Sarah Harrison

Interesting read from Niamh Tobin, our Aviation Finance Sector Leader, who considers resilience and growth within the aircraft leasing sector. Read article here. #MindsMadeForFS #AircraftLeasing #AviationIndustry

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Today, VAT remains a cornerstone of tax policy. Particularly, in developed countries. Recently, the UK government ended tax breaks on private schools to help raise revenue needed to fund state schools for next year. Applying a 20% VAT charge to independent education and boarding schools is an initiative that has stretched a lot of parents to their financial limits because,they are unable to afford the increase in private school fees. UK ministers argue that this is to raise £1.5bn for investment in states schools, including teachers.The government claim they want to ensure all children have the best choice in life to succeed. This has made me to reason on how Nigeria’s VAT exemption on school fees promotes affordability, accessibility and private sector participation, making it a more advantageous approach for fostering educational development in the long term. Long live Nigeria 🇳🇬 Long live my great country ✌️.

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Should there be pilots before AEOI regimes go live? I am fairly confident that policy makers and tax authorities having to implement AEOI regimes don’t really understand what it takes to stand up a process to meet AEOI reporting requirements. Whilst the policy objective can easily be understood and the concept of meeting that objective by collecting information from those that hold the most relevant data makes sense. The cost in all senses of the word in doing this can be immense. Over the years I have been in numerous meetings with policy makers and tax authorities where two things happen. Either there is a misunderstanding of how difficult it can be to gather, identify and report the required data or there is a degree of surprise about the level of effort that is required, and the steps organisation's need to take be compliant. I posted previously about how how the model established by FATCA and CRS shouldn’t just be repeated for other regimes. And having seen both DAC7 and CESOP projects get up and running over that last 12 months maybe it’s time for different approach. To be fair there is a lot of engagement by the OECD, EU, and Tax Authorities when regimes get introduced but there is a balance between listening to industry concerns and getting the regimes implemented. Industry will often state the need for significant lead times to get process and IT set up but often that falls on deaf ears or is treated with a degree of skepticism. I have advocated that industry needs to be more transparent about the costs and impacts at these meetings but I get the reasons why it is hard to do so. I am sure those dealing directly with these regimes from an IT perspective at Tax Authorities understand the issues. In the future for any new regime maybe the approach should be as follows. The impacted industry and regulatory authorities undertake a pilot where selected industry players are chosen to perform the first reporting. As part of the process the regulatory authorities get real insight into to the projects to deliver the reporting and undertake based on the feedback from this to update the regulations, guidance for the lessons learned to the benefit of all having to comply. There was a missed opportunity with CESOP but maybe the resulting aftermath of Q1 reporting may make this idea more appealing and with CARF next in line there is a new opportunity to be taken.

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Getting your SMSFs through audit before the lodgement deadlines 📨 IMPORTANT: If we receive an audit by COB on 6 May then it will be reviewed by the 15 May deadline https://lnkd.in/eGMvCXST To maximise the number of audits we complete, we ask for your assistance by taking action on the following: https://lnkd.in/gP8e8JiB Thanks to Sajee Madarasinghe for her insights in this article. #may #compliance #deadline #auditors #auditingfirm #auditservices #fileuploads #australiawide

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I know we are all probably a little "over budgets" (haw haw haw 🤭) But it's the Scottish budget tomorrow (Wednesday 4th). The Scottish parliament doesn't have powers to change all of the taxes, which is why any changes/deviation from the UK can cause quite a few "quirks" in the system... and a lot of misinformation on social media - including LinkedIn 🫣 Some key taxes to looks out for: 𝐈𝐧𝐜𝐨𝐦𝐞 𝐓𝐚𝐱 - Scottish Income tax rates apply to "Non-Savings Income" only - (salaries, self employment profits, rental profits, pensions) 𝐋𝐚𝐧𝐝 𝐚𝐧𝐝 𝐁𝐮𝐢𝐥𝐝𝐢𝐧𝐠𝐬 𝐓𝐫𝐚𝐧𝐬𝐚𝐜𝐭𝐢𝐨𝐧 𝐓𝐚𝐱 - The tax you pay when you buy property (residential or commercial) - The English equivalent is Stamp Duty Land Tax Council tax rates and business rates. Hopefully, we won't see too much change. I'm not expecting anything too dramatic. Look at that, I barely criticised at all! I must be maturing 😏

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Hot off the press...more detailed information from Grant Thornton UK LLP on the upcoming changes to FRS102 and what you need to be thinking about in advance, with our very own Jennifer Ilsley bringing to life some of the key considerations in this short video #FAAS #FRS102 #financialreporting #accountingstandards

