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As the tax benefits of trading via a limited company have been gradually whittled away, and in view of the additional administrative costs, business owners may be considering whether disincorporating is the right decision for them.

Joe Brough looks at the relative tax positions for companies and unincorporated businesses and the tax implications of disincorporation.

It may often be tempting for self-employed individuals to use their private bank accounts for business transactions, perhaps for reasons of convenience, or possibly to reduce bank charges.

Mark McLaughlin warns that mixing business and private transactions through the same bank account can have some unfortunate consequences.

The case of Beech Developments (et al.) v HMRC [2024] EWCA Civ 486 is most welcome for those businesses that catch a nasty case of ‘accidental CIS’. Having been heard at the Court of Appeal, it effectively overturns numerous earlier cases heard only at the tribunals, and HMRC must abide by it. (In fact, HMRC’s guidance, such as in its Construction Industry Scheme Reform Manual at CISR83600, was only recently updated, in January 2025).

Lee Sharpe looks at a rare win for the taxpayer in the construction industry scheme, and a potential lifeline for people caught out by it.

Alongside the October 2024 Budget announcement of National Insurance contributions (NICs) hikes for employers from 6 April 2025, there was a nugget of good news – the employment allowance was also increased from the same date. 

Sarah Bradford outlines changes to the employment allowance for 2025/26 and explains how to claim

A company is a separate legal entity, distinct from the shareholders that own it. Consequently, if the directors and shareholders want to use the profits made by the company for their personal use, they will need to extract those profits first. There are various ways in which this can be done; some are more tax-efficient than others.  

Sarah Bradford considers options for extracting profits from a company in a tax-efficient manner in the 2024/25 tax year.

HMRC recently undertook a ‘One to Many’ letter campaign, wherein HMRC’s skilled data analysts undertake to mine nuggets from a huge range of sources to test for omissions or errors in tax returns. 

Lee Sharpe reports on HMRC getting all ‘Nancy Drew’ with its sleuthing over company reporting and shareholders’ dividend income returns. 

Some company shareholders may either be unaware or have forgotten about a relatively unknown capital gains tax (CGT) relief that offers a reduced CGT rate of only 10% on qualifying gains of up to £10m during their lifetime, if certain conditions are satisfied.  

Mark McLaughlin highlights a relatively unknown and infrequently used but generous capital gains tax relief.

Owner-managers can spend a significant amount of time and energy building a successful and profitable trading company.

Joe Brough looks at tax issues for business taxpayers and their tax advisers when a company is coming to an end.