Certax Accounting - Sandbach

03/06/2026

Do you understand how Gift Aid works – and whether you're eligible to claim it?

Gift Aid is a fantastic way to increase the value of your charitable donations at no extra cost to you. When an individual makes a Gift-Aided donation, the charity can claim an additional 25p for every £1 donated from HMRC (effectively receiving the basic rate income tax that the individual has previously paid to HMRC on their income or capital gains).

For example, a £200 donation becomes £250 for the charity.

If you're a higher-rate taxpayer, the charity still only receives the value of the basic rate tax that you have paid to HMRC, but you can receive the additional tax you suffered, via your Self-Assessment tax return. The tax relief is given to you by increasing your basic rate tax threshold, allowing you to earn more before being liable to pay higher rate tax.

However, there are some important rules to be aware of.

Gift Aid only applies to donations made by individuals. Companies can receive Corporation Tax relief on charitable donations, but they must not tick the Gift Aid declaration, as companies do not pay the type of tax that charities reclaim through Gift Aid.

Individuals also need to ensure they have paid enough Income Tax and/or Capital Gains Tax during the tax year to cover the amount the charity reclaims from HMRC.

Here's a simple example:
If you earn £13,000 and pay £86 in tax, then make a £200 Gift-Aided donation, the charity can claim £50 from HMRC. As you've paid more tax (£86) than the Gift Aid claimed (£50), there's no issue.
But if your income falls to £12,750 and you only pay £36 in tax, while still making the same £200 Gift-Aided donation, the charity can still claim £50. In this case, HMRC has refunded more tax than you paid, so they will expect you to pay the £14 difference.

Gift Aid is a valuable scheme for both donors and charities, but it's worth checking that you're eligible before ticking the box.

01/06/2026

State Pension payment days:

A fun fact for the week: UK state pensions are generally paid every 4 weeks in arrears, but did you know that the day of the week you receive your pension is determined by the last 2 digits of your NI number?

Using these numbers to determine which day of the week to pay each pensioner helps spread the large volume of payments out.

Also good to know that if your payment is due on a bank holiday, then it is normally paid on the last working day before the bank holiday.

21/05/2026

Where did I put that document?

With so much of life now happening digitally, it can be difficult to keep track of all the documents and information needed to prepare your tax return. Some of you may even remember — perhaps nostalgically — receiving statements and dividend vouchers in the post and filing them neatly in a binder ready for tax season.

So, where should you look for things now?

• Tax coding – If you’ve signed up for a Personal Tax Account (PTA) with HMRC, your tax codes will usually be available there.
• State Pension – Keep hold of the annual letter or email confirming your pension increase, as this is an important document for your tax return.
• Bank interest – Interest certificates can often be downloaded directly from your online banking account or app.
• Dividend vouchers – These may be posted, emailed, or available to download from an online shareholder portal.
• Investment accounts – Similar to dividends, your broker may provide a year-end tax certificate by post, email, or through their investor portal.

And remember: if you move house or change your email address, make sure you update your details with banks, investment providers, HMRC, and pension providers — otherwise important communications may not reach you.

19/05/2026

Use of Home as Office allowance changes

From April 2026, the use of home as an office tax relief for non-reimbursed home-working expenses has been abolished, so the 2025-26 self-assessment tax return is the last time employees who are REQUIRED to work from home by their employer will be able to claim the £6/week allowance.

If your employer requires you to work from home and you incur additional expenses as a result, you should discuss reimbursement with your employer going forward.

14/05/2026

Corporation Tax – Do you know when yours is due?

There are so many deadlines and payment dates to remember when running your own business, so here's a little visual reminder of when your corporation tax will be due based on your company's year-end.

12/05/2026

When is the State Pension taxed?

As you pull together all your information for your tax return, make sure you know what figures to include from your various income sources.

State Pension figures, for example, need to be the amount that was due to you in the tax year to 5th April 2026, and this may not be quite the same as the amount paid into your bank account up to the 5th April 2026.

The State Pension is actually taxed on an accruals basis rather than a cash basis, and if you receive your pension 4 weekly, it will depend on where in the 4-weekly cycle your payment falls as the tax year ended.

It's important to keep a copy of the letter DWP issues each year telling you what your State Pension entitlement will be in the following tax year!

08/05/2026

HMRC payment deadlines – Have you missed any recently?

With so much to remember when running your own business, it's easy for something to slip through the net, and it's all too often something with consequences, like making a payment to HMRC, whether it be VAT, PAYE or self-assessment tax. Late payment can lead to penalties and/or interest being added to the balance owed.

There is an easier way to pay – You can set up direct debits for most HMRC payments, so you never miss a payment deadline again, and in the case of your quarterly VAT payments, you even get a few extra days to pay (normal deadline is 7th of the month, DD’s are usually taken between the 10th and 12th of the month).

06/05/2026

Have you checked your tax code?

We’re a month into the new tax year, and wages and pensions for April have been paid. Have you checked your tax code on your payslip? Is it correct? Did you know it's your responsibility to check that it’s correct and to contact HMRC if it isn’t?

If your tax code is NOT 1257L do you know why not? Have you received a tax coding notice from HMRC? Do you understand which items have been added to or subtracted from the personal allowance to determine the tax code on your wage slips?

Time to be proactive and make sure you’re being taxed correctly! Tax codes: Overview -

GOV.UK - The best place to find government services and information.

01/05/2026

Directors beware – There's a change on your 2025-26 tax return

If you are the director of a small company (a close company controlled by 5 or fewer participators) then your self-assessment tax return for 2025-26 will require more detail than in previous years.

You may need an employment page even if you don’t receive a salary for your role because the employment pages now contain boxes for the disclosure of shareholdings in each company you are a director of, and you have to declare any dividends received, including entering nil if no dividends (even though you also declare the dividends in the relevant section of the main return).

There are penalties for non-disclosure, so take extra care!

29/04/2026

MTD: What should you be doing now?

If you are a sole trader and/or landlord who had a gross income over £50,000 in 2024-25 you should (unless exemptions apply) be mandated to sign up for MTD (making tax digital), There is no point in burying your head in the sand and hoping it will go away because sadly it wont and if you don’t sign up by the deadline for the first quarterly update (7th August) then HMRC will force the sign up on you.

Better to grudgingly roll your sleeves up and get on with those unwanted admin tasks, with time to get your ducks in a row the way you like them, than risk sunburn and sand in your hair by being an ostrich….