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VAT on Independent Schools – Technical Note Published but Uncertainty Remains VAT Webinar: Tuesday 17 September at 10am – 11am Adam Marshall and the wider BBVAT team are delighted to host our latest VAT webinar to look at the policy document and practical considerations in further detail, and address the questions many Schools still have. Register your interest here: https://lnkd.in/eRNvD8NN #VAT #independentschools

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The Art and the valuation There has certainly been a lot of chatter about the increased importance of understanding what your business interests are valued at post the changes in Inheritance Tax announced in last week’s budget. I spoke to my colleague Nick Woodmansey who heads up our Forensic and Valuation Services team here PKF-Francis Clark Chartered accountants & business advisers and we/ he concluded he would draft something specific on that. (Which I will look to share in due course), It got me thinking though would now be a good time to host a valuation briefing? Not only have we got the IHT changes creating an stimulus for business owners to understand how a company/ shares in a company may be valued but we were already seeing more business owners looking to get an awareness for strategic planning purposes (I.e., to grow value) and/ or as a base to work with others at PKF-Francis Clark Chartered accountants & business advisers on their succession options (I.e., to realise value). I can also see that the increased prominence of equity funding in the South West (be it through Business Angel networks like Cornwall Angel Network or venture capital e.g. The FSE Group or other sources) bringing business valuations to the fore. And, whilst I have yet to confirm this with my tax colleagues (including Douglas Oakman Matthew Chester and Kate Culley ) who specialise in such matters, but I can also foresee more business owners looking to share based incentives for staff, including EMI Options, and this will again require valuation knowledge and expertise. Likewise, I am not aware of anything in the Budget to curb business owners to consider EOTs as an option in terms of succession planning. Again requiring specialist valuation expertise. So my idea for a briefing, playing on the adage “valuation is much an art as a science” is to host 2 events, one at Tate St Ives and one at The Box in Plymouth, with presentations and questions/ networking followed by a tour of some of the art on display. As regards the presentational aspects of these briefings I am thinking of complementing valuation theory with presentations on aspects such as how to Business Angeks / VC actually approach valuations and dealing with the HMRC on business valuations. If you could let me know what appetite there would be for such events that would be great (specifically as I may have front some of the costs..)

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Budget 2024 Please follow the link to read our summary of the main points relating to the announcements made on tax in today’s budget speech. https://lnkd.in/ehNmXPvM

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With the Treasury seriously considering reviewing the various components of the non domiciled tax rules it’s pretty clear to me (for a number of reasons) that the following will be considered: - reversing the IHT proposals that it is far to say were the final nail in the coffin for many clients; - a consideration of whether the risk reward of the proposed offshore trust rules for other taxes are worthwhile given the arbitrages that have been identified by the Department of Trade and provided to the Treasury. - further review the replacement regime and transitional provisions. There’s a clear sense within the Treasury that they have erred in moving too quickly and too fast without taking a data driven approach. As I have said all along , in our system broadly sensible and less extreme scenarios usually prevail.

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FRS 102 – changes are coming – time to start thinking about FRED 82! FRED 82 proposes changes to the current FRS 102 standard, with the principal amendments to revenue and lease accounting, which will be more in line with IFRS 15 Revenue from contracts with customers and IFRS 16 Leases. Operating leases will therefore be brought on balance sheet and 5-step revenue recognition model will be introduced to revenue accounting. The above will not only affect your financial statements and disclosures but also various key performance measures, including earnings before interest, depreciation and amortisation (EBITDA). This is a significant change for entities that report under FRS 102. The proposed effective date is 1 January 2026. It is essential however to start preparing well in advance. Collecting data, amending chart of accounts, implementing systems, making accounting judgements ahead of time is crucial. At RSM we have extensive experience in preparing lease models, evaluating potential impacts, reviewing the policies and legal documents, preparing disclosures, performing required calculations and providing training. If you haven’t already, we strongly recommend that you start performing an initial assessment to better understand how the changes will affect your business. Don’t wait – get in touch! We are always happy to have a chat and help your company! #FRED82 #FRS102 #REVENUEACCOUNTING #LEASEACCOUNTING

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A positive outcome for Tasty plc and another great result for the FRP Advisory team demonstrating that a restructuring plan remains a viable option for mid-market businesses to restructure their finances and operations to avoid an insolvency process. If you’d like to understand more about restructuring plans please contact me, Phil Reynolds or your local FRP Advisory office. #frpadvisory #restructuring #businessrescue

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Administration may be a suitable option for companies struggling under the weight of insolvency, yet it is believed that the business itself is ultimately viable in the long-term. A company may also be placed into administration if it is deemed that doing so will realise greater returns for creditors than would otherwise be possible if the company was placed into liquidation without first being in administration. https://lnkd.in/ek9nwbC8

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