Running your business

Directors’ loan accounts offer flexibility, but mismanagement can trigger a 33.75% tax charge under Section 455. Loans must be repaid within nine months, and anti-avoidance rules block temporary repayments. Benefits in Kind apply to loans over £10,000 without interest. BlueFox Accounting helps directors stay compliant, reclaim tax where possible, and avoid costly mistakes.e

Crypto transactions are taxable in the UK, CGT applies to disposals, while Income Tax covers crypto earned for work. Pooling rules and the 30-day rule affect gain calculations. Accurate records and GBP conversions are essential. BlueFox Accounting helps investors and freelancers report crypto tax correctly, avoid penalties, and stay ahead of HMRC’s evolving guidance.

Motoring choices can affect your tax bill more than you think. VAT recovery on cars is limited, but vans and specialist vehicles offer more flexibility. Leasing allows partial VAT recovery, while buying requires strict business use. Keep clear records and check definitions — especially for double cab pickups. BlueFox Accounting offers tailored advice to help you stay compliant and make smart decisions.

HMRC tax investigations are increasing and can be triggered at random. Even if your tax position is correct, defending it can take months and cost thousands. Fee protection covers professional fees during enquiries, ensuring you’re not penalised for being selected. BlueFox Accounting offers fee protection to help clients defend their position confidently and affordably.

Motoring tax rules are complex and often misunderstood. VAT recovery on cars is limited, and vehicle classifications can vary across tax rules. Keep clear records, stay updated on rule changes, and seek advice before buying or leasing. BlueFox Accounting helps businesses and charities avoid costly mistakes and make informed motoring decisions.

Restricted funds must be used for specific purposes set by donors, while unrestricted funds offer flexibility for core operations. Clear bookkeeping is essential to track and report these funds accurately. Mixing them can lead to compliance issues. BlueFox Accounting helps charities implement fund tracking systems that align with FRS 102 and Charity SORP, ensuring transparency and strategic financial planning.

From April 2026, MTD for Income Tax will apply to sole traders and landlords earning over £50,000. It requires quarterly submissions and digital record-keeping. BlueFox Accounting helps clients prepare with tailored software, training, and support, ensuring a smooth transition and full compliance.

Opting to tax a commercial property allows VAT recovery on costs but requires charging VAT on income. It’s a long-term decision with implications for tenants, sales, and mixed-use buildings. BlueFox Accounting helps clients assess the financial impact and navigate HMRC’s process to ensure VAT decisions support their goals.

Newly VAT-registered businesses can reclaim VAT on purchases made before registration, up to 4 years for goods and 6 months for services. Items must be for business use and still in stock or use. Proper documentation is essential. BlueFox Accounting helps start-ups navigate VAT registration and reclaim eligible expenses with clarity and confidence.

Scaling a small business requires more than ambition — it demands financial clarity, automation, realistic budgeting, supply chain readiness, and measurable KPIs. BlueFox Accounting helps clients prepare for growth with tailored advice, cloud tools, and strategic planning to ensure scaling is sustainable and successful.

Company car tax is changing, with rising BiK rates and the end of key exemptions. EVs and hybrids remain tax-efficient, but their advantages are shrinking. Vans offer stability, while pickups face reclassification from April 2025. Businesses should act now to secure savings and build a long-term fleet strategy. BlueFox Accounting offers clear, tailored advice to help you stay ahead of the curve.

Your PAYE tax code tells HMRC how much tax to deduct from your income. It’s based on your allowances, deductions, and pension, and may change throughout the year. Code letters like L, M, BR, or S indicate your tax status. Incorrect codes can lead to over- or underpayment. BlueFox Accounting can help you check your code and stay on track.

HMRC data shows many landlords are missing out on basic tax reliefs, with 12% claiming no expenses at all. Rental income growth is flat, while incorporation is rising. Furnished Holiday Lets saw a 68% jump in receipts, but the regime ends soon. BlueFox Accounting helps landlords claim eligible costs, assess incorporation, and plan for tax changes with clarity and confidence.

Reframing your business means stepping back to realign your goals, strategy, and energy. It’s not about starting over — it’s about moving forward with clarity. BlueFox Accounting helps owner-managed businesses rethink success with structured planning, financial insight, and strategic support.

Trivial benefits let businesses give small, tax-free gifts to staff — up to £50 per item, with no need to report to HMRC if conditions are met. Directors of close companies can receive up to six per year. These benefits also qualify for Corporation Tax relief. BlueFox Accounting can help you use them effectively to reward your team while staying compliant.

From January 2026, lease accounting rules are changing, requiring leases to appear on the balance sheet. This could impact eligibility for schemes like EIS, SEIS, and EMI, as well as audit exemptions, due to increased reported assets. Businesses should review their position now to avoid losing access to funding or incentives. BlueFox Accounting can help you plan ahead and stay compliant.

Should you hold property personally or via a company? Personal ownership is simpler but less tax-efficient for higher earners. Companies offer lower tax rates, mortgage relief, and succession flexibility — but come with admin and incorporation costs. BlueFox Accounting helps landlords assess the right structure and plan for tax changes with clarity and confidence.

Medium and large businesses must assess whether contractors working via personal service companies fall under IR35. If so, they must issue a Status Determination Statement and deduct tax and NICs. Key factors include control, substitution, and financial risk. Getting it wrong can lead to penalties. BlueFox Accounting can help you assess contracts and stay compliant.

Starting a business? Use cloud accounting software, automate tasks, and plan your cash flow carefully. Build a strong support network and delegate where possible to focus on growth. These steps help you stay compliant, save time, and make better decisions. BlueFox Accounting offers tailored support to help start-ups succeed.

As we have just passed the end of the tax year, it's a good time to remind ourselves of some key forms that are essential.