Coleman Classic Cars was founded in 2021 as a Bristol car specialist by Mark Coleman.

He had been previously employed with Bristol Cars Limited, the manufacturer of Bristol cars, for more than 30 years and it felt like a natural progression to open his own specialist workshop in Maidenhead, Berkshire.

This company specialises in the Bristol marque of exquisite cars but does take on the servicing of other classic cars too.

His wife, Jemma, joined the business in 2025 to support Mark. She is involved in managing the business operations, allowing Mark to focus entirely on restoring these stunning classic vehicles.

Having previously worked in administration for a veterinary practice, this is a very different and exciting venture for Jemma and as running a business is a new experience for the husband-and-wife team, our experts at Rotherham Taylor have been a significant help.

Our team handle all of the essential background finance functions, allowing Mark and Jemma to manage daily operations effectively.

Michael and Lucy, two of our experienced accountants, have been instrumental from day one, while Natasha and Steph have also provided excellent support and are always available to answer any queries.

Speaking about her work with us, Jemma said: “I feel confident knowing the business accounts are in such good hands.”

Probate is often assumed to be purely a legal process. In reality, it is just as much an accounting and tax exercise, involving valuations, inheritance tax calculations, compliance with HMRC deadlines and careful estate administration.

Below are five of the most common probate mistakes we have encountered and how an accountant‑led approach can help avoid them.

1. Incorrect valuations submitted to HMRC

One of the most common probate errors is submitting inaccurate or poorly supported estate valuations, particularly for:

• Property
• Investment portfolios
• Business interests
• Loans, guarantees or overdrawn director accounts

Overvaluation of an estate can result in more Inheritance Tax being paid than necessary.

As probate practitioners, we ensure assets are valued at open market value at the date of death and can coordinate with independent valuation experts where required.

We can also reconcile figures back to bank, investment and business records, as well as prepare valuations that are robust and defensible in the event of HMRC compliance checks.

2. Inheritance tax being overpaid or paid late

We regularly hear about estates where Inheritance Tax (IHT) reliefs and allowances are missed, including:

• Transferable nil‑rate bands from a pre‑deceased spouse or civil partner
• The residence nil‑rate band
• Business or Agricultural Property Relief
• Gifts and taper relief

Late payment of IHT is also common due to poor cashflow planning ahead of a person’s death.

An accountant experienced in probate will review the full history of the estate and any previous deaths related to it that may have a bearing on reliefs.

They will then identify and correctly claim all available allowances and reliefs and plan payment of IHT to avoid interest and penalties, where possible, including advising on instalment options where property or business assets are involved.

3. Estate accounts prepared incorrectly

Many executors underestimate the importance of formal estate accounts, relying instead on informal spreadsheets that often do not reconcile to probate values or fail to distinguish between capital and income.

This can lead to disputes and challenges, particularly in more complex estates.

As part of probate administration, we, as accountants, will prepare:

• Full administration estate accounts
• Clear tracking of income, capital, and tax during the administration period
• Reconciliations from probate values through to final distributions
• Documentation suitable for beneficiaries and HMRC

Proper estate accounts provide transparency and reduce the risk of later disputes

4. Distributing the estate before tax and liabilities are finalised

This is one of the most common mistakes made. Executors have been known to distribute assets too early, before HMRC has agreed the tax position, once all liabilities are known and clearance has been given.

This can be a costly error, as any further tax liabilities discovered or if beneficiary claims are made, executors can be personally liable.

When we advise executors on the probate process, we ensure that they retain appropriate reserves for tax, costs and contingencies.

We can also:

• Help them understand when interim distributions may be made safely
• Obtain HMRC clearances where appropriate
• Support them so that they do not breach their fiduciary responsibilities

5. Executors underestimating their responsibilities

As we have pointed out, being made an executor comes with many responsibilities and personal liabilities that many people do not fully appreciate.

We are often approached only once problems arise. Instead, as licensed probate professionals, we can act as executors for the estate or take on the probate role entirely.

This includes dealing with HMRC directly, thereby reducing the administrative and emotional burden on families.

Using professional support is a sensible risk‑management decision, not an admission of difficulty.

