💣 HMRC has started hunting for your personal expenses – are you ready for a new stage of checks?

In 2025, HMRC (the UK tax authority) is shifting its focus to how you spend money, not just how much you earn. This means that tax inspectors will now compare your lifestyle with what you declare in your tax returns. If your spending doesn’t match your income, be ready to explain yourself.

🎯 What’s Changed?

Previously, HMRC focused on the income declared in tax returns. Now, the attention is shifting to “personal expenses“—from your trips, restaurants, and shopping to car maintenance and holidays.

💼 HMRC will be asking:

“If you declare an income of £15,000 per year, but you fly to Dubai and drive a Range Rover—where did the money come from?”

📌 What is HMRC Checking Now?

Here’s a list of what could come under scrutiny:

• 💳 Bank card spending
• 🧾 Purchases via Amazon, eBay, PayPal
• ✈️ Travel and holidays
• 🚗 Cars, subscriptions, fuel
• 🏠 Rent or mortgage payments
• 🍽 Frequent restaurant visits
• 📱 Subscriptions, phones, gadgets

And if all this doesn’t match the income you’ve declared as a self-employed person, landlord, or company director, you can expect a letter from HMRC.

⚠️ Who is Affected First?

• 👷 Self-employed individuals (builders, tradespeople, drivers, hairdressers)
• 🏠 Landlords who rent out property
• 👨‍👩‍👦‍👦 Small business owners
• 📉 Those who regularly show low income
• 💼 Those who receive cash or work without bank accounts
• Those who pay Income Tax (taxpayers only).

😳 What is HMRC Doing?

• Sends requests for a Personal Expenditure Review
• Asks for a detailed report of your spending
• Compares your expenses with your income level
• In the case of suspicion, launches an official investigation

💡 What Can You Do to Avoid Problems?

1. Don’t understate incomes—especially if you clearly don’t have a “poor” lifestyle.
2. Keep proof of where your money came from (e.g., gifts from relatives or savings).
3. Be ready to explain any large expenses.
4. Consult a professional if you have any doubts.

🛡 Can You Protect Yourself?

Yes. If you:

• Honestly declared your income
• Can explain the difference between your spending and income
• Kept a record (even a simple one) of your expenses

— then there’s nothing to worry about. But if you’ve been “playing” with the numbers, HMRC is now catching it faster than ever before.

📣 We Can Help:

• Review whether your expenses could raise suspicion
• Prepare you for an HMRC audit
• Draft an explanation and defense in case of an inquiry

📬 Consultation is free and without obligation.

🕵️‍♂️ HMRC is watching your lifestyle—be on alert!

The world of taxes has become digital, and now HMRC sees more than you think. The comparison of “how you live” and “what you declare” is the new reality of 2025.

💥 Don’t get caught. Check your finances now.

Capital Empire – the official ACSP in the UK. What does this mean for you?

Soon, only officially registered providers—ACSPs (Authorised Corporate Service Providers)—will be able to file documents with Companies House.

This is part of the reform under the Economic Crime and Corporate Transparency Act, aimed at combating fraud and increasing business transparency in the UK.

Who can be an ACSP?

Only organizations that have:

• Undergone registration and control according to AML (anti-money laundering) rules.
• Been verified and approved by Companies House.
• An authenticated digital signature (an agent assurance code and an authorisation key).

What this means for company owners:

🔐 Mandatory Identification All directors, beneficiaries, and Persons with Significant Control (PSC) of a company will have to undergo an identity check. But if you work with us, you don’t have to do it yourself. As an ACSP, we can perform the identity verification for you.

📑 Document Filing – Only through Authorised Providers Very soon, it will be impossible to register a new LTD company, file a Confirmation Statement, or change a director through a “regular accountant.” Such actions will be performed only by ACSPs. Capital Empire has already received this status and is listed in the register of authorised providers.

⚖️ Compliance with New Companies House Requirements We are officially accredited, have passed AML controls, and are authorised to act on behalf of clients. Your business with us operates legally, safely, and without the risk of documents being rejected.

Why this is important:

Now, a business in the UK needs more than just an accountant. It needs an official representative that the state trusts. 📉 Without an ACSP, filing documents on behalf of a client will become impossible. ⚠️ Handling checks yourself can lead to errors, delays, and unnecessary bureaucracy. ✅ With us, you maintain peace of mind and confidence that everything is done correctly.

📲 Contact us to:

• register an LTD
• transfer your company to our service
• get identified quickly and stress-free

We handle all communication with Companies House and HMRC—you just focus on your business.

From August 1, 2025, you can exchange Moldovan driving licenses for British ones! But not everyone.

