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There are two accounting methods used by small businesses – cash basis accounting and accrual basis accounting. Cash basis is often favoured by sole traders and partnerships, as it involves recording revenue and expenses when payments are received and made, while accrual basis requires recording transactions as they occur rather than when invoices are paid.

Small businesses using the cash basis method don’t have to wrangle with accruals or most capital allowances, but there is a turnover limit that forces businesses to switch from cash basis to accrual basis at a certain point. The government wants to make this simpler to help new businesses meet their tax obligations as they grow.

With HMRC looking into cash basis reform, here’s how the cash basis scheme could change, and how it could affect your small business.

Eligible parents of children between 9 months old and school age will soon be able to get 15 or 30 hours a week of government-funded childcare during term-time.

Extending this childcare support to children 2 years old and under is one of the measures announced by the Chancellor in the 2023 Spring Budget to help parents with young children go back to work.

With childcare being one of the biggest costs for many households, this extension aims to reduce the financial barrier that prevents both parents from staying in work, while keeping the economy growing at the same time.

Here is a summary of what’s changing with childcare support, when these changes come into effect, and who will benefit from them.

Out of over 12 million taxpayers who file self-assessment tax returns, under 3% do so via paper form submissions. Low demand meant HMRC already stopped sending paper tax return forms in the mail a few years ago, but the tax agency is now removing the option of downloading and printing off a blank version of the form from the government website.

This means that from 6th April 2023, taxpayers will no longer be able to download the form and complete a paper tax return that way, either. This is part of HMRC’s push towards digital submissions, reducing the use of paper and speeding up the filing process.

There are still around 135,000 taxpayers under 70 years old using downloaded forms, but as this will no longer be possible for the 2022–2023 tax year onwards, the tax agency will write to them to provide guidance on how they can file their returns from now on.

That’s not to say it’s no longer possible to file a paper tax return at all, but it will be a much more limited service that may not be worth the difficulty for those who are able to file digital returns.

Households across Britain have been dealing with ever-increasing energy bills for over a year, thanks to supply problems that were exacerbated by Russia invading Ukraine. While wholesale energy prices have fallen from their peak last summer, this hasn’t translated to lower energy bills yet.

Meanwhile, the UK government is continuing to subsidise household energy bills via the energy price guarantee (EPG). The current EPG of £2,500 was due to end in March, but the Spring Budget included an extension to maintain this level of support for another 3 months (1st April–30th June).

This is good news for employees who work from home, or home-based small business owners, who will have higher energy bills from spending more time in their residence. However, the support is still minimal – read on to find out what’s changing and how it could affect your energy costs.

Published on 21st March ahead of the new tax year starting on 6th April, the Spring Budget 2023 introduced a range of reforms for pension tax allowances. With more scope for pension savings, these new measures mean it’s a good time to review your retirement planning strategy.

The pension tax change making the biggest splash is the scrapping of the Lifetime Allowance (LTA) for pensions. This tax-free cap has been the cornerstone of pension tax planning since 2006, but rather than increasing the allowance to help pension savers, Chancellor Jeremy Hunt made the surprise move of abolishing the Pension LTA altogether.

The Spring Budget announcement also included several other significant adjustments to pension rules for the 2023–2024 tax year and beyond. Let’s take a look at the new measures to explore how they might affect you and your financial plans for retirement.

The UK government provides state benefits for parents with dependent children whose partners have passed away, in the form of Bereavement Support Payments.

Previously, bereaved parents were only eligible for these benefits if they were married to or in a civil partnership with their cohabiting partner at the time of their death.

However, the law is now changing to provide financial support for more grieving parents raising children after losing their partner, regardless of the legal status of their relationship.

This means parents who were cohabiting with their partner, whom they have at least one child with, can now apply for Bereavement Support Payments (BSP).

Does this change in the bereavement benefit law affect you? Here’s what you should know about the new rules and who is now eligible to apply.