Here to help

As accountants authorised to carry out probate work, we are well-placed to manage the financial, tax and administrative aspects of a deceased estate, either independently or alongside legal advisers where required.

If you are acting as an executor or dealing with an estate, seeking professional advice early can make a significant difference, so speak to our team.

In our latest app of the month feature, we are taking a look at Syft Analytics.

This is a cloud-based reporting platform that integrates effortlessly with many existing cloud accounting software like Xero, allowing users to generate automated, professional management reports in real-time with minimal effort.

Syft offers businesses faster, more insightful financial reporting, whilst also saving you time and reducing errors in your analysis.

Why do many businesses choose Syft?

• Automated data imports and report generation – Eliminate the hassle of manual data entry and reduce errors often found in spreadsheets.
• Real-time reporting – Get instant access to updated reports without the need for time-consuming exports.
• Tailored to your needs – Custom reporting packs, advanced analytics and insights that go beyond traditional Excel reports.
• Clear, professional reports – Get easy-to-understand reports that help you track performance and spot trends without the need to interpret raw data or complex spreadsheets.
• Save time – No more exporting data or reformatting spreadsheets. Syft automates the entire reporting process, allowing you to focus on running your business.
• Seamless integration – Syft works effortlessly with Xero and other accounting software, syncing all your financial data in real-time.
• Advanced analytics – Gain deeper insights with tailored reporting packs, adding additional graphs and commentary to improve your decision-making.

With a quick and easy setup, Syft Analytics enables you to deliver more accurate, insightful and professional reports to your stakeholders.

Whether you’re a small business or a growing enterprise, Syft empowers you to stay ahead by providing the tools you need to monitor and manage your business more effectively.

Want to implement Syft in your business?

Syft is one of a number of platforms that we can help businesses to implement. If you want to learn how Syft Analytics can transform your reporting and give you the tools to make data-driven decisions faster, speak to our team.

HMRC and Companies House have confirmed that from 1 April, all businesses must use compliant, commercial software to file their company’s tax returns.

As of 31 March, the free joint online service, commonly known as the CATO portal, from these two Government bodies has been removed and you must now use software to file company tax returns to HMRC.

For the time being, you will still be able to file annual accounts at Companies House using third-party software, WebFiling services or paper filing.

The decision has been made to end this service as it is “outdated and no longer aligns with modern digital standards”, according to Companies House.

This change is in line with the introduction of the Economic Crime and Corporate Transparency Act, which implemented “enhanced corporation tax requirements and changes to UK company law.”

It also follows on from a major IT security breach at Companies House, identified in March 2026, that exposed the WebFiling system and allowed some users to potentially access and amend the details of other companies.

Although the breach has now been resolved and security strengthened, it has raised concerns about the reliability of GOV.UK One Login service.

Can you still amend previous returns using the free service?

HMRC and Companies House have confirmed that now that the free filing service has closed, company directors will have to use commercial tax software if they need to make changes to a previously submitted Corporation Tax return or refile a rejected return.

From now onwards, any previously filed financial information will no longer be available in the system, as it has not been retained and will need to be entered again.

HMRC has said that, for amendments, it will also be acceptable to send a paper return to the Corporation Tax Services office.

If you have previously filed financial accounts with Companies House and you want to make changes or corrections, this will also need to be done via commercial software or by sending paper accounts to Companies House via post.

Are there any exceptions to this new rule?

Companies can file a paper Corporation Tax return only in limited circumstances, such as if they wish to submit it in Welsh or can demonstrate a valid, reasonable excuse to HMRC. Otherwise, returns must be filed online using commercial software.

If you are affected by this change and need help choosing and utilising commercial software to complete your Corporation Tax return, please speak to our team.

Capital allowances continue to provide an effective method for businesses to reduce their tax bills, by providing incentives for investment in eligible expenditure – typically plant and machinery.

Historically, these reliefs have been subject to change and the 2026/27 tax year is no different, as the Government moves to alter two key reliefs – Writing Down Allowance (WDA) and a new First-Year Allowance (FYA).

Reduction of the Writing Down Allowance

The WDA will be reduced from 18 per cent to 14 per cent on the main pool of qualifying plant and machinery assets.