From August 1, 2025, citizens of the Republic of Moldova residing in the UK will be able to exchange their Moldovan driving licenses for British ones without needing to pass a theory or practical test. This is possible thanks to a Memorandum of Understanding between the UK and the Republic of Moldova.

Who Can Exchange Moldovan Licenses?

To exchange your Moldovan driving license for a British one, you must meet several conditions:

• UK Resident Status: You must be a UK resident, meaning you reside in the country legally.
• Application Period: You can apply for the exchange within 5 years of gaining resident status. If you’ve been living in the UK for more than 5 years, you’ll need to pass both the theoretical and practical driving tests to obtain a British license.
• Validity of Moldovan License: Your Moldovan driving license must be valid at the time of application. If it has expired, you’ll need to renew it before applying for the exchange.
• License Type: If your Moldovan license permits you to drive a manual transmission vehicle, your British license will be of the corresponding type. If your Moldovan license only allows you to drive automatic transmission vehicles, your British license will be limited to that transmission type.
• No Intermediate Exchanges: You cannot exchange a Moldovan license for a license from another country that is not on the list of countries with which the UK has a mutual exchange agreement.

What Type of License Will I Receive?

Upon exchanging your Moldovan driving license for a British one, you’ll receive a British driving license that matches the type of license specified on your Moldovan license.

• Transmission Type: If your Moldovan license allows you to drive a manual transmission vehicle, your British license will be of the corresponding type. If your Moldovan license only allows you to drive automatic transmission vehicles, your British license will be limited to that transmission type.
• Vehicle Categories: Your British license will include the same vehicle categories listed on your Moldovan license, provided they meet British requirements.

How to Apply for Moldovan License Exchange?

1. Check if you meet the requirements for license exchange.
2. Gather your documents.
3. Submit your application to the DVLA.
4. Await the decision and your new British license.

If you have questions or encounter difficulties during the exchange process, we can help you navigate all steps of the exchange without errors or delays.

📞 Contact us: +44 7555 858 858

📍 Our office: 347 Barking Road, London, E13 8EE

Myths and misconceptions about Maternity Allowance

80% of women who contact us think they are NOT eligible for Maternity Allowance in the UK. But with our help, they receive £7300 from the state over 39 weeks. We’ve decided to debunk the most common myths and misconceptions about Maternity Allowance.

Myth 1: If I don’t work as an employee, I can’t get Maternity AllowanceTruth: This is far from the case. Maternity Allowance is available not only for those working on a contract (employee). If you work as a worker, or even if you are self-employed, you can still receive the benefit. If you can’t get Statutory Maternity Pay (maternity benefit from your employer), you are entitled to Maternity Allowance.

Myth 2: I have to work at least 26 weeks for one employer to get the benefitTruth: To be eligible for Maternity Allowance, you don’t need to work 26 weeks for one employer. You can get the benefit if you have worked for at least a few weeks, even if it was for different employers.

Myth 3: I won’t get the benefit if I don’t have extensive work experienceTruth: In fact, Maternity Allowance is available even if you don’t have many years of work experience. The main thing is to have a minimum number of weeks worked or income earned in the last 66 weeks before the start of pregnancy.

Myth 4: My income is too low to qualify for Maternity AllowanceTruth: If your income is low or unstable, it doesn’t mean you’re not eligible for the benefit. The program is designed to support women in various financial situations.

Myth 5: If I’ve been self-employed for only a few months, I can’t get the benefitTruth: Even if you’ve been self-employed for only a few months, you can still apply for Maternity Allowance if you meet certain requirements.

Myth 6: I won’t get the benefit if I didn’t apply before giving birthTruth: Although it’s recommended to apply for Maternity Allowance before giving birth, if you didn’t manage to do so, don’t worry. You can still apply after giving birth (up to 3 months), and the benefit will be paid for the entire period, starting from the application date.

How can we help?

We help women understand their situation and correctly complete their Maternity Allowance applications.

What we do:

• We check your situation – for free.
• We collect and submit all necessary documents.
• We monitor the application process and help you receive payments.

📞 Contact us:

Government support for families with children in the UK

If you live in the UK and are raising children, various benefits and allowances may be available to you. Let’s look at the main ones.

👩‍🍼 Maternity Allowance

One of the most important types of support is Maternity Allowance – a benefit paid to women during pregnancy and childbirth. The allowance amounts to about £7,300, and the duration of payments is 39 weeks. This benefit is intended for women who cannot receive Statutory Maternity Pay (maternity benefit from their employer), for example, if they are self-employed.

👶 Child Benefit

Child Benefit is a monthly payment for each child. In 2025, the allowance is approximately £1,350 per year for the first child and about £900 for each subsequent child. Child Benefit payments continue until the child reaches 16 years old, or up to 20 years if they remain in education.

