Resources

You are here

Last chance to claim enhanced capital allowances

13 Nov, 2019

There is a special scheme known as the enhanced capital allowances (ECA) scheme for energy-saving technologies. The ECA scheme enables a business to claim accelerated tax relief 100% first year allowances (FYA) on qualifying energy efficient and environmentally beneficial technologies.

Furnished holiday let qualifying tests

13 Nov, 2019

The furnished holiday let (FHL) rules allow holiday lettings of properties that meet certain conditions to be treated as a trade for certain tax purposes.

In order to qualify as a furnished holiday letting, the following criteria need to be met:

Tax when partnership assets are distributed in kind

13 Nov, 2019

Partnerships are treated as transparent for Capital Gains Tax (CGT). This means that each partner is responsible for their share of any capital gains arising on the disposal of their interests in the assets of the partnership. Each partner is treated as owning a fractional interest in each of the assets of the partnership.

HMRC’s tax app

13 Nov, 2019

A free HMRC tax app is available to taxpayers.

The APP can be used to see:

  • your tax code and National Insurance number
  • an estimate of the tax you need to pay
  • your income and benefits
  • up to 12 future tax credits payments
  • your Unique Taxpayer Reference (UTR) for Self-Assessment

The APP can also be used to complete a number of tasks that usually require the user to be logged on to a computer.

This includes:

Basic business structures

13 Nov, 2019

It is important to be aware of the main basic business structures available if you are considering starting a new business. There are three commonly used forms of business structure.

Employing staff for the first time

13 Nov, 2019

There is a multitude of rules and regulations that you must be aware of when you start employing staff for the first time. A full examination of the rules is beyond the scope of this article. However, we wanted to list the following points from HMRC’s guidance which sets out some important issues to be aware of when becoming an employer.

Increase in National Living Wage?

13 Nov, 2019

An independent review into the evidence on minimum wage rates has been published by the government. The review concludes that increases in the National Living Wage (NLW) have little effect on employment whilst significantly increasing the earnings of low paid workers. This was found to be the case even in countries who had the most ambitious policies for increasing minimum wage rates.

Finance Bill 2019-20 shelved

06 Nov, 2019

The Government’s draft finance bill has been shelved as we countdown to the general election on 12 December 2019. The consultation on the draft legislation has closed, but the prorogation controversy and Brexit issues meant there was no time for the Government to respond to any of the issues raised.

What is a negligible value claim?

06 Nov, 2019

A negligible value claim is a claim made by a taxpayer when an asset they own has become of negligible value, i.e. it is worthless or worth next to nothing. The taxpayer effectively treats the asset as having been disposed of and then immediately reacquired at the negligible value. The asset must still be owned by the person making the claim and must have become of negligible value whilst it was owned.

Making a claim allows the owner of the asset to realise a capital loss in respect of an asset without actually having to dispose of it.

The meaning of 'goodwill' for CGT purposes

06 Nov, 2019

The meaning of goodwill for CGT purposes is complex. The term 'goodwill' is rarely mentioned in legislation and there is no definition of 'goodwill' for the purposes of Capital Gains legislation.

In fact, most definitions of goodwill are derived from case law. At its simplest you could describe goodwill as the 'extra' value of a business over and above its tangible assets.

What is a joint venture?

06 Nov, 2019

A joint venture is a commercial enterprise undertaken by two or more parties who otherwise retain their separate identities. The parties to the joint venture usually bring together different resources and areas of expertise to help fulfil a specific project or business activity.

Interest on children’s savings

06 Nov, 2019

All children in the UK have their own personal annual tax allowance. However, anti-avoidance laws prevent this allowance being utilised by parents of children aged under 18 with some minimal exceptions.

If older children are employed by a parent they can receive income paid as wages subject to the usual rules.

Pages