With the 31 January tax return deadline just around the corner, HMRC has revealed the ‘Top 10 oddest excuses’ for sending in a late return. The following bizarre, exotic and flimsy excuses have all been used by tardy taxpayers: My pet goldfish died (self-employed builder) I had a run-in with a cow (Midlands farmer) After.. read more →

A look, with working examples, at pre-letting expenses and the issue of whether repairs are a capital or revenue expense. Profits from UK land or property are treated, for tax purposes, as arising from a business. The broad scheme is that rental business profits are computed using the same principles as for trades (ITTOIA 2005,.. read more →

23 Mar 2016
March 23, 2016

The Budget

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Some of the key announcements in the Spring 2016 Budget : Residential Landlords A number of changes happening: First, the 10% wear and tear allowance on furnished properties goes from April 2016, to be replaced with a deduction for actual repairs and replacement costs incurred. Secondly, starting from 17/18 and tapering over four years, relief.. read more →

Since the recent announcement of various changes to the taxation of unincorporated property businesses, there has been renewed interest in incorporation: would it be possible to shelter property income and capital gains inside the lower Corporation Tax regime? Unfortunately, this apparent quick-fix for property business owners is fraught with dangers for the unwary. For example:.. read more →

Just a quick friendly reminder that very soon after Christmas comes – chucking out dying trees, returning unwanted gifts, decluttering baubles and… preparing for the 31st January tax deadline! While you’re taking time off work, this could be an ideal opportunity to get your paperwork in order.  I can do all of the organisation at.. read more →

18 Sep 2015
September 18, 2015

Buy to Let BOMBSHELL

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HOW THE RESTRICTION OF RELIEF ON BTL MORTAGE INTEREST WILL AFFECT LANDLORDS By now I am sure you are all aware of the buy to let “bombshell” within the Chancellor’s Summer Budget – the proposal to allow income tax relief on BTL finance costs at the basic rate of tax only – but I thought.. read more →

16 Sep 2015
September 16, 2015

Summer Budget 2015 Property taxes

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A brief summary : From 6 April 2016: Rent-a-room relief to be raised to £7,500 The 10% wear and tear allowance may be reformed (subject to consultation) From 6 April 2017: Higher rate relief on mortgage interest will be restricted for buy-to-let landlords. Rent a room relief The applies to private landlords, the owners of.. read more →

09 Jul 2015
July 9, 2015

The Summer Budget

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The Summer Budget was surprisingly jam packed of tax and relief changes that will affect businesses, many in a positive way, however, on some changes the jury is still out. The following is just a brief overview of the main items that I believe will affect SMEs and is not meant to be a full.. read more →

HMRC has kindly published a list of the tax changes that affect individuals from 6th April 2015. I have reproduced the list below. Individuals over the age of 55 have flexible access to their defined contribution pension savings. The Income Tax Personal Allowance increases to £10,600. The higher rate Income Tax threshold increases to £42,385… read more →

Rate changes – the personal tax allowance will increase to £10,600 from April 2015 and by a further £200 a year for the next two years. The age related personal allowance will be removed completely from April 2016. The threshold for the point at which the 40p rate starts will increase above inflation from £42,385.. read more →