Vulture Funds Increase Irish Activity the Irish Independent Recently Gary Will Be Speaking at an ICMSA Highlighted an Increase Seminar in Portlaoise on 12 December

ISSUE 46 | DECEMBER 2018

a newsletter from pkffpm accountants Vulture Funds Increase Irish Activity The Irish Independent recently Gary will be speaking at an ICMSA highlighted an increase seminar in Portlaoise on 12 December. in vulture fund activity in Gary Digney For further details of the meeting, which is the Republic of Ireland noting that Director & open to all farmers and advisors, contact judgments amounting to €32.7m were Personal ICMSA’s Limerick office or email info@ entered in one eight-day period alone Insolvency icmsa.ie at the end of September The judgments Practitioner were registered by Irish-based affiliates ICMSA of major funds CarVal, Goldman Sachs fund. Whatever rights the borrower had FREE SEMINAR BREXIT and Deutsche Bank. The registering of a with the original bank they still have with BRIEFING judgment allows a fund to take steps to the vulture fund. The legal process is also pursue the borrower’s assets to clear or unchanged and the code on the mortgage & TAX partially clear the debt. arrears still applies. PKF-FPM experience Client Matters (Issue 44) previously is that judges in the Circuit and High Court MATTERS reported that Permanent TSB and Ulster tend to favour borrowers over vulture FREE INSIDE Bank plan to sell up to 25,000 mortgages funds trying to repossess Irish citizens’ Farm Loan/Mortgage to vulture funds in a move mainly driven by principal residences,” Gary wrote. Sold to Vulture Funds? Brexit: the requirements of the European Central Gary says borrowers who are not in Bank for lenders to reduce the number default should not be disadvantaged when We Can Help... managing of loans and arrears on their balance their loans are transferred to a vulture DAtE: 12th December 2018 at 8pm complexity sheet. PKF-FPM Director Gary Digney fund. VEnuE: Killeshin Hotel, Portlaoise Pg2 explained that vulture funds must appoint “For borrowers who want to sell their SPEAKERS: a regulated entity to service the loans Gary Digney, Director, ACA, Insolvency Practitioner, PIP property and reach compromising residual Keith Farry, Barrister-At-Law they acquire which includes managing debt, dealing with a vulture fund means Pat McCormack, President of ICMSA, who will also chair the meeting. Entrepreneurs' the process with borrowers in financial The ICMSA invites all farmers and advisors to avail of this unique opportunity dealing with a motivated party who to hear experts answer issues that matter to all family farms in distress. relief changes difficulties and said that vulture funds can To book yourF ree Place contact: expects a debt write off. While it is true Margaret at ICSMA on 061-314677 present an opportunity for borrowers to that for some mortgage holders whose or [email protected] Pg4 achieve a long term, sustainable full and situation is irretrievable dealing with a final settlement. vulture fund may bring forward the day Ten ways to “The contractual position between the of reckoning, that day of reckoning was Resolve borrower and lender does not change going to arrive sooner rather than later in Mediation work smarter when the loan is acquired by a vulture any event,” Gary says. Pg5

Hat-trick for PKF-FPM at Prestigious British Accountancy Awards PKF-FPM scooped FPM’s success, Tax Director three of the most Paddy Harty said, “The British s o u g h t - a f t e r Accountancy Awards attract honours at the the very best in the industry British Accountancy Awards and it is an honour to be in London in September. selected as industry leaders The only Northern Ireland in our respective fields and practice to be short-listed recognised for delivering for the prestigious awards excellence." in 2018, PKF-FPM beat Director Teresa Campbell off strong competition to said the awards reflect the win both Mid-Tier Firm of collective passion of Team the Year and Tax Team of PKF-FPM. “Indeed such the Year while Managing accomplishments have Partner Feargal McCormack further energised the team was named Partner of the for continuous improvement Year. Representing PKF-FPM at the BAA Awards were (from left) to exceed client expectations, “Never before have three Caroline Preston, Paddy Harty, Teresa Campbell, Feargal delivering excellence in our categories been awarded to McCormack, Malachy McLernon and Lauren Quinn. industry.” one firm,” commented the judging panel who said the made 2018 “the most hotly a stronger shortlist than ever. surge and calibre of entries contested year to date” with Commenting on PKF- CONTINUED OVER >>

