Why it’s important that your employees are fit and healthy

Why it’s important that your employees
are fit and healthy

We all know that a healthy workforce is a productive workforce.

As well as being more motivated during the day and getting more done, they are also less likely to take sick days. The government has recognised these benefits and has introduced tax breaks to employers who promote good health so encouraging your staff to be fitter and healthier is now also more tax efficient.

Provide basic health care

Subject to certain qualifying conditions, employers can provide free medical check-ups and eye tests. As from the 1st January 2015, they can also contribute up to £500 a year for rehabilitation treatment to help an employee return to work after an injury or illness.

Cycle-to-work scheme

One way to encourage employees to get active is to introduce the cycle-to-work scheme. When introduced properly, this can not only save your staff up to 42% of the cost of a bicycle, it can also provide companies with a big tax break.

Additionally to this, you can also benefit in cash terms through a saving in National Insurance costs as well as promote that your business encourages more environmentally friendly ways of commuting to work.

Gym membership

Providing free gym membership to your staff is an excellent way of encouraging them to get active and it also creates a taxable benefit in kind. If your company can’t afford to pay for everyone’s membership you can still help your employees by approaching a local gym to agree discounts or maybe they will offer you a corporate discount.

Gyms frequently give discounts to local companies and whereas an individual might have to pay circa £40, through the company group rate they may be able to get it for around £30. Whilst there are no tax advantages of this, it’s still a great benefit for those who are looking to get fit.

These schemes can also be good for team moral and in getting good comradery between employees too, this can be good for business in general as it spills into the work environment. Healthy and happy employees help in driving success.

Exclusive discount for Walsall CHANGEurSHAPE Fitness Centre and Boot Camp Experiences

To find out more about how your business could provide a free of charge gym membership – and to get an exclusive corporate membership discount from Walsall based CHANGEurSHAPE fitness centre (including exciting boot camp experiences) - call us today on 01902 837408 or request a free of charge call-back from our website www.taxandaccountancysolutions.co.uk today! 

Tax changes for April 2015 report in brief

At Omni Chartered Accountants, we believe in keeping things simple. 

So, with this in mind, here is our guide to the recent tax changes that came into effect on Wednesday 1 April 2015.

• The Corporation Tax rate was reduced to 20%
• The new Diverted Profits Tax was introduced
• The bank levy was increased from 0.156% to 0.21%
• Air Passenger Duty was restructured - abolishing bands C and D
• Hospice charities, blood bikes, search and rescue, and air ambulance charities are now eligible for VAT refunds
• Business rates changes (England only):
• The business rates multiplier has increased from 48.2p to 49.3p (47.1p to 48.0p for small business multiplier). This includes the 2% inflation cap
• The Small Business Rate Relief scheme has doubled for a further year - providing 100% relief for businesses with a single property with a rateable value of less than £6,000, and tapered relief with a rateable value of £6,000 - £12,000
• The business rates discount for shops, pubs, cafes and restaurants with a rateable value of £50k or below has increased from £1,000 to £1,500
• The cultural test for high-end TV tax relief has been modernised and the minimum UK expenditure requirement for all TV tax reliefs has reduced from 25% to 10%
• A new tax relief on the production of children’s television has been introduced
• The amount of banks’ annual profit that can be offset by carried forward losses has been restricted to 50%
• Two new bands for the Annual Tax on Enveloped Dwellings (ATED) have been introduced
• Capital Gains Tax exemption for wasting assets will only apply if the corporate selling the asset has used it in their own business
• An investment allowance for North Sea oil and gas, replacing the existing offshore field allowances and simplifying the existing regime, has been introduced
• A reduced rate of fuel duty to methanol will apply - the rate is 9.32 pence per litre
• Fuels used to generate good quality electricity by CHP (combined heat and power) plants for onsite purposes are exempt from the Carbon Price Floor
• Climate Change Levy main rates have increased in line with RPI
• The VAT registration threshold has increased from £81,000 to £82,000 and the deregistration threshold from £79,000 to £80,000
• Scottish government’s Land and Buildings Transactions Tax (LBTT) will replace Stamp Duty Land Tax in Scotland
• The associated companies rules have been replaced with simpler rules based on 51% group membership
• The standard and lower rates of landfill tax have been increased in line with RPI

We would love to hear from you if your business has been affected by any of the changes – in either a positive or negative way. Please join in the conversation on our Facebook page, or Tweet us @OmnitasTax!

If you would like no-nonsense, general tax advice then we are also here to help; you can request a free of charge call back from our website or click here to contact us via our website contact form and we will get back to you promptly for an initial chat.