As a director who is borrowing money from your company, it is imperative that you fully understanding how to treat the interest charged on the loans. Loaning money from the company can be a useful bonus, but there are two tax charges which can apply when you lend money to a director (if they… Read more »
Posts Categorized: Friday Tax Tip’s
Transferring Assets to your Spouse – Is it tax avoidance?
Tax rules have changed considerably over the years. In 1936 the House of Lords famously ruled that “Every man is entitled, if he can, to order his affairs so that the tax is less than it otherwise would be”. But in 2013 the General Anti-abuse rule was introduced. This has given HMRC the power to… Read more »
Can you claim VAT on staff entertainment?
Find out if you can claim VAT on staff entertainment. Entertaining is categorised as business entertainment and therefore the cost isn’t tax deductible. There is an exception to this rule as staff entertainment can be tax deductible. The cost of entertaining staff includes costs relating to the director shareholders. HMRC extends this to all business… Read more »
Breakfast, Lunch and Dinner paid by the Tax Man
Breakfast, Lunch & Dinner paid by the Tax Man HMRC have set scales rates which can be used to reimburse employees without the need to check or retain employee’s receipts. However, you should always retain the receipts for your own records.The following allowances represent the amounts that you claim from the tax man. Breakfast… Read more »
Trust Issues with Bank of Mum & Dad
With parents having a lack of trust in potential in-laws they are reviewing the use of cash payments to children for house purchases. Instead they are looking at will trusts and putting boundaries in place with regards to cash deposits. Bank of mum and dad are effectively one of the nation’s biggest mortgage lenders to… Read more »
How To Reduce Inheritance Tax
Inheritance tax is charged on the value of an estate at death, but can also be charged on transfers made. There are various reliefs available on chargeable assets. Assets in an Estate Care needs to be taken on the assets in an estate. Some assets are exempt from inheritance tax and need to be held for a minimum period before… Read more »
Tax Deductible Expenses For Landlords
Expenses will be treated as revenue expenditure provided they are incurred wholly and exclusively for the purposes of the business and are not of a capital nature. The commonly incurred expenses in a rental business are as follows:- Replacement of Domestic Items Wear and tear allowance was scrapped in April 2016. Landlords are now able… Read more »
Pension Contribution Rises
The minimum contributions that employers and their staff must pay into their automatic enrolment workplace pension scheme has increased from 6th April 2019. All employers with staff that are enrolled in the workplace pension scheme must ensure that they are implementing the changes and that at least the new minimum amounts are being paid… Read more »
Private Company Shares Owned By Children
Children can hold shares in a private company in England and Wales. There is no statutory provisions prohibiting a child below the age of 18 from owning shares. Â Benefits of Allotting Shares to Children Some family owned private companies tend to allot shares to children as a means to providing them with: Capital Assets which… Read more »
Tax Benefits Of Working From Home
There are generous tax reliefs which employees and self employed can claim when they work from home. Certain conditions must be met in order to qualify for the tax relief:  Self Employed Working From Home There are flat rate allowances which a self employed worker can claim. The allowance is based on the number of hours worked… Read more »