Global Expertise with Local Knowledge 2 a newsletter from pkffpm accountants about us PKF-FPM Brexit - An Exercise in CORE VALUES • Passionately believe in caring for our clients, colleagues and Complexity Management community. Brexit will be "an exercise • Listen, understand and solve, in complexity management" to make it happen. for businesses on both • Invest in the Best! sides of the border, tax expert • Pushing out boundaries and Brian Keegan told attendees at creating opportunities. the annual PKF-FPM post-Budget • A culture of ethical business breakfast in October. The nuts and and trust. bolts of Philip Hammond's October • An ethos of positivity, Budget were dealt with by PKF- enthusiasm and fun! FPM directors Paddy Harty (income and capital tax budget outcomes), Malachy McLernon (business tax PKF-FPM implications), and Lowry Grant CORE FOCUS (Making Tax Digital) while Mr Keegan • Caring and proactivity are at concentrated on Brexit, offering the heart of everything we do; up advice and answers for the • We commit to helping you 200-strong audience. On the border, Mr Keegan pointed to Pictured at the PKF-FPM post-Budget breakfast were (from left) Brian Keegan, maximise your wealth and Paddy Harty, Irish News business editor Gary McDonald who chaired the event, lifestyle aspirations, through Niagara Falls and its location at a major Lowry Grant and Malachy McLernon. understanding you and your junction between the US and Canada. business; and "This is a border which, technologically, • We have a proven track is the most sophisticated that exists record in delivering simple anywhere in the world, between two of solutions to complex problems. the most advanced economies in the world, and yet they have queues upon queues upon queues, notwithstanding PKF-FPM that they have broad trade agreements. THREE UNIQUES When you look at those queues you (1) We ‘get’ you, and get things ask: how can anyone seriously suggest done. We foster a sense of that digitalisation or IT is going to fix the urgency, with a bias towards border ills Brexit is going to bring for us, passionate thoughtful action because it's not.” – (we’re business owners "Free movement of people is not What if the pallet is containing some sort ourselves). Mr Keegan said the withdrawal agreement being negotiated has nothing about individuals physically moving, of infestation of malignant worm that will (2) We’re different (“brave, bold to do with withdrawal or extension, but is but about their entitlement to access do damage? They're the kind of checks and gutsy”), we tell you what services and to access benefits and to we're going to have to deal with, and we think, rather than what you effectively to keep the UK de facto in the would like to hear. union until December 31 2020 for two access employment. that makes life very difficult. reasons — firstly because EU operates "And regarding the future "Indeed Brexit is going to be an (3) Acknowledged arrangement around goods, there's exercise in complexity management, independently at local, regional seven-year budgets and the current and national level as “best in one runs out on that date, so it keeps going to have to be a border somewhere and every time we kick over a stone class” with unique Cross Border the bookkeeping simpler; and also as well, and it might as well be in your we'll find another serious problem — expertise. because nobody is ready for the kind of warehouse or manufacturing plants, like the Open Skies Agreement looking checks and balances and controls that because somewhere there's going to at where planes can and can't fly, or unwinding 43 years of cooperation have have to be controls. Euratom, which impacts the transport of put in place. "Even if there are no customs tariffs, nuclear materials round health centres Mr Keegan said that regardless of there must be controls somewhere, so that cancer can be treated." talk around Chequers and backstops because the single market is about the "Inevitably there will have to be "there has to be a border somewhere". movement of standards. some form of extension and some "Where's the border for the free "For example, you might have a pallet form of future deal, but that will also movement of people? It's never going of manufactured goods, where there's mean that every single person in this to be down the road from Newry or already an arrangement where there room, whether you are an adviser or a at the airport — it's going to be with are no customs duties. But there'll still businessperson, is going to have to deal employers, in recruitment agencies, with have to be a check. For instance, what with much more complexity,” Mr Keegan social security, in the health service. if the pallet isn't up to safety standards? concluded.

Hat-trick for PKF-FPM at British Accountancy Awards

PAGE 1 CONTINUED... Consistently at the top of its game and recognised as Best year where the practice won Tax Team of the Year at the Irish in Class by its peers in both Britain and Ireland, 2018 has Accountancy Awards and was included on the Sunday Times been a phenomenal year for PKF-FPM. The recent success list of the Top 100 companies to work for in the UK. at the BAA awards comes on top of earlier successes this All details and tax data correct at time of going to press. PKF-FPM cannot be held responsible for any errors, omissions or action taken as a result of the enclosed information. PKF-FPM always recommend that you seek professional advice and consultation. 3

