Latest Private Client Tax

1st February 2022 Pre 5-Apr-22 personal tax planning

With the next personal tax year end just around the corner, make sure you use all the allowances and reliefs available to you: Income Tax Consider bringing forward income (salary or dividends) to before 5 April 2022, to avoid the 1¼% increases in NIC and dividend income tax rates. Use annual relief for pension contributions. …

12th January 2022 Furnished Holiday Lets: Rates loophole to close

From April 2023, the government will be tightening up the rules in England where currently some landlords do not pay either business rates or council tax on their furnished holiday lets.  In most cases, however, landlords will want to be assessed for business rates in the hope of qualifying for small business rates relief (SBRR),…

6th January 2022 HMRC deadline now, effectively, 28-Feb-22

Due to the continuing difficulties that Covid continues to present, today HM Revenue and Customs (HMRC) have announced they are waiving late filing and late payment penalties for Self Assessment taxpayers for one month – giving extra time, if needed, to complete your 2020 to 2021 tax return and pay any tax due.   HMRC…

11th December 2021 Tax exemption of Christmas parties/gifts

Businesses may be hoping they can hold their annual Christmas parties this month. Providing the event is annual, open to all employees and the total cost, including VAT, is less than £150 per person (including non employee guest attendees), this will be a non-taxable benefit in kind (ie free of PAYE tax and National Insurance…

11th December 2021 31-Jan-22 tax: Can it be reduced?

For those clients that prepare self-assessment personal tax returns, 31 January is always tax payment day. This tax will primarily be based on your personal income for the tax year ended 5 April 2021, potentially made up of 2 components: The balancing payment for 2020/21 (total 2020/21 tax less 31-Jan-21 and 31-Jul-21 payments on account).…

9th December 2021 Advisory fuel rates for company cars

New company car advisory fuel rates have been published and took effect from 1 December 2021.   The guidance states: ‘you can use the previous rates for up to one month from the date the new rates apply’. The rates only apply to employees using a company car.   The advisory fuel rates for journeys…

4th November 2021 Super early retirement? – Not if under 47 now

The government is to increase the earliest age pension savers can access their pension pots from 55 to 57, wef 6 April 2028. Members of the firefighters, police and armed forces public service schemes will not be affected by this increase.

1st November 2021 Budget: Extended CGT reporting deadline for residential sales

UK resident individuals who dispose of UK residential property are sometimes required to deliver a CGT return to HMRC and make a payment on account of CGT now within 60 days (instead of the previous 30 days) of completion of the property disposal. Broadly, this only applies where the property disposal gives rise to a…

27th October 2021 Budget: Changes for private tax clients

What was not included in the 2021 Budget was probably more important to private tax clients than what was included – no expected increase in CGT rates and no expected restriction of higher rate income tax relief on pension contributions. Whitings summary and commentary on 2021 Budget. There is a minor administration change that will…

21st October 2021 Holiday lettings – declare to HMRC

If you own a UK holiday let are you declaring your rental profits to HMRC? If not time may be running out to make a voluntary disclosure of past profits.   HMRC has the power to request information, or documents, from third parties such as holiday booking sites; as well as being able to search…