plans 

   If you’ve been holding back on growth plans due to high borrowing costs, this rate cut might be a chance to move forward. Lower interest rates mean it’s more affordable to access funds for growth projects like new equipment, staff, or expansion. This could be a good time to work with your financial advisor to revisit those plans and see if they’re achievable with the new rates.

3. Exploring property investments 

   For businesses looking to invest in property, such as buying premises or expanding locations, lower interest rates on commercial mortgages can make financing these projects more attainable. This cut could help reduce the monthly costs of a mortgage, which might make property ownership a sound long-term investment.

How Swoop can support you

At Swoop, we’re here to help small business owners make sense of their options. With our platform, you can compare financing options—from loans and refinancing to commercial mortgages—tailored to your business needs.

Next Steps: Make the Most of the Rate Cut

This rate cut provides a valuable moment for UK small business owners to evaluate their financial strategies. Whether it’s refinancing current debt, investing in growth, or exploring property ownership, now could be an ideal time to act.

If you’re considering your financing options, visit Swoop to see how we can help. By exploring your funding options with us, you’ll be well-positioned to make the most of this lower interest rate environment and plan for a strong year ahead.

Here’s what our team has to say about the rate cut:

Ciaran Burke, Co-Founder and COO at Swoop emphasises the impact of the recent change, stating:

“After the recent budget brought tough news for many businesses, this rate cut is a welcome relief. I anticipate a surge in activity within the commercial mortgage market as savvy business owners move quickly to capitalise on the current lower rates and stamp duty rules before these are set to rise in April next year.”

AnnMarie Swift, Senior Funding Manager Commercial Property at Swoop added:

“The expected, but not guaranteed base rate cut is a relief to see – it comes on the back of a more settled economic environment with the budget now behind us, and the political landscape more clear. The lower rate is welcomed for property-based transactions, as borrowing costs start to edge down. Increased activity is expected to result”

The Economic Crime and Corporate Transparency Act (2023) will bring about some of the most substantial changes to company law since 1844. Its main goal is to make business practices more transparent and tackle financial crime more effectively.  

So, what does this mean for small and large businesses? Let’s break down the key points and what you need to know to stay ahead.  

A Stronger Role for Companies House  

Companies House has always played a key role in maintaining company records, but the new legislation gives it far more power. In the past, it acted more as a passive record-keeper, checking that documents were filed and available to the public. Now, it’s shifting to a much more proactive role. Companies House will actively make sure that the information it holds is accurate, trustworthy, and up to date. It will also have the power to prevent companies from being used for unlawful activities such as money laundering and fraud.   

Key Changes for Businesses  

The new Act presents some of the following important changes that will affect the operation of businesses in the UK. Here’s a closer look at what you need to know:  

1. Identity Verification 

One of the biggest changes is that company directors, people with significant control (PSCs), and anyone submitting filings on behalf of a company will now have to verify their identity. This means no more anonymous registrations. If you’re involved in running or managing a business, you’ll need to prove who you are. It’s a straightforward step but an important one, helping to make the system more accountable and transparent for everyone.  

2. Increased Data Sharing and Enforcement Powers 

Companies House will also be able to improve investigation by sharing information with law enforcement agencies. If something looks suspicious in a company’s filing, it can be flagged, questioned, and even rejected. This added scrutiny is crucial for preventing companies from being used for illegal activities like fraud or money laundering.  

3. Changes for Limited Partnerships (LPs) 

By spring 2026, limited partnerships (LPs) will also be subject to new transparency rules. In the past, LPs have sometimes been used to conceal ownership or shady activities. Under the new regulations, LPs will need to be more upfront about who owns and manages them. This shift will align them with other types of businesses, ensuring a consistent level of transparency and accountability.  

Timeline for the Changes  

These changes aren’t happening overnight. The government is phasing them in over the next few years, giving businesses time to adapt. Here’s a brief overview of when you can expect the key reforms to come into play:  

• March 2024: Companies House began using its new powers to query filings and remove suspicious or incorrect information. 

• Spring 2025: The first wave of identity verification starts, initially focusing on Trust and Company Service Providers (TCSPs). 

• Autumn 2025: Identity verification becomes mandatory for new company incorporations, with a 12-month window for existing companies to comply. 

• Spring 2026: Further reforms, including changes for limited partnerships, will come into effect. 

 You can visit the  Companies House for more information. 

What Should You Do to Prepare?  

