BWBCA Limited

BWBCA Limited Accountants based in Keswick (Cumbria), Okehampton (Devon) and Woking (Surrey) supporting local owner managed businesses.

Do you need to pay tax on your side hustle?Those who have turned their hobby into a side hustle are being reminded by HM...
02/08/2026

Do you need to pay tax on your side hustle?

Those who have turned their hobby into a side hustle are being reminded by HMRC that their income from these activities may be taxable.

With wedding season in full swing, some may be making some extra income from selling wedding stationery, filming a first dance or cake-making.

Tax rules mean that if you earn more than £1,000 from your side hustle in a tax year, you may need to complete a Self Assessment tax return and pay tax.

The £1,000 threshold is a combined total. A person that has multiple sources of side hustle income would need to add the earnings of each source of income together before determining whether their earnings exceeded the threshold.

Selling unwanted items is unlikely to need reporting to HMRC, however selling goods for a profit, or providing a service for payment is likely to be considered trading and may need to be declared.

🌎www.bwbca.com
☎01837 512512
📧[email protected]



Employment Rights Act 2025: Employers concerned about new unfair dismissal protectionsAcas, the workplace expert, have c...
02/08/2026

Employment Rights Act 2025: Employers concerned about new unfair dismissal protections

Acas, the workplace expert, have carried out research to find out which changes in the Employments Right Act 2025 are the hardest for businesses to adopt.

Almost 1 in 3 employers have said that the new unfair dismissal protections are a top concern.

Protection from unfair dismissal will become a right after 6 months of being in a job from 1 January 2027. This reduces the current two-year qualifying period.
The compensation limit for unfair dismissal will also be removed.

The changes may affect how employers handle probation periods, with some considering reducing the period to less than 6 months before the law changes. It should however be remembered that employees still have protections during probation, including discrimination, whistleblowing, and breach of contract.

Acas advise that probation periods need to be considered carefully and they have updated their advice to reflect the upcoming changes on unfair dismissals.

Baroness Maggie Jones, Acas Chair, said: “The reforms in the Employment Rights Act are the biggest shake-up to employment law in a generation, and it is vital that employers get up to speed quickly.”

See: https://www.acas.org.uk/unfair-dismissal-changes-among-biggest-employment-rights-act-2025-challenges-for-bosses

🌎www.bwbca.com
☎01837 512512
📧[email protected]



Mandatory Direct Debit proposed for VAT and PAYE paymentsThe government has published a consultation on proposals that w...
02/08/2026

Mandatory Direct Debit proposed for VAT and PAYE payments

The government has published a consultation on proposals that will require most VAT-registered businesses and employers to pay VAT and PAYE liabilities by Direct Debit. The aim is to reduce late payment and simplify the payment process.

HMRC consider that automating the payment process by requiring Direct Debit could help businesses to reduce administrative work, minimise errors and avoid missing a payment deadline.

Paying by Direct Debit is already an option available for paying both VAT and PAYE, although most businesses currently pay using other electronic methods.
The government is therefore seeking views on:

• Why businesses that could use Direct Debit choose to pay by other electronic methods.

• The impacts of requiring payment by Direct Debit, including practical barriers such as cash flow management and process changes.

• The exceptions or alternative arrangements that may be needed.

HMRC are also considering what measures will be used to encourage uptake of Direct Debit and the sanctions for businesses that don’t comply. Proposals revolve around charging penalties where Direct Debit is not used, or by changing the current extended payment deadlines so that they will only apply to Direct Debit payments.

🌎www.bwbca.com
☎01837 512512
📧[email protected]



Upcoming Xero price changesXero has advised that it’s making changes to the price of itssubscriptions in the UK. From 1 ...
20/07/2026

Upcoming Xero price changes

Xero has advised that it’s making changes to the price of its
subscriptions in the UK. From 1 September 2026, the following changes will apply:

• Ignite plan increases to £18 per month
• Grow plan increases to £39 per month
• Comprehensive plan increases to £55 per month
• Ultimate plan increases to £70 per month

All pricing is in GBP and excludes VAT. The Simple plan price remains the same.

See: https://www.xero.com/uk/pricing-plans/update/

🌎www.bwbca.com
☎01837 512512
📧[email protected]




Are You Ready for E-Invoicing?HM Revenue & Customs (HMRC) recently released a research paper on how small and medium-siz...
22/04/2026

Are You Ready for E-Invoicing?

HM Revenue & Customs (HMRC) recently released a research paper on how small and medium-sized businesses (SMEs) view electronic invoicing, also called e-invoicing.

In the Autumn Budget 2025, plans were announced to make e-invoicing mandatory for VAT invoices from 2029. The research paper was designed to help deliver an e-invoicing policy that will suit the competitive needs of SME businesses.

