Category: Tax

Comments Off on Christmas is The Time for Giving

Christmas is The Time for Giving

Christmas is The Time for Giving

Those thinking about making gifts at Christmas should take advantage of the various inheritance tax (IHT) exemptions and reliefs available to them. Note that certain gifts can also have capital gains tax (CGT) implications. The IHT annual exemption – use it or lose it! Although not particularly generous at £3,000 per donor per annum if … Continued

Comments Off on Budget 2018: Business reaction to the ‘something for everyone’ Budget

Budget 2018: Business reaction to the ‘something for everyone’ Budget

Budget 2018: Business reaction to the ‘something for everyone’ Budget

Liverpool city region professionals say there are a number of positives in Philip Hammond’s Budget including a renewed commitment to the Northern Powerhouse. Tony McDonough of Liverpool Business News reports Peter Taaffe, managing partner of BWM   Business leaders, both in the Liverpool city region and across the UK have offered a cautious welcome to Philip … Continued

Comments Off on Capital Gains Tax Payment Window on Residential Property

Capital Gains Tax Payment Window on Residential Property

Capital Gains Tax Payment Window on Residential Property

There is a forthcoming legislation change which affects the taxation of capital gains on property; notably a change to the reporting and payment on account obligations for UK resident individuals with residential property gains. The changes will take effect for disposals on or after 6 April 2020, in line with announcements made at Budget 2017. … Continued

Comments Off on Annual Investment Allowance to Rise to £1m

Annual Investment Allowance to Rise to £1m

Annual Investment Allowance to Rise to £1m

The annual investment allowance is set to temporarily increase from £200,000 to £1 million, allowing businesses to gain more tax relief on their investments. This will take effect from 1 January 2019 and remain in place until 31 December 2020, after which it is due to revert back to £200,000. Using the annual investment allowance, … Continued

Comments Off on Higher-Rate Earners Hit by National Insurance Rise

Higher-Rate Earners Hit by National Insurance Rise

Higher-Rate Earners Hit by National Insurance Rise

Individuals set to benefit from an increase to the higher-rate threshold in 2019 will only see half of the tax reduction expected, as a result of a Budget measure not mentioned in the Chancellor’s speech. In Budget 2018, the Chancellor announced that the higher-rate income tax threshold would increase from £46,350 to £50,000 in 2019/20. … Continued

Comments Off on Chancellor Mulls Abolishing Dividend Allowance

Chancellor Mulls Abolishing Dividend Allowance

Chancellor Mulls Abolishing Dividend Allowance

The Treasury is reportedly considering abolishing the dividend allowance in Autumn Budget 2018. The Daily Telegraph claims Chancellor Philip Hammond has business owners, directors and shareholders in his sights to help fund a Government pledge to increase spending on the NHS. Hammond cut the dividend allowance from £5,000 to £2,000 in Spring Statement 2017, with … Continued

Comments Off on Treasury Shelves Plan to Scrap Class 2 NICs

Treasury Shelves Plan to Scrap Class 2 NICs

Chancellor Philip Hammond has opted to scrap the planned abolition of class 2 national insurance contributions (NICs). The Government was originally due to abolish class 2 NICs for the self-employed from 6 April 2018, but the move was delayed for 12 months in November 2017 and has now been abandoned. The policy, which was first … Continued

Comments Off on IPPR Leads Call to Replace Inheritance Tax System

IPPR Leads Call to Replace Inheritance Tax System

A think tank is calling for inheritance tax to be abolished, as part of a set of proposals for major reform to the UK tax system. The Institute for Public Policy Research (IPPR) published its 10-part plan for economic reform, which includes replacing the system of inheritance tax with a new ‘lifetime gifts tax’. Under … Continued

Comments Off on HMRC Requirement to Correct

HMRC Requirement to Correct

HMRC Requirement to Correct

The Requirement to Correct (‘RTC’) is a statutory obligation for taxpayers with overseas assets to correct any issues with their historic UK tax position. HMRC have written to all taxpayers who have or who had any offshore financial connections (including those who consider themselves to be non-UK domiciled and/or non-UK resident) to instruct that they … Continued

Comments Off on Stamp Duty Tax Break Saves First-Time Buyers £284m

Stamp Duty Tax Break Saves First-Time Buyers £284m

Stamp Duty Tax Break Saves First-Time Buyers £284m

Philip Hammond’s decision to abolish stamp duty land tax (SDLT) for most first-time buyers on all properties worth up to £300,000 saved homeowners £284 million in the first half of 2018. The chancellor scrapped SDLT in Autumn Budget 2017 for most people taking their first steps on the property ladder in England, Northern Ireland and … Continued