For most businesses, these changes won’t cause too much disruption, provided you follow the rules. The main thing to focus on is ensuring your company’s information is accurate and up to date and that all directors and PSCs verify their identities.  

It is a good idea to start reviewing your filings now instead of waiting until the last minute. If companies ignore these changes or don’t follow the new rules, they could face penalties. On the bright side, adopting these changes early shows you are serious about transparency and good governance, which will help boost your reputation with clients and investors. 

iXBRL Tagging

If you are looking for support with converting your financial statements into iXBRL, the team at DataTracks is here to help. You can contact them at +44 (0) 203 608 8035 or via email at [email protected].

Borrowers can get an edge by appealing to lenders – particularly when the market is getting competitive

Are you wondering where the opportunities are in the 2025 commercial or buy-to-let mortgage market? Let’s take a look.

New lending for commercial real estate plummeted by 33 percent last year to the lowest point since 2013. For small and medium-sized enterprises (SMEs) in the UK, this means they may struggle to secure the finance needed to grow – meaning businesses could miss out on key growth opportunities.

Ed Brown, the Commercial Mortgages Funding Specialist at Swoop, says that the property market has been tough on SMEs: 

“2023 was a low point for the market in respect of new lending and transactions. Partly thanks to high commercial mortgage interest rates, there was a decline in appetite with development lending accounting for only 16 percent of all new lending.”

The impact of this was that buy-to-let (BTL) house purchase lending fell by 53 percent in 2023. Ed believes that the interest rate drop in mid-2024 was a key turning point for the market:

” Short-term interest rates are trending lower and gross lending was around £4 billion during Q2 in 2024, suggesting a more stable market. This will lead to an increase in the future.”

The interest rates have been lowered by the Bank of England because of slowing inflation and signs of economic stagnation; lowering commercial mortgage interest rates will result in economic growth by increasing investment in businesses and boosting gross domestic product (GDP).

A report by Bayes Business School, (formerly Cass) says that 42 per cent of the £170 billion of loans outstanding will have to be refinanced within 12 months. Ed says that this presents a significant opportunity for businesses with existing commercial mortgages: 

“Refinancing a loan can mean lower monthly payments and free up money to use for growth. That said, down valuations, cover ratios, EPC ratings, lender appetite and vacancies are making this a challenging market.”

Key factors to strengthen your application to lenders

There are a number of levers business owners can pull (or influence) to increase their chances of securing a loan. Here are three:

Down valuations – if a property is worth less than its original valuation, a lender will be less willing to loan against the higher figure. One way buildings lose value is through poor maintenance so ensure that your property is looked after.

Interest cover ratios – lenders use these to see the risk of lending their money to a company; it is therefore important for a business to demonstrate they are low risk. You should keep a close eye on your business costs, drive efficiency and show strong cash flow. 

Energy Performance Certificates (EPC ratings) – those with a better rating will have lower fuel bills, which means a better cash flow, appealing to lenders.

Conclusion

Lender appetite can vary because of factors outside a business’s control. By showing stability, low risk and strong cash flow, a business can put themselves in a good position to search the market for the funding they need. By putting yourself in the lender’s place, you can see your businesses through their eyes, and give yourself a better chance to secure the funding you seek.

If you are considering a commercial buy-to-let mortgage, buying a commercial property or have an outstanding commercial mortgage, get in touch with Ed and his team – and they’ll help to evaluate if you’re getting the best rates and terms.

Ian Hawkins is Head of Content at Swoop. As a freelance business journalist and filmmaker he has reported from Europe, Central and North America and Africa. His films and writing have appeared on BBC World, Reuters and CBS, and he has spoken at conferences on both sides of the Atlantic on subjects including data, cyber security, and entrepreneurialism.

Tax season can be daunting, especially for small business owners. However, knowledge of the permissible tax deductions can help them minimise their taxable income and improve their financial position. A business tax deduction is an expense that can be subtracted from revenue for the calculation of taxable business income. The following blog discusses 19 key deductions to consider in 2024:

Employees’ Salaries, Wages, and Commissions

Businesses can deduct payments made to employees in the form of salaries, wages, commissions, etc., where such expenditures are reasonable, necessary, and for services actually rendered. Sole proprietors, partners, or LLC members are not considered employees. However, S-corp owners must pay themselves a reasonable salary comparable to that of non-owner employees.

Bad Debts

It is acceptable to deduct bad debts if an attempt was made to collect them, the amount was included in the income before, or the debt was loaned out as cash. However, the debt should be incurred for business purposes, not personal reasons.

