The nights are getting colder, the days are getting shorter, and Mariah Carey is back on the radio. It can only mean one thing – we’re nearing the end of 2022. As we move into December and the financial year-end for many travel businesses, there are several things you should have on your radar.
1- Important change for ABTA members
If you are a member of ABTA and don’t currently protect your non-licensable packages with an ABTA bond but instead protect via ABTOT, financial failure insurance (FFI) or a trust account, you no longer need to submit ABTA quarterly returns. ABTA is trying to lower the administrative burden on those that don’t protect via its bonding scheme and confirmed only annual returns need to be submitted from these members.
2 – Don’t get caught out during your financial year-end
December is a common financial year-end for many travel businesses. During the last few renewal rounds, several clients had issues with auditors not getting to grips with their responsibilities quickly enough. This caused delays in signing off annual reporting for the Civil Aviation Authority (CAA) and ABTA.
If you are in the process of planning your year-end audit, ensure you have agreed on a timetable and checklist with your auditor to prevent similar delays.
3 – Changes to the R&D tax credits scheme could cost you time and money
Over the past few years, research and development (R&D) tax credits have been useful for travel businesses as they incentivise investment in technology. However, the Chancellor recently reduced the amount of relief available, making them less attractive.
Also, claims have recently been subject to more compliance checks from HMRC. Before heading into a serious investment, it’s important to speak to an advisor to check if your claim is valid, so you avoid wasting time and money.
If you would like help understanding what these mean for your business, please get in touch.
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