Although it was originally recorded in use in the 1900s, the expression ‘side hustle’ has been increasingly used in the present century. Various definitions can be found, but generally this will be along the lines of an activity carried out for income to supplement that received from a main source. One of the most popular […]
Side Hustle Hints! Read More »
The Oxford English dictionary defines a gift as: ‘something, the possession of which is transferred to another without the expectation or receipt of an equivalent’. The gift of an asset is thus not an arm’s length sale in return for market value proceeds, nor a loan or investment – it is entirely unilateral. For capital
Lifetime Gifts in a Nutshell Read More »
As the days start to lengthen and the end of the tax year (5 April) approaches, it is a good time to consider whether any action should be taken to ensure that available tax reliefs and opportunities are maximised. This is a wide subject, but there are some basic steps that can be considered by
It’s That Time Again! Year End Tax Planning Read More »
With limited companies, business profits belong to that company as a separate legal person and are subject to corporation tax on them; the company’s owner will generally be subject to income tax and National Insurance contributions (NICs) on whatever they withdraw. It is different from a sole trader or partner, who is taxed on their
A Painful (Profits) Extraction? Read More »
In the Autumn Budget on 30 October 2024, Rachel Reeves made some significant changes to capital gains tax (CGT). The main purpose of this article is to explain some of the knock-on consequences that were not outlined in the speech, but I will also remind you of the headline changes. I will refer to business
BADR: The Long Goodbye? Read More »
Inheritance tax (IHT) has been labelled by some as a tax on death. However, IHT has also been referred to as a voluntary tax, as steps can often be taken during an individual’s lifetime to reduce the IHT burden on their death. In addition, forward planning can sometimes reduce capital gains tax (CGT) in advance
A Matter of Life and Death Read More »
The past few decades have seen a substantial increase in the number of property owners who let one or more houses to tenants, driven in part by relaxations in lending, rising property prices and some tax advantages. At the time of writing (i.e., before the autumn budget on 30 October 2024), the question is whether
Rental Properties: Tax Issues Read More »
When a company has been incorporated, the first thought by the owner is often how one pays oneself. Proper remuneration planning can help mitigate the effects of perceived double taxation of corporation tax for the company and personal tax for the shareholders or directors. Dividends Vs Salary The usual method of extracting profit is to
Profit Extraction: Some Traps to Avoid Read More »
I am always amazed by the number of people who undertake high value transactions without getting proper advice about the tax consequences. A classic example arose recently in Arshad Mahmood v Revenue and Customs [2024] UKFTT 114 (TC). The Key Facts Arshad Mahmood [M] transferred ten commercial properties to a company owned by his wife.
A Little Knowledge is A Dangerous Thing! Read More »
In property transactions, an option agreement will sometimes be made between an individual property seller and a prospective buyer. You have the Option… An option is broadly a legal agreement for an offer to be kept open for a specified period. For example, an individual might agree to keep an option open for the buyer
Is There Any Option? Read More »
