If you use your home for business purposes, rent out parts of your home whilst you are still in residence or if you rent out your home while you are resident elsewhere, you may need to consider the tax consequences. This article covers some of the tax issues that you may need to consider:   Use of home for business purposes   If the amount of space you use

  The latest Finance Act has retained the 28% CGT rate for sales of residential property, whereas the general rate was reduced to 20% for higher rate taxpayers.   It has been suggested that it is possible to reduce the rate from 28% to 20% by deferring the gain temporarily into qualifying EIS company shares.   The tax planning opportunity arises because reinvesting the property gain in Enterprise Investment Scheme

  A reminder, that if either parent’s income exceeds £50,000 this will affect eligibility for Child Benefits.   A tax charge, known as the ‘High Income Child Benefit Charge’ (HICBC), is payable if a parent has an individual income over £50,000 and:   either parent claims Child Benefit, or someone else gets Child Benefit for a child living with a parent and they contribute at least an equal amount towards

  If you leave your entire estate to charities, will you be turning in your grave if disinherited relatives mount a challenge to break your last will and testament, and succeed?   In a 2015 case heard by the Court of Appeal, a disinherited daughter challenged her deceased mother’s Will.   The background to the case is illuminating. The daughter had not been in touch with her mother since she

  One of the main reasons that individuals voted “leave” was to restore fiscal sovereignty to the UK so that we are able to set our own laws, in particular tax law, without interference from Brussels.   Significant tax changes currently require “State Aid” approval and we have seen many recent tax changes forced on us by the EU such as the extension of Furnished Holiday Letting treatment to EU

  ISA investors may be interested to read the following guidance issued by HMRC regarding the transfer of ISAs from one provider to another.   What you can transfer   You can transfer a cash ISA to another cash ISA with a different provider. You can do the same with stocks and shares ISAs. You can also transfer a cash ISA to a stocks and shares ISA or vice versa.

18

Jul 2016

Sooner or later?

  Is it better to file your Self Assessment tax return as soon as possible after the end of the tax year?   You are not obliged to file your tax return for 2015-16, online, before the 31 January 2017. However, if you leave the process of completing your return until close to this date, it will not give you much time to calculate and fund the amount of tax

  There has been much press commentary regarding the extra 3% Stamp Duty Land Tax (SDLT) and the 3% Additional Dwelling Supplement (ADS) – part of the Land and Building Transaction Tax in Scotland – that applies to the purchase of a second residential property by individuals in the UK from 1 April 2016.   Home owners should be wary as this can more than triple the initial Stamp Duty

  For the tax year 2016-17, most taxpayers are entitled to claim a tax-free personal allowance of £11,000 from their taxable income. The maximum income that can be taxed at the basic rate of 20%, after the personal allowance has been deducted, is £32,000.   Accordingly, if your total income is £43,000 or below you will only pay Income Tax at the basic rate. Any income earned in excess of

  In a further bid to encourage savings for a first property purchase, or retirement, a new ISA is being launched from April 2017 – the Lifetime ISA.   It will be available from April 2017 for adults under the age of 40. They will be able to contribute up to £4,000 per year, and receive a 25% bonus from the government.   Funds from the Lifetime ISA, including the