Welcome to the 4th blog in the Budget 2020 count down series. Let’s have a look at the changes being introduced to the Employers National Insurance Allowance (EA) from 6th April 2020.
So what do we already know?
The EA rises from £3,000 to £4,000. That means for most of you, you don’t need to pay the first £4,000 of calculated employers NI in the new tax year. So far, so good.
However from April it will be operated as de minimis state aid.
Ah. Hang on a minute. SEIS investment is too. And receipt of de minimis may also restrict an R&D claim depending on it’s relevance to the R&D project.
How can all this be tied together to maximise future benefit? Hmm, by careful planning. We don’t today know how HMRC will tie these elements together from a practical point of view. Caution is needed to ensure that decisions are made with relevant facts in mind.
Next up we’ll cover pensions! In the meantime if you have any questions please talk to your Blu Sky account manager.