This change has been introduced on two different dates, starting with companies subject to Corporation Tax on 1 April and followed shortly thereafter by those subject to Income Tax, such as sole traders and partnerships, from 6 April.

Businesses with large brought forward main pool expenditures are expected to lose the most from the reduction in the main rate of WDA.

In the long-term, the change may also reduce incentives for investment in second-hand assets and cars, which benefited under the previous rules.

The new First-Year Allowance

To offset some of the impact of the reduction in WDA, a new 40 per cent FYA on main rate expenditure, primarily still covering plant and machinery, will now be available.

This new FYA is intended to encourage investment in areas where other FYAs don’t allow, in particular, assets bought by unincorporated businesses and leases.

Sole traders and partnerships will, for the first time, be able to get additional support at the point of investment, which means that more businesses will be able to reduce their tax bill in the same year as their investment.

This is expected to give a quick cashflow boost to those affected and provide additional support for future investments.

However, it is important to note that this FYA does not support investment in second-hand assets, cars or leased assets in other countries.

Finally, the Government has also confirmed that small business owners will continue to benefit from tax relief on electric vehicles, as the 100 per cent FYA for zero-emission vehicles and charge points has been extended until 31 March 2027 for Corporation Tax and 5 April 2027 for Income Tax.

This gives businesses greater certainty when planning ahead, while also providing a strong financial incentive to invest by reducing tax bills upfront.

Want to make more of capital allowances?

If you think you may be eligible for capital allowances, either due to the changes outlined in this article or more generally, then it is important that you claim the tax relief available to you.

If you would like help reviewing the current capital allowances that your business can claim, please get in touch.

Directors and employees claiming work-from-home tax relief will no longer be able to claim it from the start of the new tax year – 6 April 2026.

Why is this relief being taken away?

The Chancellor announced the removal of the work-from-home relief as part of her latest Autumn Budget.

The main reasoning given for the abolition is that it will support the nation’s deficit reduction.

HMRC has also said that it no longer believes it is fit for purpose or easy to police.

Who could claim work-from-home relief?

Work-from-home relief has been utilised by homeworkers since the early 2000s, helping them offset some of the costs of heating, lighting, broadband and other home-office expenses required to complete their jobs.

The relief allowed employees and directors to claim a flat rate of £6 per week or a deduction for actual costs.

However, those who do not claim the flat fee were required to provide evidence of the exact costs, such as an invoice or bill.

Eligibility for the relief only applied to individuals who had no other choice but to work from home.

For instance, where the business did not have an office or the daily commute was not feasible. Individuals who simply preferred to work from home did not qualify.

Is there any relief still available for home workers?

The only remaining tax-free support will be reimbursements made directly by employers.

This applies only where the payments relate to demonstrated additional household costs and where the costs are incurred wholly, exclusively and necessarily for employment duties.

For anyone still claiming work-from-home relief, it is worth reviewing your position now to understand how this abolishment will impact your take-home pay.

From the end of the 2025/26 tax year, 5 April 2026, you must report your dividend income accurately as part of wider personal tax reforms.

Directors of close companies must disclose the company name, registration number, specific dividend amounts and their highest percentage shareholding on Self-Assessment returns.

Dividends from your own company must also be shown separately from other income.

Dividend tax rates for 2026/27

For the 2026/27 tax year, commencing 6 April 2026, two dividend tax rates will increase by two percentage points:

• Basic rate rises to 10.75 per cent
• Higher rate rises to 35.75 per cent

There is currently no increase for additional rate taxpayers, who will continue to pay dividend tax at a 39.35 per cent.

The annual dividend allowance also remains at £500 and applies to all rates.

Dividends continue to offer a tax advantage over salary in most cases, although the difference between the two is reducing.

Directors should review how profits are taken and consider whether the current mix of salary and dividends remains appropriate.

Who has to report dividend tax?

Dividend tax most commonly applies to shareholders and company directors.

Individuals receiving dividends outside of an ISA or pension over the £500 allowance threshold must report them to HMRC.

Anyone who receives more than £10,000 in dividends may be required to submit a Self-Assessment tax return.

