Mark McLaughlin warns that a lack of supporting evidence can be fatal to a tax relief claim for expenses. Question: What do the following statements have in common? • My wife has been seeing aliens • My mother-in-law is a witch and put a curse on me. • I fell in with the wrong crowd. […]
Rodents Ate My Evidence! Read More »
Whilst cars, boats and horses are expensive to buy and keep, often those are tax-free upon sale, whereas land and buildings (or ‘real property’) are taxed at every turn. Buying a Property When purchasing real property, the most infamous tax is stamp duty land tax (SDLT; in England and Northern Ireland) – a relatively new tax, introduced in its current form
Taxing Times: Owning and Selling a Building Read More »
Setting up in business can be expensive, and some entrepreneurs may not have the wherewithal to fund the full cost. Loans and grants are available from various sources, including banks and the government, but only up to a set amount, which may not be enough to cover start-up costs, day-to-day running of the business for the
A Good Swap? Exchanging a Loan for Shares Read More »
There is a corporation tax (CT) charge (CTA 2010, s 455) on loans made to ‘participators’ in close companies that are outstanding at the end of a CT accounting period (CTAP). This charge used to be at a fixed rate, which Chancellors changed from time to time. However, some years ago, George Osbourne altered this
‘Section 455’: An Unannounced Tax Rise Read More »
The basic rule for considering the place of supply of goods is that they are supplied where they are physically located when they are sold or allocated to the customer. In the simplest scenario, goods located in the UK at the time they are supplied to a customer are treated as supplied in the UK
Buying and Selling Goods Located Overseas Read More »
Interest income for UK individuals can arise from a variety of sources, including (but not limited to) savings accounts, current accounts, fixed-term deposits, corporate bonds, government gilts, peer-to-peer lending platforms, and some unit trusts. For most individuals, the interest they receive will be from banks and building societies. Whether an income tax liability will arise, and
Very Interest-ing! Read More »
Tax and romance – not exactly the perfect match! However, in this Valentines season, the thoughts of the lovestruck (but fiscally frugal!) may turn to sharing their caring nature in a tax-efficient way. Here are some tax tips for a twosome (NB references to spouses include civil partners). It’s theThought that Counts! Gifts of assets
Who Says Romance is Dead?! Read More »
When capital assets are disposed of, capital gains tax (CGT) must be considered, but when assets other than ‘real property’ and intangibles like shares are sold, there is the possibility that no tax is payable at all. A Chattel A chattel is defined within Administration of Estates Act 1925, s 55(x) as: ‘tangible moveable property, other than
One of the ‘badges of trade’ used by HMRC to determine if a trade is being conducted is the presence of a ‘profit motive’ where the “object of acquiring an asset was to re-sell it at a profit, without any intention of holding it as an investment.” However, for various reasons, a business may incur losses instead
Loss Relief: A Reminder Read More »
The New Year is typically a month for planning ahead and focussing on our health. The gym is always busier, and the pubs and restaurants are quieter. But are there any tax savings available that can help shed the pounds? Self-Employed Unfortunately, the costs of a gym membership, sports clothing, or buying your own gym equipment are
Tax Helps Shed the Pound! Read More »