An e-invoice is an invoice that is sent and received in a structured digital format and is suitable for automatic electronic processing. E-invoicing systems can integrate with accounting systems, which can make it easier to manage a business’s bookkeeping.

The government believes that e-invoicing will assist businesses in submitting more accurate tax returns.

The research indicates that 59% of businesses are familiar with what e-invoicing is. However, only 29% of businesses appear to be currently using e-invoicing, and only 10% of SMEs report both sending and receiving e-invoices.

The most common method used by SMEs both for sending and receiving invoices was reported to be PDF or email. Many businesses are also still using paper and physical mail for invoicing.

With a change to e-invoicing not becoming mandatory until 2029, there is still plenty of time to prepare.

See:  https://www.gov.uk/government/publications/electronic-invoicing-sme-usage-and-attitudes/electronic-invoicing-quantitative-research-into-small-and-medium-sized-enterprises-usage-and-attitudes

🌎www.bwbca.com
☎01837 512512
📧[email protected]



Have You Received a Letter from HMRC About MTD?With Making Tax Digital (MTD) for Income Tax coming into force from 6 Apr...
22/04/2026

Have You Received a Letter from HMRC About MTD?

With Making Tax Digital (MTD) for Income Tax coming into force from 6 April 2026, HM Revenue & Customs (HMRC) have been writing to taxpayers over recent weeks to tell them that they are being mandated into the regime.

MTD became mandatory from 6 April 2026 for sole traders and landlords with a total turnover exceeding £50,000 in the 2025/25 tax year, unless an exemption applies. It involves keeping digital records and submitting quarterly updates to HMRC.

Some taxpayers may have only received their ‘mandation’ letter a few days before the tax year started.

If you have received a letter, and that was the first you knew about MTD requirements affecting your business, there is no need to panic.

The first MTD filing deadline will not be until 7 August 2026. So, you have time to sign up, decide which software to use and then begin to keep your accounting records digitally. If your digital records are up-to-date for the three months starting in April 2026 by the time you need to file the update, then there will be no problem meeting the deadline.

HMRC will not charge you a penalty for not signing up by 6 April 2026, but the longer it is left, the more difficult the task of record-keeping becomes.

See: https://www.litrg.org.uk/news/hmrcs-latest-letter-drop-about-making-tax-digital-lands-just-easter-start-date

🌎www.bwbca.com
☎01837 512512
📧[email protected]



New “Right to Try” Legislation Removes a Key Barrier to Work for Disabled PeopleAt the end of April 2026, new legislatio...
22/04/2026

New “Right to Try” Legislation Removes a Key Barrier to Work for Disabled People

At the end of April 2026, new legislation will come into force designed to address the fear of losing benefits support if a new job does not work out.

For many disabled people and those with long-term health conditions, the risk of triggering a benefits reassessment can be enough to stop them from even trying employment or volunteering. This leaves people stranded on benefits, despite wanting to work.

New legislation aims to address this problem. From the end of April, starting work will no longer automatically trigger a benefits reassessment for people who receive:

• New-style Employment and Support Allowance.
• Personal Independence Payment.
• The health element of Universal Credit.

The new rules also guarantee that volunteering, which is often a first step back into work, will not trigger a benefits reassessment either.

If you are an employer, the rules may remove a barrier that has previously been filtering out suitable candidates before you have had a chance to meet them.

See: https://www.gov.uk/government/news/barriers-to-work-removed-for-disabled-benefit-claimants-as-landmark-legislation-introduced

🌎www.bwbca.com
☎01837 512512
📧[email protected]



Below is the link to the 2025/26 Tax Return Checklist for the tax year ending 5th April 2026 to assist with providing th...
18/04/2026

Below is the link to the 2025/26 Tax Return Checklist for the tax year ending 5th April 2026 to assist with providing the information required to prepare the tax return.

https://www.bwbca.com/post/2026checklist

Early filing gives a clearer picture of upcoming tax liabilities, aiding in better planning. Plus, meeting tax filing responsibilities ahead of deadline offers peace of mind and avoids the risk of late filing penalties.

🌎https://www.bwbca.com
☎01837 512512
📧[email protected]


Our office will be closed for the Easter holidays on Friday, April 3rd and Monday, April 6th . 🌎www.bwbca.com☎01837 5125...
02/04/2026

Our office will be closed for the Easter holidays on Friday, April 3rd and Monday, April 6th .

🌎www.bwbca.com
☎01837 512512
📧[email protected]



Address

Office 44, A30 Business Centre
Okehampton
EX201BG

Opening Hours

Monday 9am - 3pm
Tuesday 9am - 3pm
Wednesday 9am - 3pm
Thursday 9am - 3pm
Friday 9am - 3pm

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