🎁 Maternity Grant

Maternity Grant is a one-time payment of £500, provided for the first child under certain conditions. For example, this benefit is available to families receiving Universal Credit and not exceeding a certain income threshold. This is additional financial assistance that can help with preparations for the arrival of a child.

🏡 Universal Credit and Tax-Free Childcare

Universal Credit is a form of social support that includes various components. This benefit is designed to help with housing costs, childcare, and other family needs. Tax-Free Childcare helps parents cover childcare costs, such as nursery fees or a nanny. Parents can receive up to £2,000 per year per child (or £4,000 for two children). With this program, parental childcare expenses can be significantly reduced. Receiving one of these benefits excludes receiving another.

🎓 15 or 30 Free Hours of Childcare

In the UK, parents can receive free childcare hours depending on their employment. If both parents work, they can get 30 free hours per week for children over three years old (from September 2025 – for children from 9 months old). For families with income up to a certain level, 15 free hours per week are available for children aged 2 to 3 years.

🚍 Children Travel Oyster Card

For families residing in London, discounted travel for children is provided through the Children Travel Oyster Card. This card allows children up to 18 years old to travel on public transport for free or at a significant discount.

How can we help?

For over 10 years, we’ve been helping families with the preparation and submission of applications for various benefits and allowances in the UK. If you need real assistance with document processing, application submission, and achieving results, we are ready to help you.

Our services include:

• Consultations on eligibility (right to receive benefits).
• Preparation and collection of all necessary documents.
• Application submission.
• Support until a positive outcome is achieved.

You can contact our office by phone: +44 7555 858 858 (also WhatsApp, Telegram)

Personal Tax Account (PTA): What is it and why do you need it?

If you live and work in the UK, you should know about an important tool called the Personal Tax Account (PTA) – it’s a personal online tax cabinet where all information about your income, taxes, pension contributions, tax codes, and more is collected.

What is PTA? PTA is an online service from HMRC that allows you to see all your tax information in one place. It’s like online banking, but instead of money, it’s your tax and income data.

In the Personal Tax Account you can:

• View income and tax payment history.
• Check and update your Tax Code.
• Apply for a refund of overpaid tax.
• Change personal data (address, name).
• Check information about your service history and pension.
• Track messages and notifications from HMRC.

Why is it important to have a PTA?

• Control and Transparency: Without a PTA, it’s like you’re blindfolded – HMRC sees your data, and you might not even realize you’re overpaying taxes.
• All HMRC services are gradually moving to PTA: Soon, all operations will only be through your personal account – no more paper letters.
• Mandatory for Self-Employed: If you are self-employed, a PTA is absolutely necessary to submit declarations and pay taxes on time.
• Useful for Employed Workers: If you are an Employee, a PTA is not mandatory, but it has many useful functions. For example, quickly check your tax code to avoid overpaying taxes, view your Employment History for 5 years, ensure your employer is actually paying taxes for you, and more.

Need help? If you are unsure how to register, check your Tax Code, or deal with taxes, we are ready to help.

📩 Message us, and we will support you every step of the way!

+44 7555 858 858 (WhatsApp / Telegram)

New UK immigration policy: key changes and their implications

🛂 Skilled Worker Visa Reforms

Higher Skills Threshold: The minimum skill level for Skilled Worker visas will rise from RQF Level 3 (A-level equivalent) to RQF Level 6 (degree level), affecting roles in sectors like hospitality, construction, and social care.

Salary Threshold Increase: Salary thresholds for visa eligibility will be raised, with the Immigration Salary List being replaced by a Temporary Shortage List (TSL) for specific sectors demonstrating genuine shortages.

Social Care Visa Closure: The route for recruiting overseas social care workers will be phased out by 2028, with no new care worker visas issued.

🎓 Student and Graduate Visa Changes

Graduate Visa Duration Reduction: The post-study work visa duration for international graduates will be reduced from two years to 18 months.

Increased Compliance for Educational Institutions: Stricter compliance measures will be introduced for institutions sponsoring international students, including higher pass marks and mandatory participation in the Agent Quality Framework.

🏠 Settlement and Citizenship

Extended Residency Requirement: The qualifying period for Indefinite Leave to Remain (ILR) and citizenship will increase from five to ten years, with potential fast-track options for individuals making significant contributions to the UK.

Enhanced English Language Requirements: English proficiency standards will be raised for both main applicants and their dependants across various visa routes.

👨‍👩‍👧‍👦 Family Migration Reforms

Stricter Eligibility Criteria: New rules will enforce clear relationship requirements, financial thresholds, and English language skills for family visa applicants to ensure genuine relationships and better integration.

Article 8 Legislation: Legislation will be introduced to limit the application of Article 8 of the Human Rights Act 1998 in asylum cases, aiming to reduce misuse of human rights claims.