Family Business Seminar w

ISSUE 46» DECEMBER 2018 CAI President's Dinner

PM Visits N Ireland In July, British Prime Minister Theresa May visited Belleek, County Fermanagh on her first visit to the Irish border since the Brexit referendum. Pictured with the Prime Minister is Gerard Keenan, In his capacity as Chartered Accountants Ireland President, Feargal McCormack was honoured to host a President’s Dinner in Newry recently. Pictured at the gathering, which was attended by Parian Craftsman at PKF-FPM client Belleek CAI Council members and senior representatives of the accounting profession across Ireland, Pottery. As well as meeting political leaders, the were PKF-FPM directors (back row) Gary Digney, Seamas Keating, Lowry Grant, Paddy Harty, Prime Minister took the opportunity to speak to Malachy McLernon and Michael Farrell, and (front row) Teresa Campbell, Michelle Hawkins, Feargal businesses in the border region. McCormack, Alison Burnside and Ruari Martin.

8 P R E S I D E N T ’ S D I N N E R 2 0 1 ENTERTAINMENT

Drinks Reception rio RoI Charities Avalon T

Dinner , Patricia Treacy A recently published compliance report by the Violinist ted by Cathal Murphy Gaudeamus Chamber Choir, conduc Also attending , David Hanna Piper Charities Regulator lists a number of common the CAI Post Dinner at Piano Peter Benson issues that affect the ability of charity trustees to President’s Master of Ceremonies dinner were Dr. Brian Keegan MENU manage and control their charities. According to PKF-FPM’s this report, issues identified which relate directly I D E N T ’ S D I N N E R 2 0 1 8 Paula Kearney P R E S to trustee duties and responsibilities included CANAL COURT HOTEL, NEWRY and Lauren FRIDAY, 29 JUNE 2018 charity trustees not aware of their legal duties and www.charteredaccountants.ie Quinn. responsibilities, trustees lacking knowledge of the requirements and conditions in their charity’s governing document, decisions being made without seeking specialist advice and decisions not being documented in Board minutes. Other concerns raised in the report include Ulster University Honours administrative failings and issues related to managing conflicts of interest, internal financial Feargal McCormack controls, transparency, fundraising, and unregistered charitable organisations. Worryingly, the report also PKF-FPM’s Feargal suggests some charities are allowing one trustee, or McCormack has a group of trustees, to control the charity. The report, received an honorary published in August 2018, covers the Charities degree of Doctor of Science Regulator’s compliance activities in 2017. (DSc) from Ulster University To support our clients working in the charities in recognition of his civic sector, PKF-FPM organises regular seminars and contributions to business briefings providing updates on best practice and and society in NI and Ireland regulatory developments. If you are not already over many years and his on our mailing list and would like to be notified of highly significant contribution forthcoming events, please contact a member of to the development of Ulster our team. University’s Business School where Feargal has fostered links with leading business figures. Of particular note is the role Best Practice Advice that Feargal has played in for NI Charities facilitating the now annual PKF- FPM Ulster University Business Feargal at Graduation Ceremony with wife Anne and son Ruairi Earlier this year (March 2018), the Charity School Leadership Talk which, Commission for Northern Ireland published over recent years, has brought McCormack confounds these role as Non-Executive Director guidance to help charity trustees comply with their addresses by Denis O’Brien, Dr perceptions with his warmth, of the all island body InterTrade legal obligations and best practice. Martin Naughton, Sir John Parker, generosity of spirit and a counter- Ireland, past member of Council "Running your Charity" provides useful advice Willie Walsh, Anne Heraty and balancing emotional intelligence. of the CBI (NI), and Patron of in five key areas - duties and responsibilities of Padraig McManus to more than His life-long mantra is ‘I don’t care Special Olympics Ireland — all of charity trustees; the public benefit requirement 2,000 members of the business how much you know until I know which reflect the esteem in which (a legal requirement under the Charities Act community in Northern Ireland. how much you care.” Feargal is held personally and (Northern Ireland) 2008 that all charities must have In an encomium, Ulster Ulster University also professionally, and the breadth charitable purposes that are for the public benefit); University praised Feargal’s acknowledged Feargal’s very and depth of his influence, skill finance, funding, reporting and accountability; commitment to enabling the lives prominent roles as the President and achievement nationally. governance; and risk and insurance. The purpose of others and being a role model of Chartered Accountants Ireland, Responding, Feargal of the guidance is to provide general information who extols the virtue of kindness. (the leading professional body for McCormack said it was a great for existing trustees and/or individuals who may “In an industry often perceived Chartered Accountants in Ireland), honour to receive the degree be thinking of becoming trustees of charities in as hard-edged, highly commercial his membership of the Management and spoke of his pride in being a Northern Ireland. and advocating a very ‘black and Committee of Ireland’s Gaelic visiting professor at the business white’ business model, Feargal Athletic Association (GAA), his school. 4 a newsletter from pkffpm accountants

