Healthcare: tax

A reflection on 2024, what the Community has achieved and what’s in store for 2025.

The core contract funding increased from 1 April 2024 by 2.7% to £107.57 per weighted patient (or £102.46 per weighted patient after deducting the out of hours opt out). For a practice with a weighted list size of 10,000 patients, the additional funding amounts to approximately £27,000 per annum.

HMRC has been consulting on a proposed reform to the current basis period method for taxation, which applies to unincorporated businesses and LLPs. They have drafted legislation and consulted on the proposed amendments. At the time of writing, it is expected that the reforms will be fully effective from the 2024/25 tax year, with 2023/24 being a transition year. These changes will affect all sole traders, unincorporated partnerships and LLPs who currently do not prepare their annual accounts to a reference date ending between 31 March and 5 April.

What the changes mean for dentists and a guide to using the CEST Tool.

How GP Practice accountants need to be advising their clients, now that costs are increasing and profits are reduced.

HMRC has been consulting on a proposed reform to the current basis period method for taxation, which applies to unincorporated businesses and LLPs. They have drafted legislation and consulted on the proposed amendments. At the time of writing, it is expected that the reforms will be fully effective from the 2024/25 tax year, with 2023/24 being a transition year. These changes will affect all sole traders, unincorporated partnerships and LLPs who currently do not prepare their annual accounts to a reference date ending between 31 March and 5 April.

GP practices and those acting for them will have noticed emails warning about the need to register with the new Trusts Registration Service (TRS).

As GP practice accountants we have always been asked to provide certain confirmation details to banks and lenders. Until recently this has typically involved completing a lender’s Accountant’s Certificate which confirms an individual’s income details, or simply sending copies of the last three years’ ‘SA302’s’ (the tax calculation that accompanies a personal tax return).