 Rent

Monthly rent payments for business property are allowed deductions for the year they are made. However, receipts of rent made in advance can only be accounted for the period within the taxable year.

For example, if a business paid $90000 as rent for November, December, and January, and the financial year ends on the 31st of December, then it would be allowed to write off $60000 for the current year (2 months x $30,000 each). The $30,000 spent for January is tax deductible in the following year.

The amount of rent must not exceed the market value.

Business Licenses

Certain licenses, such as general, health, alcohol, zoning, and environmental permits, are allowed deductions when calculating the business’s taxable income. These licenses are usually necessary in cases when certain legal activities are to be carried out in particular states or fields.

Taxes

The following are the types of deductible taxes:

• State and local income taxes
• Foreign income taxes
• Payroll taxes (like Social Security, Medicare, and unemployment taxes)
• Property taxes on business assets
• Excise taxes

 Interest

All interest on business loans, such as those borrowed from credit card companies, are deductible provided they are solely used for business activities. The business must establish a “debtor/creditor” relationship with the lender, and the loan must be expected to be repaid. Usually, interest could not exceed 30% of the company’s earnings.

Depreciation

Depreciation enables businesses to allocate the cost of acquiring fixed assets like furniture and buildings over their useful life. Methods like bonus depreciation (60% in 2024) and Section 179 expensing, which has a limit of $1,220,000 for 2024, can help businesses to expense a significant portion of these costs in the first year.

 Advertising and Promotion

In most cases, companies can claim advertising expense, cost of social media marketing campaign, and printing business card expense as tax deductions. Expenses that build goodwill in the community also qualify, although some judgements may be required to determine their eligibility.

Please Note: Expenses paid to finance political events or to influence legislation are non-deductible because these are not considered advertising.

Insurance

Deductible expenses also include insurance premiums for property, liability, cybersecurity, medical, and workers’ compensation. Certain policies, like life insurance, are only allowed for deduction if the business is not a beneficiary of the policy.

 Start-Up Costs

This includes expenditure on market research, promotional activities for the business opening, and wages for trainee employees. The business can deduct up to $5,000 on start-up costs if the total expenses incurred across the first year are less than $50,000. Any other expense over $50,000 reduces the deductible amount on a dollar-for-dollar basis. The remaining costs may be amortised over 180 months.

 Travel and Meals

These include fares for business-related travel and accommodation. Meals that are considered part of the employee benefits or included in company-wide parties are 100% tax-deductible. Any meal taken while on a business trip or meeting a client can be claimed as a deduction of up to 50%. However, expenses for entertainment, such as a concert ticket, are non-deductible.

Vehicle Expenses

These expenses can be claimed under the actual expense method, where taxpayers can claim every cost or the standard mileage rate, which is 67 cents per mile for the year 2024. Companies should select the method that provides the highest tax advantage.

 Credit Card Processing Fees

Expenses incurred to process credit card payments, including fees, are permitted to be claimed as a business expense, mitigating the costs of accepting the cards.

 Certain Education Expenses

Any expense that increases or maintains an employee’s skill level can be deducted. However, any expenses incurred to ensure that an employee is qualified in a new trade or career are not allowed for deduction. Other deductible education-related expenses include workshops, webinars, textbooks, and seminars.

Legal and Professional Fees

Fees paid to lawyers, accountants, bookkeepers, and other specialists are permitted deductions if the expenses were incurred for business purposes. This includes charges for services such as filing taxes, legal matters, and marketing services.

 Certain Repairs and Maintenance

Repair and maintenance costs for vehicles, furniture, and equipment are 100% tax deductible. However, expenditures that bring a material increase in the property’s capacity, productivity, or quality are regarded as improvements, which are not immediately deductible. These are added to the original cost of the property, and then they are depreciated.

Telephone and Internet

Expenses on telephone bills and Internet connections used for business activities are tax-deductible. However, if these services are used for both business and personal use, only the business half can be claimed as a deduction.

Software and Subscriptions

Subscriptions to software and other technologies used in the business can be claimed as tax deductions. Examples of business software include project management software, accounting and bookkeeping software, and customer relationship management software.

 Membership Dues

Subscriptions/memberships paid to professional or business organisations are reduced, provided they are not paid for entertainment. New subscriptions to trade journals and professional publications are also eligible.

Conclusion

For more information about tax deductions, you can visit the HMRC website. If you are looking for the best-in-class iXBRL services in the UK, consult DataTracks at +44 (0) 203 608 8035 or email [email protected].