Ireland - PAYE Modernisation Revenue’s new PAYE regime (PSR) which will be used to submit comes into operation on payroll information to Revenue for each 1 January 2019. PAYE pay period. Modernisation is the biggest change The RPN can be requested from to the PAYE system since the 1960s ROS or most payroll software will do it yet only around 11,000 employers automatically for each payroll run. The have engaged with Revenue so far PSR needs to be submitted to Revenue which means there is a real risk on or before each pay period. of some employees suffering harsh There should be no changes to Family Business emergency tax in the January payroll. payment dates under the new PAYE Seminar Employers need to prepare regime. Revenue will issue employers now. PKF-FPM recommends that By Caroline Murphy with a monthly statement on the fifth employers review payroll processes, Pictured at a PKF-FPM Senior Manager, PKF-FPM day of the month after each PSR is ensure all employees are registered with breakfast seminar for family submitted and employers will have until Revenue, check that they have correct businesses at the Grand Hotel employment. The reports must be the fourteenth of the month to make any PPS numbers for employees and are Malahide in October were submitted to Revenue on or before the necessary adjustments. using up to date tax credit certificates. Fingal Business Chamber’s wages/salaries are paid. This means no Revenue have an extensive P45s should be issued for employees Vice President Bill Kearney and more P30’s, P60’s, P45’s or P35’s. At the programme of engagement in place and who no longer work for the employer. David Brannigan with Feargal year end, employees can access their are encouraging all employers to make Revenue has asked employers to submit McCormack. At the event, certificate of earnings and deductions contact as early as possible if they have a list of employees through ROS if they Feargal shared PKF-FPM’s from Revenue via MyAccount. any issues. They have indicated that they have not already done so. experience of working with family PAYE Modernisation introduces will be supportive in the early days of the businesses to implement best The new system introduces real time some new terminology which employers new regime and will have additional staff business practice and plan for reporting which requires employers to will need to become familiar with. on their Employer Helpdesk. future business succession. report to Revenue each time the payroll This includes the Revenue Payroll PKF-FPM’s payroll team is on hand is run. The information to be provided is Notification (RPN) which will replace the to provide further information and pay (including Benefits-in-Kind), tax and current tax credit certificate (P2C) and support for clients. Email payroll.roi@ other deductions, as well as details of should be available from mid- December pkffpm.com or call (01) 6913500. Removing the any employees leaving or commencing and the Payroll Submission Request Corporate Veil In the recent Budget the Government confirmed its intention to introduce new Joint Presidents' legislation in 2019-2020 to further protect the position of HMRC in insolvency. This follows on from Luncheon an HMRC April 2018 paper which Pictured at a Joint Presidents’ Luncheon at Titanic Centre in outlined concerns about the Belfast recently were Tracy Easman, President, Association of abuse of insolvency procedures Taxation Technicians; Feargal McCormack, President, Chartered to avoid or evade taxes and Accountants Ireland; Ray McCann, President, Chartered Institute of the repeated accumulation of Taxation; and Malachy McLernon, Chairman of the Northern Ireland Branch of CIOT/ATT. tax debts without payment by running them through successive corporate entities (phoenixism). The new legislation will ensure that Directors and other persons Changes to Entrepreneurs' Relief involved in tax avoidance, In the recent years prior to the date of is that where an individual evasion or phoenixism will be Budget, Chancellor the disposal, rather than the holds enterprise management jointly and severally liable for Philip Hammond current requirement for one incentive share options in company tax liabilities where set out plans for a number year. This change will apply their employing company the there is a risk that the company of significant changes to to disposals on or after 6 two-year rule applies from the may deliberately enter insolvency. Entrepreneurs’ relief. This April 2019. An exception to ‘date of grant’ of the options, relief allows a reduced tax this rule is where a business not the ‘date of acquisition’ rate of 10% to be applied ceased to trade before 29 of the shares. EMI options to profits arising on the October 2018 — in this are not subject to the 5% HMRC Returns disposal by an individual situation, the one-year period restriction rule so, in certain to (Partial) or trustee of a qualifying will continue to apply. circumstances, awarding business asset. By Janette Burns The third and final change shares via share options Preferential Business owners and Associate Director applies in situations where might give individuals an Status at advisors breathed a a shareholding is diluted to incremental benefit compared collective sigh of relief as required to hold at least 5% of below the 5% shareholding to if they were to own shares Expense of Hammond extolled the the voting rights and to have test as a result of genuine directly. This could make Unsecured virtues of Entrepreneurs’ been an employee or office commercial reasons, such as share option schemes an relief and made it clear that holder of the company. The the exercise of share options attractive option for many Creditors the Government intends individual was only required or the acquisition of shares companies. A significant change to to continue to encourage to own 5% of the ordinary by third parties. If this occurs, The new legislation will the status of HMRC debts in business investment by share capital, tested by Entrepreneurs’ relief will be mean that shareholders need insolvency was announced in retaining this relief for the nominal value of shares, with retained on the growth of to continuously monitor their the shares up to the point equity ownership and pay the recent Budget. From April private investment sector an entitlement to 5% of the of dilution. The shareholder particular attention to special 2020, when a business enters of the economy. With the voting rights. This definition reduced tax rate of 10% has now been expanded so can then elect, if desired, for classes of shares currently insolvency, funds will be paid to the notional gain arising at in issue such as employee HMRC in their new ‘secondary’ and a lifetime limit of £10 that the shareholder must also have a 5% interest in the date their shareholding shares, preference shares preferential status rather than to million remaining intact after the distributable profits and fell below 5% to be deferred and growth shares. Also, other unsecured creditors. This the Budget announcements, assets of the company at until such time as the shares equity arrangements will now will apply only to taxes collected this relief continues to be very attractive, despite three the time of the disposal of are sold. This effectively need to be reviewed well in and held in trust by a business shares. The change applies locks in and protects the 10% advance of a potential sale to (i.e. VAT, PAYE, EE NIC, CIS). important changes to the current rules. from 29 October 2018. tax charge. This change is determine if Entrepreneurs’ Corporate Tax and ER NICS will due to apply to disposals of relief is available under the continue as unsecured creditors. The first change affects the A second change affects the period for which the qualifying shares taking place new rules. This will significantly reduce the disposal of shares in a trading qualifying conditions must be on or after 6 April 2019. For more information, return from liquidations to the company or the holding company of a trading group. met. In future, the conditions An interesting point to note email [email protected] usual trade creditors in the event for Entrepreneur’s relief regarding the uplift to a two- of insolvency. Up to now, a shareholder disposing of shares was must be met for at least two year ownership requirement

