The tax year 2017/18 is the first tax year wherein cash basis applies by default to unincorporated property business with annual rental income of less than £150,000. Cash basis essentially takes account of money in and money out when preparing accounts. This means that sales are taken into account in the accounting period… Read more »
Posts By: ilyas Patel
Plug In Car, Van & Motorcycle Grant
Grants are available to UK registered low emissions vehicles. These are available for cars, vans, motorcycles & mopeds, taxis, and home and work recharging points. To qualify for the grant, your vehicle must emit less than 75g CO2/km and must meet specific performance and safety criteria. Category 1 Cars: CO2 emissions of less… Read more »
New Rules For Landlords
New legislation for landlords will come into effect on 1 October 2018. This will bring more properties into the category of “multiple occupation housing” wherein five or more people from two or more separate households live in one property. The new legislation is for HMRC to clampdown on landlords letting out overcrowded and inadequate properties…. Read more »
How To Reduce Your Tax Bill
Here are some quick “hits” on how to reduce the amount of tax you are assessed on. For example: 1. Switch To Tax-Free Savings If the interest you receive from savings in your standard savings account is more than the new personal savings allowance (£1,000 for basic rate taxpayers, £500 for higher rate taxpayers),… Read more »
Minimise Your Capital Gains Tax
Minimise the amount of Capital Gains Tax with these tax busting tips: 1. Transferring Assets If you are married or in a civil partnership, you should consider transferring assets into joint names. By doing this, you and your spouse or partner can both make use of your tax-free allowance of up to £23,400… Read more »
HMRC Issues Letters Warning of Overseas Investigation
Thousands of taxpayers are receiving HMRC letters warning them to disclose information of undeclared foreign income by 30 September. Otherwise, they will face penalties. Undeclared assets could include savings accounts, debts owed, government securities, and rights or intellectual property. To further eradicate tax evasion, HMRC is putting together more than 3,200 with over 100 countries…. Read more »
More Than £41,000 Tax Free !
We have worked out that you could earn income of up to £21,040 tax free for the tax year 2018/19. You could also take advantage of another £21,200 tax free allowances and reliefs. Here’s how you can maximise your tax-free earnings: Example 1 Each year, you are able to earn a certain amount… Read more »
Marriage To Reduce Tax Liability
Marriage allowance is a way for couples to transfer a proportion of their individual Personal Allowance between them in a tax-efficient manner. Criteria The couple must be either married or in a civil partnership. Living together is not sufficient for the allowance to be claimed. One partner needs to be a non-taxpayer. This… Read more »
Buy-To-Let Tax Change
There has been an increase in the number of landlords who are incorporating or setting up a private limited company in order to avoid the negative impact of changes to the buy-to-let tax regime. Due to this, mortgage lenders are now offering more fixed products that are tailored to limited company landlords. There are 235… Read more »
Business Splitting As An Opportunity
Business splitting takes place when two business trade independently of each other under different legal entities. This could mean that neither businesses could exceed the VAT registration threshold. For example, a computer consultant decides to form a partnership with her wife for the activity that relates to buying and selling computer hardware. He then decides to keep the… Read more »