The summer months are coming to an end as autumn closes in. Everyone is returning from their summer break, the children will be heading back to school its back to business.


It’s always great to plan ahead, so this time we talk about the new Making Tax Digital (MTD) that HMRC are set to introduce from April 2019, this has been going back and forth in consultation for some time now, HMRC now have communicated the requirements.


This will be mandatory for businesses registered for VAT with a turnover above the VAT registration threshold of £85,000. Businesses will need to keep VAT records digitally and their VAT returns using MTD compatible software. This will start from their first VAT period starting on or after 01 April 2019.


If you submit a quarterly return for the period 01 March to 31 May 2019 then you will have to comply with MTD rules for the period starting 01 June 2019. Businesses under the VAT threshold will not have to operate MTD but can choose to do so voluntarily, which we would recommend.


Going forward the use of compatible accounts software will be mandatory. The use of spreadsheets can no longer be used.   


HMRC are trying to reduce the number of VAT inspection on businesses that are complying and MTD will make this clearer for all. If you’re struggling and not understanding what to do and how to be ready for the April 2019 deadline, do not panic and contact us, as we are always here to help.

Welcome to our latest blog. Summer has been in full swing here and we have now had great weather for several weeks. There are lots of activities that happen during the summer months and its always great to support your local businesses.


This time of year, we are noticing a larger number of people investing towards a property. This may be a change to the current house or a house to rent. Whatever the reason may be, you might need help financing in the way of a mortgage.


So, what is a mortgage? A mortgage is a loan taken out to buy a property. The loan is secured against the property until it is fully paid off. If you can’t keep up with repayments, the mortgage provider can repossess the house so its extremely vital to crunch the numbers and know if a mortgage is right for you.


Many factors are taken in to consideration to approve a mortgage. Proving your income is usually the deciding factor as the lender needs to know you can repay the mortgage. Here at Cross Accounting we provide our clients with their SA302 to prove their earnings. You can obtain the last three years proof of earnings if you file for self-assessment through your HMRC’s online account, with a tax year overview.   Mortgage companies like to see you are on time when paying your taxes.


Many banks have an online calculator to estimate the interest payment you will need to make, it does help you budget for the new property.


We are authorised and can help obtain a mortgage, please do get in touch to discuss your situation and see how we can help you. A house is one of the largest single purchase you’ll likely make so you want to take care and get it right from the beginning.

Summer has arrived! We have had some beautiful weather recently and the sun has been shining. But just like the sun, you need to make sure you are shining as well. You need to give yourself some TLC, if you don’t, then your business can suffer because of this.


During the summer season, the public generally cuts back. People save for holidays, the children have exam season and it is normally quieter. However, this opportunity should be taken to recharge your batteries. Take time off to de-stress and put a plan in action to set your business off for the rest of the calendar year.


As well as building your business, you should build on your staff. This is perfect time to train or retrain your staff. Improving their abilities will only compliment your business.


Give yourself a breather and to come up with some fresh ideas but remember to take some time off and relax, spend time with family and friends.  You’ll be surprised as how much energy and inspiration you achieve when you come back to work.

We’ve had a lovely few days of weather and summer is around the corner. As the weather heats up this time around we talk about the hottest topic at the moment. By now you probably have heard everyone mention about General Data Protection Regulations (GDPR).


The regulation has been passed to protect an individual’s privacy. If you hold a person’s name, email address, address or contact details, you will now need their permission to hold these types of data. If you do not have permission, then you will have to delete the data you hold. This will be law by the end of this week (25th May 2018) and there are fines that will be imposed for any sort of breach. If you are worried about GDPR you can read up about it here.


Here at Cross Accounting, we are currently password protecting documents containing sensitive information when sending internally and externally. Since the document has an individual’s data on this ensures we are complying with GDPR rules. All our clients will have their own unique password to open their documents. This ensures privacy in case it is sent to an unintended recipient or a breach in security from hackers. Encryption is the key to adhering to the regulations.


25th May is when all this starts to kick off, there are companies that can help and provide training for GDPR but it is making sure you’re being responsible with the data you hold. People have the right to be forgotten, so any contacts that you do not have their permission, you cannot keep. If you take car in to applying security to your business, then your are ready to tackle GDPR.

The New Year has begun in the financial calendar. This is the time of year where the Government implement the new rules and laws. Changes have been made to your allowances, pension and minimum wage. In our blog we will touch up on the most popular and usually most important changes. Keeping you informed and up to date!
Your personal allowance has gone up to £11,850 from £11,500. Your personal allowance is the amount of income you can make before you must pay any tax over. The tax you pay over will depend on which income band you are in.

Income BandTaxable IncomeTax Rate
Personal AllowanceUp to £11,8500%
Basic Rate£11.851 - £46,35020%
Higher Rate£46,351 - £150,00040%
Additional RateOver £150,00045%
If your income is over £123,700 then you do not get a personal allowance. Dividends allowance has unfortunately gone down from £5,000 to £2,000. If you own shares in a company and receive dividend you will have to pay tax. You only pay tax if your dividends go above your dividend allowance in the tax year. The tax rate is different for dividends.

Tax BandTax Rate on Dividends over your Allowance
Basic Rate7.5%
Higher Rate32.5%
Additional Rate38.1%
There has been changes to the ever-changing employment tax laws. If you employ staff, you will have to adhere to these rules. As there can be heavy fines if the rules are broken. You will have to supply a workplace pension for all staff members that qualify. A percentage of the member of staffs pay is put into the pension scheme automatically every payday. The minimum employer contribution is 2% and the minimum employee contribution is 3%.
The national minimum wage and living wage have increased. As an employer you are legally obliged to pay the correct rate to staff. Wage is worked out on the age an employee is. Minimum wage bands are Under 18, 18years-20years, 21-24 years and 25 years old and over.
Take a read of our employment law blog where we go in to the finer details of pension contributions and the national minimum wage rates. This is the time of year when company accounts are due as the next financial year rolls over, if you are stuck with yours or want more information on what steps you need to take visit our website on or call us on 02920 653 995