We do appreciate referrals... 5

ISSUE 46» DECEMBER 2018

Dublin Charity Seminar Chief Executives from Dublin’s top charities recently attended a highly engaging event in the City North Hotel hosted by PKF-FPM in conjunction with the Charities Regulator. Pictured above at the event were Tom Malone, Charities Regulator (left) with Joe Saxton, CEO, nfpSynergy (centre) and PKF-FPM’s Lowry Grant. Ten Ways to Work Smarter It’s all too easy to ‘fire-fight’ your way through the day, rushing from one crisis to the next. We call this spending too much time working ‘in’ the business and not enough time working ‘on’ it. It’s a common problem and, unfortunately, By it’s bad for your business and can adversely Teresa your health as well as your personal and Campbell financial wellbeing. The question is, how do Director you break the cycle? PKF-FPM

10 ways to work smarter, not harder... 6: Prioritise customer care. A happy customer is easier to manage than a dissatisfied one World Congress 1: Know your strengths and weaknesses and repeat business is easier to find than of Accountants and learn to delegate. No one is a master new customers. of all trades. Recognise that there are Feargal McCormack attending the World Congress some tasks which others can carry out 7: Discourage gossip. Office politics creates of Accountants in Sydney along with Barry more effectively or efficiently than you disharmony and is time consuming and Dempsey, Chartered Accountants Ireland Chief can. Where possible, you should delegate expensive if it culminates in disciplinary Executive. these tasks. problems. 2: Seek independent feedback to sense- 8: Use technology to make life easier but check your decision making. This could choose your systems wisely keeping in be as simple as seeking advice from your mind that third party suppliers bring with accountant or it could mean appointing them risks that could impact your reputation an independent board member with if things go wrong. experience and knowledge of your sector. 9: Optimise your work processes, eliminating 3: Eliminate distractions. Learn to manage duplication and time wasting. demands on your time including limiting 10:Foster a culture of continuous improvement social media and email interruptions. and trust where people are comfortable 4: Consider outsourcing functions such as owning up to their mistakes and learning from them. PKF Sydney Meeting HR, payroll and accounts so that you Kym Reilly and Scott Tobutt from PKFSydney can invest your time in more profitable hosted a meeting with Sandy Manson, Managing To find out more about PKF-FPM’s activities. Partner PKF Johnston Carmichael and President of leadership advisory and mentoring services, the Institute of Chartered Accountants of Scotland 5: Be open to learning. Look for new ways to please contact a member of our team. innovate and become more efficient. and Feargal McCormack.

