Summer time fun in the sun – but will the taxman cause the clouds to come!

Paula Veysey Smith • 4 August 2019

I’m sure that all of us look forward to the summer weeks, evenings on the patio, pimms or gins and BBQ’s, well that’s if the British weather plays ball!!


So far this year it’s been heat wave one day and record rainfalls the next, no wonder so many of us decide to go abroad for a well earnt holiday. 


On that point, if there is a temptation to mix business with pleasure on a trip abroad during the summer be careful. HMRC’s house rule of “wholly and exclusively” for business purposes applies wherever you go in the world and in the case of foreign travel the Revenue Inspectors will be more diligent than Border Control! With HMRC’s concept of “duality” any suspicion of a personal benefit could render the whole of the foreign travel inadmissible! Any travel that is of a personal nature, whether that’s a partner joining the trip or taking in an after conference break, has to be booked totally separately so that the business cost comes from the business and the rest from a personal bank account. That would also include home bound flights!


But staying closer to home, the works summer do is now becoming almost as much of an event as the Christmas party but what can be claimed for and what not? Well, the good news is that any staff party or function qualifies as a tax free benefit for the employees providing you meet the following conditions:


The total cost of such functions must not exceed £150 per head per year. This includes the VAT and any extra costs such as travel and accommodation.


This is a limit and not an allowance so if the amount is exceeded even by £1 the whole benefit becomes taxable.


The event must be primarily used for entertaining staff and not just directors and it must be open to all staff (in that location if you have several branches or offices).


Input VAT can be reclaimed but this may be restricted if customers are also entertained at the same time.


So, it is a bit sunshine and showers but done correctly there’s no reason why a summer party can’t be enjoyed or a trip abroad for work give opportunity for some personal time away. However, to ensure umbrellas are not needed, make sure the rules are kept to otherwise it will be torrential HMRC rain showers!

HMRC mileage rate increase 2026 -- car dashboard representing business travel costs

HMRC Increases Mileage Rate to 55p Per Mile

by Paula Veysey-Smith • 5 June 2026
HMRC has increased the Approved Mileage Allowance Payment rate from 45p to 55p per mile for the first time in 15 years. Find out what the new rates mean for employees, directors and self-employed individuals from 6 April 2026.

M is for Measurable

by Paula Veysey-Smith • 31 May 2026
You've made your goal specific. Now how do you know you're actually getting there? The answer is in the M. "The more you can define your goals, the more likely you are to achieve them." Last time we looked at S for Specific — turning vague wishes like "I want to get fit" into something concrete and actionable. If you missed it, go back and start there, because everything builds on that foundation.  Now we move to M for Measurable. And this one is just as important, because a goal without a measure is still just a wish.

S is for Specific

by Paula Veysey-Smith • 3 May 2026
Your New Year’s resolutions haven’t failed, they just need a sharper edge. Here's how one simple shift can change everything. “We make New Year's resolutions — let's call them goals. But they can be a bit vague. The way to make them happen is to actually define them better.” It's that time of year when those bold January intentions have quietly faded into the background. "Get fit." "Lose weight." "Grow my business." Sound familiar? You're not alone — and more importantly, you haven't failed. Your resolutions just need a better framework.

MTD for Income Tax Is Here: What It Means for You

by Paula Veysey-Smith • 13 April 2026
HMRC’s new system Making Tax Digital for Income Tax Self-Assessment has now arrived! This isn’t just a regulatory update. It’s a shift in how your records are kept, how often you report, and what you will need to do throughout the year. What’s changing for you: Under MTD for Income Tax, if you’re a sole trader or landlord within scope: You’ll need to keep digital records Quarterly updates will need to be digitally submitted to HMRC An End of Period Statement (EOPS) will need to filed A Final Declaration will be needed to finalise your tax position for the year In short: instead of one annual deadline, your tax reporting becomes a year-round process. Why using compliant bookkeeping software is now essential? To meet MTD requirements, HMRC requires fully digital record keeping and submissions . Manual spreadsheets alone are no longer sufficient You’ll need to use MTD-compliant bookkeeping software Sending your accountant paper records or incomplete information will cause delays The upside (it’s not just compliance) While MTD is mandatory, it also brings real benefits: Clear visibility of your tax position throughout the year Better cash flow planning Fewer surprises at year-end What support do you need to navigate this new system? The support of qualified accounting professionals is now more necessary than ever. We don’t expect you to navigate this alone and here’s how MPower Accounting can ensure that you not only comply with, but thrive under, this new reporting requirement. We’ll help you choose and set up the right software We work with trusted platforms such as Xero, QuickBooks, FreeAgent and others. We’ll recommend what fits your business best and get everything set up correctly. We’ll ensure you stay compliant Review your records regularly Submit your quarterly updates accurately and on time Handle all year-end submissions We’ll take the stress off your shoulders With the right system in place: Your records stay up to date automatically We can spot issues early You avoid last-minute pressure and surprises All we’ll need from you to make MTD work smoothly, is access to your chosen bookkeeping software, regular uploaded receipts so we can keep records current and a little of your time when there are questions. The more up-to-date your records are, the more value and proactive advice, we can provide. Your role is simple but important. Letting us take the strain of compliance will save you time and cause significantly less stress, enabling you to focus on what is important, that is running your business successfully. Next steps If you haven’t already: Speak to us about getting set up on MTD-compliant software Let us review your current bookkeeping process Make sure you’re ready for quarterly reporting
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