💼 Employer and Workforce Planning

Labour Market Evidence Group (LMEG): A new body will assess labour shortages and ensure that immigration is not used as a substitute for domestic workforce development.

Increased Immigration Skills Charge: The Immigration Skills Charge will rise by 32%, with funds directed towards domestic training initiatives.

📊 Border Control and Compliance

Digital Immigration System: The introduction of eVisas and Electronic Travel Authorisations (ETAs) will enhance border security and compliance monitoring.

Expanded Deportation Powers: The Home Office will have increased authority to revoke visas for a broader range of offences, including those not resulting in imprisonment.

These proposals are currently under consultation, with some changes expected to be implemented in 2026. Employers and individuals are advised to stay informed and prepare for the forthcoming adjustments to the UK immigration system.

Taxes without stress: in installments!

In the UK, you don’t have to pay your tax all at once.
Yes, you heard right: HMRC doesn’t demand full payment on the day you file. You can spread your tax bill into interest‑free, penalty‑free installments.

Why you shouldn’t wait until January to file?
Many self‑employed people procrastinate until the deadline. But waiting until January means:

• You must pay last year’s tax in one lump sum.

• You also must make your next year’s first payment immediately.

• After the holidays, your budget is often tight.

• Rushing leads to stress, mistakes, and overspending.

All of this is avoidable if you act early.

Solution: File your Self‑Assessment in May!
By filing in spring or early summer, you gain:
✅ Time to double‑check everything
✅ The chance to learn your exact bill and plan your budget
✅ Peace of mind—no January scramble
✅ More time for tax planning with an experienced accountant at Capital Empire

Instead of a single £1,000 bill in January, you could pay just £100 per month. No interest. No penalties.

📩 Want to file your Tax Return stress‑free and with maximum benefit?
Write to us on WhatsApp or Telegram: +44 7555 858 858

Do you work under a UTR? This common mistake is often overlooked.

In the UK, many self-employed individuals using a UTR (Unique Taxpayer Reference) are unaware of an important detail that directly affects their pension record, tax calculations, and even eligibility for financial support.
We’re talking about the fact that your UTR and NIN (National Insurance Number) might not be linked in the HMRC system.

Why is this important?
If your UTR and NIN are not linked, it can lead to serious consequences:
• HMRC may not record your National Insurance contributions → you lose pension years.
• Risk of penalties.
• Difficulties in claiming benefits, tax refunds, or getting mortgages and loans.
• HMRC may mishandle your tax submissions, leading to extra checks and requests.

Common reasons for unlinked records:
• NIN was not provided or was incorrect when registering for UTR.
• A temporary NIN was used.
• Personal data errors (name, date of birth, address).
• You received your NIN after UTR registration, and the system wasn’t updated.
• Technical error in HMRC’s system (more common than expected).

What should you do?
• Check if your UTR and NIN are linked.
• If not, send a request to link them.

💡 How to check?
We explained it in detail in our video on Instagram, Facebook и TikTok

Who will be required to register for MTD (Making Tax Digital) and submit reports?

MTD ITSA will be mandatory for:
• Self-employed individuals (sole traders)
• Property owners (landlords) who receive rental income.
But only if their income exceeds the established thresholds:

Implementation date Income threshold (total annual income from self-employment and rental)
from April 2026 over £50,000
from April 2027 over £30,000
from April 2028 over £20,000
If the income is below the specified amounts, switching to MTD is not yet mandatory.

Who will be able to register and submit reports?
Reporting and registration in MTD can be done by:
• The taxpayer themselves (self-employed)
Using approved tax software (MTD-compatible software), which will be integrated with the HMRC system.
• Accountants and tax agents
Any qualified accountant or tax advisor can submit a return on your behalf. To do so, you must provide the agent with authorisation (agent authorisation) through HMRC.

How will MTD ITSA reporting work?
You will need to keep digital records of income and expenses throughout the year.
Four times a year (quarterly) you must send digital reports on income and expenses to HMRC.
At the end of the tax year, you will need to submit a final (annual) report, confirming the results of the year and finalising the tax calculation.

Exemption from MTD
Not everyone is required to use the digital system. There are exceptions:
People who find it difficult or impossible to keep digital records (e.g. the elderly, disabled or those without internet access).
Some taxpayers who are unable to use digital services may be granted an exemption based on an application to HMRC.

Summary:
If your income (from rent or self-employment) exceeds the threshold, you must switch to MTD.
Reports can be submitted either by you or with the help of an accountant/agent.
The system involves quarterly reports and one final annual report.
Persons with low income or limited capabilities may receive exemptions.

This system is designed to simplify tax accounting, reduce errors, and make taxation more transparent for both taxpayers and HMRC.