Flat rate Expenses (RoI) Following a review for over 150 categories of the trade union Mandate and carried out by employments and more than Chartered Accountants Ireland Revenue earlier this half a million workers. The have criticised the changes. year, the flat rate allowance for allowances contribute towards Note that employees can many PAYE workers is to be the cost of tools, uniforms and submit a claim to Revenue cut with effect from 1 January stationery for PAYE workers. for tax relief on expenses PKF Melbourne 2020. This means that for From 1 January 2020, shop incurred wholly, exclusively and Timothy Bow, Managing Partner of PKF many employees, any benefits assistants, agricultural advisers, necessarily in the performance Melbourne tells Feargal how well PKF Melbourne provided in the 2019 Budget cardiac technicians, journalists, of the duties of their employment, and PKF Australia are doing during a recent visit will be wiped out. professional values and freelance where these expenses are not to Melbourne. Up to now, flat rate expenses actors will no longer be able to reimbursed by their employer. allowances have been available claim flat rate expenses. Both 6 a newsletter from pkffpm accountants

Tax Relief for Employers Assigned to Work in Ireland Ireland’s Special Assignee Relief SARP - Employee Requirements Programme (SARP) You may be eligible to claim SARP relief if: provides income tax relief Managing for certain people who are • You arrive in Ireland in any of the tax years 2012 assigned to work in Ireland – 2020 at the request of your employer, to perform Talent Award from abroad. duties in Ireland for that employer (or with an Members of TEAM PKF-FPM The programme, which aims associated company of that employer). celebrating at the Irish News to encourage the relocation • Immediately before being assigned to work in Awards in June where PKF-FPM of key personnel within Ireland you worked outside Ireland for a minimum won the Managing Talent award. organisations into Ireland, has of six months for the employer who assigned you to been extended to include those work in Ireland. arriving in Ireland during the By Caroline Butler • You perform duties for a minimum of 12 2018, 2019 and 2020 tax years. Senior Manager, PKF-FPM consecutive months from the date you are first The relief is available for up to assigned to Ireland. five consecutive tax years from employee arriving in Ireland to first arrival in Ireland subject take up duties. • You were not tax resident in Ireland for the five tax to meeting certain conditions In recent times. Revenue years immediately preceding the year you arrive in (see panel). have applied a strict approach Ireland to take up employment. Employees who qualify for to this 30-day deadline and • You are tax resident in Ireland for all years for the relief may also be entitled will only approve applications which you claim the relief. to receive, free of tax, certain after this deadline in very • You earn a minimum basic salary of €75,000 travel expenses and costs exceptional circumstances. per annum. This amount excludes all bonuses, associated with their children’s Both employers and their commissions or other similar payments, benefits or 237 New education. employees who wish to avail of share-based remuneration. SARP relief should be mindful Jobs at APPLYING FOR SARP of Revenue’s updated practice If you are entitled to the SARP relief, you can make RELIEF and put in place measures a claim to have a proportion of your earnings from Statsports Employers should send to ensure that SARP relief is the employment disregarded for income tax. The PKF-FPM client Statsports a Form SARP 1A for each claimed on time. proportion is 30% of your income over €75,000. recently announcd plans to employee to their Revenue However, you will still be due to pay Universal Social For more information, Charge (USC) on this amount. create 237 new jobs in Newry Office within 30 days of the contact [email protected] over the next five years with the support of InvestNI. This investment will generate over £7 million in additional annual salaries for the local economy.

Award for SiSaf in CGDM Around Kukoon Partnership £500k Noon PKF-FPM client Kukoon Rugs, who ship thousands of rugs worldwide every week to with Croda Investment Expansion around 30 countries, won the PKF-FPM client SiSaf Ltd, Work is due to start shortly PKF-FPM client Around Small Business of the Year a commercial stage bio- on new offices at Carnbane Noon, who employ award at this year’s National pharmaceutical company Business Park, Newry for over 300 people across Family Business Awards in July. pioneering bio-courier technology PKF-FPM client, CGDM Construction manufacturing facilities in Newry Pictured collecting the award which is a novel method of drug who are investing more than £500,000 and London, have launched an is Head of Customer Service, delivery offering exceptional safety and creating 10 new jobs. innovative new food-to-go range Roisin Molloy. and versatility, has increased Invest NI has offered £74,000 of as part of a multi-million-pound per its interim funding to $6.8 million support towards the creation of these annum partnership with Henderson following a new strategic partnership jobs and marketing activities. Founder Wholesale. with FTSE-100 listed company Croda. and Managing Director Cathal Grant, Pictured are Gareth McAnlis from In May, SiSaf closed a $4.3million who set up CGDM in 2010, was recently Henderson Wholesale with Around interim funding round led by Vickers named Businessperson of the Year in Noon Sales Director Philip Morgan. Venture Partners with additional capital the Aer Lingus TakeOff Foundation injections by Invest NI and Innovation Business Awards in London. Ulster Limited.

