Boxed Accounting

26/11/2025

National Living Wage Rise

🚨 Big Wage Changes Coming in April 2026
From April 2026, the National Living Wage for 21+ workers will rise to £12.71/hour, with increases across younger age brackets too.

If you run a small business in hospitality, retail, trades, care or any labour-heavy sector, this is going to hit payroll costs hard.

What business owners should do now:
• Review staffing structures
• Stress-test cash flow
• Revisit pricing
• Use Full Expensing where possible to offset rising costs
• Make sure your payroll software is ready for April 2026

If you want help modelling the impact or updating systems — we’re already preparing clients now.

Get more website visits

26/11/2025

Today’s Budget confirmed that the Personal Allowance and Higher Rate Threshold will remain frozen.
🤔 Why your tax bill might rise — even if your pay hasn’t…
Fiscal Drag Explained Simply
That means as wages go up each year, more people are pushed into paying tax — or paying the 40% rate — even if their income hasn’t increased much.
This is called fiscal drag, and it affects both employees and business owners.
Now is the time to review:
• Salary sacrifice schemes
• Profit extraction strategies
• Dividends vs salary
• Pension contributions
• Benefits planning
If you want a clear tax planning session before April 2026, drop us a message.

www.boxedaccounting.com

25/11/2025

🔨 Attention Contractors under CIS — Keep Compliance Simple & Maximise Savings

If you’re a contractor operating under the Construction Industry Scheme (CIS), here are some straightforward tips to help you stay compliant, avoid hassle, and make the most of your tax position:

📅 Monthly CIS Returns
File your return by the 19th of each month with details of all subcontractor payments, deductions, and materials. Filing on time keeps things smooth and avoids unnecessary HMRC nudges.

📝 Nil Returns
No subcontractor payments this month?
Submit a quick nil return or notify HMRC — it stops automatic system charges landing on your account.

⏸️ Periods of Inactivity
Taking a break or between projects?
Tell HMRC and they can pause your filing obligations for up to six months, saving admin during quiet periods.

💷 Paying CIS Deductions
Tax withheld must be paid to HMRC by the 19th (or 22nd if paying electronically).
Smaller contractors can choose quarterly payments if monthly feels heavy.

🪪 Subcontractor Registration
Unregistered subbies get hit with 30% deductions, so encourage them to register. A quick verification protects both sides.

📄 Payment & Deduction Statements (PDS)
Give your subbies a monthly PDS showing payments and tax deducted.
It helps them keep clean records and makes their tax returns easier.

🔁 Claiming CIS Deductions (Subcontractors)
If you also work as a subcontractor, you can reclaim CIS deductions through your tax return — accurate records make refunds faster.

🛡️ Reasonable Care & Relief
If you make a genuine mistake but have taken reasonable care, HMRC can offer relief on the tax not deducted.
(You can still get penalties for late or incorrect filing — so keeping records tidy helps.)



www.boxedaccounting.com

25/11/2025

🎥 Film Production Companies — Make the Most of Film Tax Relief

Film production companies can unlock major tax savings through Film Tax Relief (FTR).
If your film qualifies, you can claim:

✔️ Up to 80% additional tax deduction on qualifying core production costs
or
✔️ A payable tax credit of up to 20–25% of your production expenditure (depending on how much is surrendered)

To qualify, your production must:
• Pass the BFI cultural test and be certified as a British film
• Meet the UK expenditure condition (at least 10% of core spend incurred in the UK)

You can even claim relief for interim accounting periods, before the film is completed, as long as the certificates and cost breakdowns are submitted with your tax return.

If you’re not sure whether your project ticks all the boxes — we can walk you through the whole process and help you maximise the relief.

10/11/2025

You’ve probably heard the phrase “Making Tax Digital” (MTD) floating around — but what actually is it? 👀

Starting from April 2026, HMRC is rolling out MTD for Income Tax.

If you’re self-employed or a landlord earning over £50,000, you’ll need to:
• Keep your business records digitally 📱
• Send quarterly updates to HMRC
• File your year-end tax return through MTD-compatible software

Those earning £30k+ will join in 2027, and £20k+ planned for roll-out in 2028.

Popular software like Xero, QuickBooks, and FreeAgent already meet the new MTD rules — some banks even offer FreeAgent free with your account 💡

The best move? Get your systems digital now so you’re ready before the rush.

Contact us at www.boxedaccounting.com for your free consultation.

17/03/2025

📢 Attention Self-Assessment Clients: Tax Year End Approaching! 📢

The 2024/25 tax year is ending soon on 5 April! If you’re planning any major business purchases or asset investments, spending before 5 April rather than after can reduce your taxable profits and lower your tax bill.

Make the most of available allowances and reliefs before the deadline. If you need advice on tax-efficient spending, get in touch now!

📅 Don’t wait—plan ahead to optimise your tax position.

03/02/2025

📢 Potential Interest Rate Cut This Thursday – What It Means for You! 📢

The Bank of England is expected to cut interest rates this Thursday, potentially lowering the base rate from 4.75% to 4.5%. This move aims to stimulate the economy amid falling inflation and ongoing challenges in the manufacturing sector.

What Does This Mean for You?

🔹 For Homeowners & Buyers – Mortgage rates could fall, making homeownership more affordable. If you’re on a variable-rate mortgage, your payments may decrease. For those on fixed rates, now might be a great time to consider refinancing.

🔹 For Property Investors – Cheaper borrowing could boost demand in the property market, potentially driving up house prices. However, landlords should carefully assess rental yields and financing options.

🔹 For Businesses – Lower interest rates may reduce borrowing costs, helping businesses invest and expand. However, savers may see lower returns on deposits.

With potential opportunities and risks in play, now is the time to review your financial plans. At Boxed Accounting we help businesses and individuals make informed decisions.

📩 Contact us today for personalised advice!

06/11/2024

💼 Chancellor’s Changes to Employer NIC & Director’s Salary Strategy for 2025/26 💼

If you’re a sole director of a limited company, here’s what the latest tax updates mean for maximising tax efficiency in the 2025/26 tax year:

📉 Option 1: £5,000 Salary for Sole Directors

Due to recent changes, if you’re the only employee in your company, you won’t qualify for the Employment Allowance. In this case, the most tax-effective salary is capped at the reduced Employer NIC threshold of £5,000 (or £416.66 per month). This allows you to pay £45,270 in dividends up to the basic rate threshold, keeping your tax liability to £3,255. Here’s the breakdown:

• £7,570 in dividends covered by your personal allowance after including the £5,000 salary.
• £500 of dividends covered by the dividend allowance.
• The remaining dividends, £37,200, taxed at 8.75%, bringing your tax liability to £3,255.

💼 Option 2: Boosting Savings with Employment Allowance

If you hire an additional employee (such as a family member actively involved in the business), you could qualify for the Employment Allowance, now increased to £10,500. This enables you to take a higher salary of £12,570, creating a greater corporation tax saving. With the 25% corporation tax rate, this could result in savings of up to £1,800 since salaries are tax-deductible while dividends are not.

Taking advantage of these strategies can make a real difference in your take-home pay and tax efficiency for the year ahead.

Get in touch with us at www.boxedaccounting.com
or call 0161 388 2350 to see how these changes apply to your business.

Chartered Certified Accountants in Manchester Let us help you grow your business to its full potential. We offer a wide range of services including compliance, tax advice, bookkeeping and management consulting. This allows us to offer our clients a truly in-depth approach to all their business accou...