Small businesses should take advantage of a government scheme that would
allow them to delay VAT payments.
of Private Business said that the government’s cash accounting
scheme, where small businesses can delay VAT payments until they’ve been paid by
customers, would protect them against exposure from late payers and bad debtors.
‘Many ideas are being put forward to help small businesses with their cash
flow, but few can deliver instantaneous improvement,’ said the FPB’s chief
executive, Phil Orford.
The FPB also want the scheme extended so more businesses can take advantage.
Currently only those with a turnover of less than £1.35m can join the scheme,
and the FPB wants the level opened to £2m.
‘Extending the [scheme] would mean that many more small businesses would not
have to pay customs until they are paid themselves. It would be a form of bad
debt relief, with little or no cost to the government.,’ said the FPB’s VAT
adviser Andrew Needham.
Does Darwin's theory apply to taxation? Colin ponders...
The UK tax gap fell in 2014-15 to its lowest-ever level of 6.5%, revealed official statistics published today
Changes to the tax system is urged to support the growth of entrepreneurs, found a report from the Grant Thornton UK, the Institute of Directors, and the Prelude Group
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states