New Kit for Kellys Community Warrenpoint company Kellys Plant Hire has recently invested in more new machinery with the purchase of Store Award six Manitou forklifts from Northern Lift Trucks NI Ltd. PKF-FPM client Mulkerns The latest purchase takes PKF-FPM client Kellys Plant Hire Eurospar Newry celebrate investment to over £1m in the last two years. winning the Community Store of the Year award at the Neighbourhood Retail Awards in October. 7

IVAs Rely on Debtor Honesty ISSUE 46» DECEMBER 2018 In January 2018, a alleged were only of nominal private prosecution value. of an IVA debtor by In reality, the company had a creditor resulted in the considerable value, however the debtor’s conviction for making debtor did not own the shares. false representations in an IVA The debtor absconded on proposal, contrary to section the last day of the trial and, 262A of the Insolvency Act in his absence, received a 1986. custodial sentence of 12 months The debtor had advised that he By Alison Burnside, suspended for 12 months and a had no assets of any value for the fine of £10,000. benefit of the unsecured creditors PKF-FPM Business Recovery & Insolvency Director IVAs should always be fit, fair and that a family member would and feasible to both the creditors lend him £100,000 in order to and debtor. If you have any offer a projected dividend of higher than those reported to concerns about an IVA proposal approximately 1.29p in £. the IVA as were the assets of that you have received, then Women in Industry The IVA proposal was not a company where the debtor please do not hesitate to contact PKF-FPM Director Teresa Campbell pictured with accepted. The debtor’s liabilities purported to be the 100% [email protected]. students and staff of St Marys High School, Newry were found to be significantly shareholder and which he had during a recent Women in Industry & Business Insight event organised as part of an Area Learning Community Careers Event involving seven schools. Novosco Announces New Jobs in 20m Expansion Up to 150 new jobs are to be created by PKF-FPM client, Novosco, as part of a £20 million expansion project. Invest Northern Ireland is contributing over £1.2m towards the creation of 114 of the new roles which will be based at Novosco’s Belfast headquarters. Danske Bank is providing finance for the capital investment required to support the company's expansion and continued Invest NI Chief Executive, Alastair growth. The new jobs will include IT infrastructure engineers, Hamilton with Patrick McAliskey, service delivery roles, project managers, cloud experts and cyber PKF-FPM Director Malachy McLernon pictured with Managing Director of Novosco security specialists. TEAM PKF-FPM staff members at the CIOT dinner. CIOT Annual Dinner The Chartered Institute of Taxation’s Annual Dinner Gecko Launches on 9 November 2018 saw150 tax professionals from across Northern Ireland gather to celebrate another successful year. Speaking at the Compliance dinner, PKF-FPM’s Malachy McLernon, Chair of CIOT’s Northern Ireland Branch, welcomed the Solution Chancellor’s Budget which he said brought a boost Following approval by for business against the backdrop of continuing the Isle of Man Financial Brexit talks. Services Authority, PKF- “The Budget announcements to encourage FPM client GECKO investment, including the raising of the Annual Governance has launched Investment Allowance from £200,000 to £1m, are a new compliance solution, particularly welcome.The Chancellor recognised GECKO Crypto1 which will offer the enormous contribution enterprise has made to enhanced levels of transparency Milestone balancing the UK’s books through jobs, pay and tax and accountability to platform- and responded to many of the recommendations users within the blockchain Success that businesses have made. However, there is no industry. Co-founder and CEO Shane Brett has said PKF-FPM client Milestone hiding from the dark clouds of Brexit uncertainty." the current lack of governance standards within the Rathfriland picked up an impressive Malachy said. ICO market is a barrier to the continued growth of the four awards including the headline global blockchain ecosystem and may even become award for Retailer Of The Year at the NI a point of failure. GECKO aims to bring transparency, Retailer Awards. Ann and Tom McAvoy, accountability, and reliability to the ICO market – Milstone Rathfriland pictured with Paul Hoy, facilitating its maturation into a scalable and secure Managing Director, Quick Cash (second from industry in which to do business. left), Adrian Logan (left) and Meagan Green.

