Blog: Important dates for the new financial year

1st

Making Tax Digital fully starts.

All VAT registered businesses will be required to start submitting returns under Making Tax Digital for VAT.

1^st

Changes to the National Living and National Minimum Wages.

From the 1st April, National Living Wage for those aged 23 and over will increase from £8.91 per hour to £9.50 per hour. With increases also for the National Minimum Wage for those under the age of 23, including apprentices whose minimum hourly rate will increase from £4.30 to £4.81.

3rd

Statutory pay increases.

Weekly rate of statutory sick pay (SSP) will be £99.35 (up from £96.35). The weekly rate of statutory maternity pay and maternity allowance, statutory paternity pay, statutory shared parental pay and statutory adoption pay will be £156.66 (up from £151.97).

6^th

Start of the new tax year.

6^th

Update employee payroll records for the new tax year.

For each employee working for you on 6 April, you’ll need to:

• prepare a payroll record
• identify the correct tax code to use in the new tax year
• enter their tax code in your payroll software

6^th

Changes to National Insurance for employers and the self-employed.

From the 6th April until 5 April 2023, employees, employers and the self-employed will see National Insurance Contributions (NICs) increase by 1.25%.

For employers this will mean a 15.05% contribution compared to the previous 13.8% contribution.

Employees and the self-employed won’t start to pay NICs on income below £9,880 from 6 April.

For the self-employed there will be a reduction on Class 2 NICs liabilities to nil on profits between the Small Profits Threshold (SPT) and LPL (Lower Profits Limit). This will ensure that no one earning between the SPT and LPL will pay any Class 2 NICs.

6th

Employment Allowance changes.

As announced in the Spring Statement the employment allowance will increase from £4,000 to £5,000 allowing eligible employers to reduce their annual National Insurance liability.

6th

Exemption on business rates for green technology.

As announced in the Spring Statement green technology, including solar panels and heat pumps, will be exempt from business rates.

There will also be 100% relief for eligible low-carbon heat networks that have their own rates bill.

31st

P60 Deadline

Give a P60 to all employees on your payroll who are working for your business on the last day of the tax year (5 April). The P60 summarises their total pay and deductions for the year.

3rd

Extra Bank Holiday.

Extra Bank Holiday on Friday, 3 June 2022 for the Platinum Jubilee.

30^th

Recovery Loan Scheme ends.

Last date to apply for a recovery loan.

6th

Reporting of employee expenses and benefits.

Examples of expenses and benefits to report include:

• company cars
• health insurance
• travel and entertainment expenses
• childcare

6th

Changes to National Insurance for employers and the self-employed.

The starting thresholds for income tax and National Insurance contributions (NICs) will increase from £9,880 to £12,570.

For those who are self-employed, the Lower Profits Limit is the point where the profits from self-employment become subject to Class 4 National Insurance Contributions.

This limit will increase to £11,908 and there will also be no Class 2 National Insurance Contributions on profits between £6,725 and £11,908.

31st

Second payment on account for sole traders for the 2021/22 tax year.

Self-employed workers who pay tax through payment on account will have to make their second payment by midnight on 31 July.

5^th

Deadline to notify HMRC of new self-employment.

If you have started self-employment in the 2021/22 tax year, you must notify HMRC of the potential chargeability to tax and National Insurance Contributions by 5 October following the end of the tax year in which your business started.

5th

Deadline to notify HMRC of new business partner.

If a new partner has joined you in the 2021/22 tax year, you should notify HMRC by 5 October 2022.

23rd

Autumn Budget

The Budget includes important information on the nation’s finances and the Government’s proposals for changes to taxation. The Budget also includes forecasts for the economy.

31st

Submission of paper self-assessment tax return deadline.

You may have to pay interest and a penalty if you do not file and pay on time.

1^st

New UK VAT returns penalty regime for late returns and/or payments.

UK VAT returns for periods starting on or after this date fall under the new penalty regime for late returns and/or payments.

31^st

2021/22 tax deadline for sole traders.

Balance of any tax for year 2021/22 is due for sole traders.

31^st

First 2022/23 tax payment for sole traders.

First payment on account of tax for year 2022/23 is due for sole traders.

31st

Submission of online self-assessment tax return deadline.

This date is the final deadline for completing your tax returns online.

31st

Customs Declaration Service launches.

Customs Handling of Import and Export Freight (CHIEF) system is replaced by the Customs Declaration Service (CDS).