Author: Amit Roy

First VAT return is usually of repayment. I have listed below actions you can take to make the process easier .

1. File early to get monies early.
   Do not wait for the deadline. HMRC processes repayment within 30 days of VAT submission date, not deadline date, so earlier you file earlier you will get repayment in your bank account.

2. Use HMRC online tool to check VAT repayment status: link

3. Email address of HMRC VAT repayment team given below, but do not chase them before 30 days.

vatfirstperiodrepaymentclaims@hmrc.gov.uk

4. Prepare to submit supporting paperwork online and then wait for the letter with Case reference.
You can use this service to check on documents required to ensure all are available while preparing VAT return. HMRC will send a letter in post requesting paperwork to support the repayment like invoices, bank statement etc. Previously we had to send everything by post but now it’s done online. You can start preparing immediately and once letter with Case reference is received, submit the form.

Send details to support your VAT repayment claim – GOV.UK

Agent can complete this form on behalf of the client.

Source:

1. VAT repayments: Overview – GOV.UK

Dividends

In the hands of an investor (unit holder) within the charge to IT, dividend distributions are treated in the same manner as any other UK company dividend.¹

Equalisation is returned capital sum. As it is a capital receipt, it should be deducted from the unit holder’s cost of the units for CGT purposes. ²

It should not be treated as a capital distribution. It is a return of the initial price paid and it should therefore be deducted from the price paid when computing the chargeable gain on the eventual disposal. ³

Calculation for tax return

Dividend

Tax payer usually receives a Tax Certificate from his Broker showing both dividends paid and equalisation figure. Dividend figure included equalisation, so we need to deduct equalisation figure to get to the Dividend figure that needs to be reported in the tax return.

Capital Gain

Equalisation should not be treated as a capital distribution. It is a return of the initial price paid and it should therefore be deducted from the price paid when computing the chargeable gain on the eventual disposal. ³

Tax Return

UK Company Dividends are put in Box 4 and AIF distributions Box 5 of SA100 TR3.

Notes:

1. IFM03350
2. see IFM02230 for an example
3. CG57705

Step 1: Login into your Personal tax account; using link

https://www.gov.uk/personal-tax-account

Step 2: Click `National Insurance and State Pension`

Step 3: Check out both links below:
               State Pension Summary
               National Insurance record

Step 4 : Check all years to show `Full year`.

RA Articles

Employment Allowance with changes mid year. – Roy Accountants

Employment Allowance: Group / Connected Companies – Roy Accountants

ICAEW Articles

How to make the employment allowance work for you | ICAEW

Single-director companies and the employment allowance | ICAEW

Registering a company as an employer where Directors are from overseas and do not have a National Insurance number.

We need to call HMRC on 0300 200 3200.

Before calling gather following information:

Email of Employer helpline : employer.helpline@notifications.hmrc.gov.uk