MJM Raises £160k for Local Charities Cruise ship fit-out specialists MJM Group, a PKF-FPM client, turned the historic refit of the Azamara Pursuit into a fundraising extravaganza by partnering with ship owners Azamara Club Cruises and EY Entrepreneur Of The Year to organise a Australian Alumni mini-cruise and auction on board the newly- Pictured with Feargal McCormack recently at a New Kit for Kellys refurbished cruise liner. Chartered Accountants Ireland networking event in MJM Group Chairman, Brian McConville, who Sydney, Australia were PKF-FPM Alumni Deborah is an Alumnus of the EY Entrepreneur Of The Year Hansen (nee McKernan) and Katie McBurney (nee programme, joined forces with EY and Azamara Dunbar). Club Cruises to host the once-in-a-lifetime mini- cruise which raised £160,000 for local and national charities nominated by the three partners. 8 STAFF FOCUS

ISSUE 46» DECEMBER 2018

Succeeding with Challenge Island Tommy Bowe Currently ranked 1 interaction. Events centre around team’s enthusiasm as they took TEAM PKF-FPM members pictured with Tommy in Northern Ireland four main themes — Fun, Family, on a mix of physical, mental Bowe and Gavin Kennedy at a Bank of Ireland and 64 in the UK by Giving and Awareness. and skill activities designed to "Succeeding In Your Game" event in October. the Sunday Times Top 100 In our most recent outing, provoke self-analysis within Companies to Work For, TEAM PKF-FPM took on groups, discovering how to work PKF-FPM places significant ‘Challenge Island’ wearing and grow together to achieve emphasis on fostering a their new O'Neills sportswear, better results — skills easily positive working culture and an event similar to the famous transferable into the workplace rewarding the team for a job Crystal Maze only bigger, more where the Team are achieving well done. fun and with 24 activities taking ‘Best-In-Class’ client solutions. We strive to achieve a family place over 16 acres in Carlingford The day concluded with a atmosphere through a range of Adventure’s Skypark. celebratory meal and the winning team experiences that promote Not even a yellow weather team members were presented camaraderie, health and warning could hold back the with PKF-FPM crystals.

Master Stroke PKF-FPM’s Patrick McKenna won the First Class overall competition for the Derrick Welcome! W Pratt Memorial Cup at this year’s Feargal McCormack PKF-FPM has recently welcomed new staff Chartered Accountants Ireland Golf congratulates PKF- members on our 2018 Trainee and Placement Society outing at County Sligo Golf FPM’s Kathryn Mussen Spooky Fun... Student intake. Pictured (from back) are Caoimhe Club in Rosses Point. This was the on achieving a First Team PKF-FPM fundraising for NI McCourt, Shea Duffy, Ciara McFerran, Amanda 65th consecutive year that the annual Class Honours degree at Children’s Hospice and having fun Crozier, Emma Maginn, Alex McKee, Ciara McKee, outing has been held at the club. the University of Ulster. in the process! Gemma Goan, Nathan Magee, Seana Harley- Moyes, Kathryn Mussen, Ciara McCullagh and Lee McClelland.

Best Team Congratulations to PKF-FPM client Rory Best who 300 miles for Action Cancer captained Ireland to a historic 16-9 victory over the PKF-FPM Director, 3,600ft. The team experienced Newry’, mounting their saddles All Blacks on Saturday 17 November at the Aviva Lowry Grant, took many ups and downs (literally for a 30-mile cycle led by Stadium. Rory was recently honoured by Queens on the challenge of too many hills to count) in Directors Feargal McCormack University with an honorary doctorate recognising his a lifetime in July cycling 300 addition to numerous cramps and Paddy Harty. contribution to sport. He is the only Ulsterman to have miles from London to Paris for and mechanical issues, but their Action Cancer presented 100 caps for Ireland and has captained them to their local charities, Action Cancer spirits remained high thanks to Lowry with a special ‘Hero on a highest ever world ranking. Rory also received an and Women’s Aid Armagh the generosity and support of Mission’ award at their 2018 Shop OBE in November. Down. clients, colleagues, family and Challenge Gala in November The challenge involved 4 friends. where it was revealed that the intense days of cycling in heat Team PKF-FPM lent additional Store Challenge 2018 raised a of up to 32’C and climbs of up to support with their own ‘Tour de superb £68k total.