Reviewing your position

If you have concerns about dividend taxation or wider financial pressures, we can review your tax position, explain the latest changes from HMRC and help you create a bespoke plan to meet your personal financial goals.

Looking to understand and protect your finances? Speak to our experts.

For landlords and sole traders bringing in qualifying annual income over £50,000 (not including profit or dividends), Making Tax Digital (MTD) for Income Tax is now mandatory.

For income to qualify, it must be earned from self-employment or property rental, exceed the threshold in a tax year and be subject to UK Income Tax.

Please note that the total income is calculated before deducting expenses, tax or allowances.

Important dates to remember

HMRC requires quarterly updates to be submitted one month after the end of each period.

For a standard tax year, the deadlines fall on:

• 7 August
• 7 November
• 7 February
• 7 May

How to stay compliant

To stay compliant, you should take each of the following steps:

• Check your income level to see if you exceed the £50,000 threshold.
• Choose which MTD compliant software to use.
• Test your reporting processes to identify any potential issues and resolve them accordingly.
• Submit quarterly updates of your income and expenses to HMRC.
• Keep digital records.
• Submit a final declaration by 31 January following the tax year end.

MTD for Income Tax will be compulsory for landlords and sole traders whose qualifying income exceeds £30,000 from April 2027 and will be expanded further to landlords and sole traders with qualifying income that exceeds £20,000 in April 2028.

If you are unsure whether you are affected by this first phase of MTD for Income Tax or have any questions about your compliance requirements, speak to our experts.

Further administrative changes are on the cards for close companies, as the Government seeks to gain a better understanding of previously difficult-to-distinguish transactions.

Close companies – those companies controlled by five or fewer participators or by their directors if those directors are participators – may soon need to disclose details of transactions with participators in order to stay compliant.

A full definition of who qualifies as a participator can be found in CTM60107, but they will generally be shareholders or directors.

A business is controlled by a participator when the participator has voting power, share capital of the company and rights to capital on winding up.

It is worth understanding which transactions may be impacted and how this could change reporting requirements.

Which reporting requirements might change?

The proposed changes will cover a range of transactions, including:

• Cash withdrawals
• Loans
• Debts
• Dividends
• Other distributions and transfers of assets to and from the company

It will exclude items that are already reported to HMRC, meaning that the changes will not result in a doubling up of administrative tasks.

To comply with the changes, close companies must provide details concerning the amount transacted, the date and the details of the recipient, including their name, address and national insurance number.

Why are these changes being introduced?

There is no guarantee that these changes will be introduced, as they are currently under public consultation.

However, there is a belief that transactions between close companies and their participators may be an area that is vulnerable to tax loss due to high levels of error and fraud.

Small businesses are seen as being particularly vulnerable to the tax gap, i.e. the difference between the amount of tax owed and the amount collected. They continue to be the focus of scrutiny and tax reform.

As these proposals are still under consultation, there is no clear indication of how and when the reports will need to be made.

The anticipated implementation will see the establishment of an annual reporting cycle that will be tied to the existing company tax return.

This should mean that the obligations will be easier to track, as they will not be an additional requirement.

Our team can help you understand your obligations and keep you updated on the outcome of the consultation.

Speak to our team to take the stress out of company tax compliance.

We love to work with ambitious businesses that stand out from the crowd, which is exemplified by Self Studio.

This thriving business is a brand and technology partner for other forward-thinking businesses and helps its clients shape, not just how they look, but how they work and grow.

By bringing brand and tech together under one roof, they create digital products, systems and brand experiences that are both beautifully crafted and highly functional.

Working with clients from London to the US, Dubai, Armenia and Hong Kong, Self Studio has built a reputation for creativity and meticulous attention to detail.

We have worked with Self Studio since the very beginning of their journey and have helped them as they have grown and evolved.

Self Studio’s founders said: “We’ve worked with Rotherham Taylor since day one. They’ve always had our back, helping us navigate complex crypto and international trading accounting.”

For us, this is exactly what a strong client relationship should look like and we are delighted to be a part of their journey.

If you are building a business with international reach or operating in a fast-moving, complex sector, Rotherham Taylor is here to help.