Posts Categorized: Friday Tax Tip’s

Tax Efficient Tips For 2018/19

The dividend allowance has been reduced to £2,000 from 6 April 2018, coinciding with the annual shifts in personal allowance and basic rate band. All these changes will have an effect on owner-manager individuals.     PERSONAL ALLOWANCE The personal allowance for 2018/19 is £11,850 and the basic rate band is £34,500. This means that… Read more »

Tax-Free Company Vehicle

Company cars are becoming increasingly expensive from a tax and National Insurance point of view, especially if private fuel is provided. Moreover, the salary sacrifice scheme for taxable benefits for cars ceased in 2017.   In order to save tax, you should consider purchasing a company van instead. CAR or VAN Generally, a vehicle is considered a… Read more »

Entertaining Claims

Employers who cover the costs of their employees providing entertainment for clients have certain tax, National Insurance and reporting obligations. Here are some of the things you need to know: Tax Deduction in Business Accounts Entertaining expenditure is disallowed as a deduction for tax purposes. However, staff entertaining which is not treated as ‘entertaining’ for tax… Read more »

Invest In Kids To Save Inheritance Tax

Investment in shares in an unquoted trading company including AIM shares are exempt from Inheritance Tax, after a two year holding period. This is attractive but taxpayers should also be looking at other investments closer to home that can save them substantial Inheritance Tax.     There are Inheritance Tax planning opportunities associated with investing in one… Read more »

3 Ways To Reduce Stamp Duty Land Tax

There are several ways to reduce Stamp Duty. Here are some of the examples:     1. Commercial Property Purchase of commercial property results in lower Stamp Duty compared to residential properties of the same value. 2. Mixed-use Property A mixed-use property, wherein it has both residential and commercial aspects, attracts lower rates of Stamp Duty. The 3%… Read more »

Avoid The Additional 3% SDLT On Property Purchase

  The additional 3% Stamp Duty Land Tax surcharge has been implemented since 1 April 2016. Therefore, if you own more than one residential property then you have to pay 3% more stamp duty than would be applicable based on normal rates. There are various scenarios that require careful planning to avoid paying the additional 3%… Read more »

Wages Whilst On Jury Service

During jury service there is no statutory entitlement for an employee to be paid by his employer, unless there is a clause in their contract regarding such a situation.     Employees are however entitled to claim allowances from the court to cover travel and subsistence costs whilst they are on jury service. They can also claim a financial… Read more »

Tax Efficient Children’s University Fees

The cost of going to university and living away from home can come up to £20,000 per year. Because students usually don’t have enough time to get a decent job to cover their expenses, the bills often fall to Mum and Dad. Mum and Dad are often higher rate taxpayers. Therefore, it will cost them £33,333… Read more »

Dodgy Excuses And Expense Claims

Every year, following the 31 January Self-Assessment deadline, HMRC exposes a number of interesting excuses for not completing tax returns online. The most interesting ones are the following:  Late Filing Excuses I couldn’t file my return on time as my wife has been seeing aliens and won’t let me enter the house. I’ve been far too… Read more »

January Tax Return Traps

The deadline for filing a paper tax return has already passed. However, you still have a few weeks to submit your online tax return. This needs to be filed by midnight on 31 January 2018.   You need to file a self-assessment tax return if you: are self-employed earn more than £100,000 a year have… Read more »