The controversial tax which was introduced by Gordon Brown shortly after he became Chancellor has proven to cost far more to administer than the cash it has raised. Gordon Brown has long had the typical socialist view of business owners which sees them all as crooks only concerned with paying as little tax as possible. Tax [...]
For many years UK taxpayers benefitted greatly by transferring (settling) their assets in offshore trusts, but increasing ant-avoidance legislation has led people to believe that there is no point in using an offshore trust any more. Whilst it is true that the tax advantages are no longer as good and they once were the fact [...]
A shock announcement in the small print of this year’s budget has left thousands of UK farmers and second home owners reeling at the loss of tax breaks without which they may have to sell up. Not a good thing in a falling market. But it could benefit owners of foreign holiday property. Buried deep [...]
Her Majesty’s Revenue & Customs (HMRC) has issued a warning that fraudsters are sending out fake e-mails promising rebates. An estimated five million people filed their tax returns online last month and now many of them are receiving emails which purport to come from HMRC saying there has been an error in calculating their [...]
HMRC have published new regulations relating to the payment of Class 2 and voluntary Class 3 national insurance contributions (NICs) for past years. Class 3 contributions for the 2006-07 tax year which are paid after 5 April 2009 and voluntary Class 2 contributions for the 2006-07 tax year which are paid after 5 April 2008 [...]
Recent UK legislation has resulted in the real possibility that contractors using offshore umbrella companies could face massive back tax bills. For a number of years now many contractors have worked via umbrellas companies based offshore in jurisdictions such as the Isle of Man. These companies have offered contractors up to 85 per cent of [...]
In his Pre-Budget Statement on Monday Alistair Darling quietly dumped legislation intended to outlaw income splitting arrangements among individuals that would have effectively forced small, family-run businesses to pay more tax. For some years now the Labour government has tried to take action against income splitting arrangements which it considers “unacceptable tax avoidance”. Leaving aside [...]
As of today’s date 24 MPs have signed an Early Day Motion which on the face of it is supportive of small businesses but in actual fact is totally pointless. In fact it could be evidence, if such is needed, that MPs really have no idea of the realities of business life. The motion reads: [...]
For years now the European Union severely limited the ability of national governments to reduce VAT rates – which fact seemed to have escaped Tony Blair who promised cuts during the 1997 General Election though he “found out” later. Good excuse not to keep your manifesto promises eh? However following a meeting earlier this month [...]
New Powers Come Into Force Next April As part of a drive to track down tax evaders, up to one million landlords could be subject to investigation from HM Revenue & Customs (HMRC) who aim to identify those landlords who are not paying the correct amount of tax. HMRC say that in their experience many [...]
What can you think when you realise that the chairman of the International Business Advisory Council – charged with safeguarding London’s pre-eminence as a business centre – is about to move his own HQ to Ireland? Such is the position of Sir Martin Sorrell, head of advertising conglomerate WPP, who announced last week that he [...]
As from 1st of October 2007 there were changes made to what information you need to include on a VAT invoice. If you don’t comply then HM Revenue and Customs can hit you with pretty massive fines. Although fines are unlikely to be levied for non compliance in the first year, business owners cannot be [...]
COMPANY CAR: If you have a company car which you can also use for private use then as from 1st July 2008 the following rates apply for reimbursement of fuel costs for business mileage: These rates don’t often change but you should be aware that they may and they will if VAT rates change. [...]
Here are some simple ways to save tax: Keep accurate accounting records, remember to note down all business expenses; File your tax return before the 31 January and avoid unnecessary fines; Pay your tax on time so avoiding having to pay interest as well as a 5% surcharge; If you are married consider organising your [...]
Every business will – unless it continually makes a loss – have to address the issue of taxation. Like it or not the government wants its pound of flesh, but there is nothing to stop you structuring your business to get the best tax advantage possible. Here you will find some points to consider when [...]
The basic ways to structure your business are as a sole trader, in a partnership, or as a limited company. If you trade as a Limited Company you are said to be an “incorporated business” any other structure is called “unincorporated”. There are advantages and disadvantages whichever structure you chose so when deciding on the [...]
Following this year’s Caribbean Investment Forum meeting in Port of Spain (Trinidad & Tobago) on the 11th and 12th June, several countries have announced that they too want to turn themselves into tax havens. So why the sudden rush? Well the countries involved: Trinidad & Tobago, Jamaica and the Dominican Republic don’t exactly have what [...]
Inheritance Tax (IHT) is probably not at the forefront of most people’s minds. However given the relentless rise in UK property prices over the past few years (and even allowing for the current, probably short term price drops) many individuals and couples are likely to find that they have been pushed over the current threshold. [...]
The so called IR35 Legislation came into force in the UK in April 2000. It seeks to tax freelance workers providing services via their own limited company. Its stated aim was to prevent employees setting up a limited company and performing their duties through that company with the resulting tax advantage. Generally it is more [...]
Capital Gains Tax (CGT) is a levy which may need to be paid when you sell certain types of asset, such as residential or commercial property, stocks and shares or other investments such as antiques, artwork – paintings, sculptures - and cars. Strictly speaking only individuals pay CGT but companies don’t escape as any gain they [...]
