Category: Tax

The Annual Investment Allowance (AIA) is a 100 per cent allowance for plant, machinery and equipment capped at an annual amount. This means that all expenditure within this capped amount can be written off against the taxable profits for the same period. Expenditure over that amount is subject to the normal writing down allowances for … Continued

HMRC carry out compliance checks into business records, returns or other documents to make sure that the right amount of tax is being paid at the right time. What happens during a compliance check  HMRC will always tell you what they are checking and if they find that they need to extend the scope of … Continued

Measures introduced last year limit the deductions which can be made in certain circumstances when calculating the chargeable value of an individual’s estate for inheritance tax (IHT) purposes. The new rules are designed to stop individuals creating debts in order to reduce their IHT liabilities. IHT is charged on the net value of an individual’s … Continued

HMRC has begun testing the value of publishing ‘benchmarks’, in an effort to improve voluntary compliance and behaviour in various trade sectors. By drawing attention to the benchmarks, HMRC hopes to reduce the scope for errors being made by the businesses falling within the targeted trade sectors, both before and after their Tax Returns have … Continued

When you sell your home the gain will be covered by PPR to the extent you have resided in the property. Historically, if you have resided in the property at any point you were always deemed to occupy the property for the last 3 years. The Autumn Statement contained a surprise announcement that the “last … Continued

On the 6 April 2013 HMRC removed the ‘renewals allowance’ for landlords of unfurnished rental properties and this led to the accountancy profession querying the practical application of these new rules with HMRC. HMRC have recently clarified their view as to how ‘Repairs and Renewals’ should be treated in unfurnished properties. Prior to 6 April … Continued

Don’t let tax be a problem this year. Stay ahead of developments and make sure you take advantage of ways to legitimately reduce your company’s liability to tax. To find out more information, take a look at our download Reduce your company tax liability. If you have any queries please contact John Elliott or Sue … Continued

More than half (53%) of people are now saving adequately for retirement, according to a survey by Scottish Widows. This is an 8% increase compared with 2013 and is the highest level since 2009. It is also the biggest ever year-on-year increase. Scottish Widows defines adequate saving as 12% of income or expecting your main … Continued

On 1 July 2014 ISAs were reformed into a replacement product- the New ISA (NISA) – and all existing ISAs will automatically become NISAs. The annual allowance of £11,880 increased to £15,000 which can be made up of cash, stocks and shares or a combination of both. Key aspects: Investments can be transferred from a … Continued

The Revenue have announced new rules preventing people reducing their exposure to inheritance tax by setting up multiple trusts for their heirs, each with a £325,000 tax free allowance. Under the plans, which are intended to come into force in April 2015, they would have only one £325,000 allowance, which could be divided between several … Continued