Accounting Web
TAX SAVED
As it was given under Gift Aid its value to The british Legion is surely £5.75m and not the £4.6m quoted in the media.
Has every commentator missed something?
CT queries
I am preparing a set of accounts for a small property rental management company and the director has asked me some tax queries which i agreed to research. My background is not tax, so i could do with some advice. The outstanding queries I have are:
1. The first period of trading is 8/12/08 - 31/12/09. Am i right in thinking her first tax payment needs to be before 30/09/10 and tax return due by 31/12/10? Does she need 2 accounts/tax returns as it is more than 12 months?
How can I get a partnership reference number
I have tried writing to the local HMRC office for a partnership reference number. We hold authority for both clients and they have set up another business. The letter was forwarded on to Longbenton who said they can't issue a number without a 64-8. How can I submit a 64-8 for a partnership without a UTR. Anyone have any idea how to resolve this?
Construction Workers Travel Expenses
Can anybody please point me in the right direction for the tax treatment of travel expenses for workers in the construction industry ? As our workers have no fixed place of work, and are expected to move around various sites, we have paid their expenses untaxed from home to site. HMRC are disputing this, saying that travel only from the depot to the site would be non-taxable, but in our view it would be pointless our workers coming to the depot as there is no work for them there.
tax due in 1998!!
Client was due a tax refund in 5 April 2010 tax year.....HMRC have claimed it to clear tax that was due in 1998 and not paid!! CAN they go back 12 years and do this???
Taxation of share options: internationally mobile employees
Can anyone guide me on what is considered the latest HMRC position on the taxation of option exercises (over employer shares),
in the instance of internationally mobile employees?
My understanding is that Tax Bulletin 76 (April 2005) represents the most up-to-date picture:
http://www.hmrc.gov.uk/bulletins/tb76.htm
Effectively drawing on:
Reclaiming/Charging VAT prior to registration
I understand that an entity may claim input VAT on expenses relating to services received prior to registration (going back up to six months) as long as they relate to the supply by the entity of VATable goods or services.
Does this mean that in the case of a company that wishes to register voluntarily, being well under the registration threshold, it can invoice a client prior to registration for work it has already carried out and thereby charge no VAT, but still reclaim input VAT on the costs of the project? It seems slightly too good to be true.
Mortgage Arrangement Fees on Initial Purchase
I am aware of ICTA 1988, s. 77 as was) where the incidental costs of obtaining loan finance are an allowable expense in a property rental business.
Are these still allowable on the initial purchase of the property where there is no actual rental business being carried on at the point the fees are charged???
Purchase of shares
Client has money in a limited company of which he is sole director & shareholder. He wants to buy shares in an oil company, totally unrelated to his business. Is he better drwaing money from the company, as either a dividend or salary & paying tax & NI as he is a higher rate tax payer. Or is he better buying them in the limited company name. What though are the CGT implications when he sells them?
Any thoughts appreciated.
VAT Partial Exemption and Reverse Charges
Trying to dechiper HMRC guidance about reverse charges...
Virtually all of our supplies are exempt and hence we reclaim a very small proportion of our input tax via the standard method of partial exemption.
Am I right in thinking that:
a.) the overseas input tax we account for via reverse charge should be excluded from the PE calculation
b.) but once the PE % has been calculated we can then claim back this proportion of the overseas VAT accounted for via reverse charge?
Disposal of gifted property - discounted value on half a house ?
The Mail on Sunday carries this question from a reader and the answer:
Share Transfer
Small private limited company. Husband & wife each have 1 share. Wife now in higher rate tax bracket so want to transfer share to husband so he gets all the dividend income. Q - Are there any tax implications?
Online Self Assessment Service
Hi,
I have a client who filed his own self assessment tax returns online and I now need to see what he actually filed.
When I spoke with HMRC, they mentioned I could view them online via his account. However on looking I can not find where the option is to see past filed returns!!
Can anyone tell me where I should be looking?
Many Thanks
simplest PAYE
A company has been paying its sole employee / director / owner £482 pcm and accounting for PAYE through an agent (NICs and income tax). The director needs a monthly income of around £400, but wants to operate PAYE on the simplest basis. I wondered whether the director could draw on a loan account through the year, say £475 pcm and at the end of the year (say, March), pay a salary of £5,700 and operate PAYE on that, reversing the director's loan.
Capital Allowances on a rental property
Client is a company which has bought a house converted into flats which it is letting out.
The client wants to instal a video entryphone system and CCTV around the entrance doors, which seem to be allowable.
Tax credits failure to notify
We have a whole spate of clients for whom the tax credits annual declarations were filed by post in the last week of July 2010 (in time for 30 July delivery), who are now receiving stoppage notices on the grounds that they did not renew.
Fortunately, having had dealings with the tax credit office in the past, we had the foresight to send them by special delivery, and we have the delivery signatures etc. We would have renewed by telephone except that, predictably, the telephone was permanently engaged at about that time (actually I don't really blame the TCO for that).
Tax Return "date" entry on shares sold
For the CGT entries on the self assessment tax return, is the cost/acquisition date ignored and left blank, where the shares disposed of formed part of the averaged sect 104 holding which includes various acquisitions (same shares)?
Thanks in advance for your comment?
Capital gains tax (Private Residence Relief) and putting a “let to buy” house into joint names (with wife).
I let out a house that was my “principal private home” before we got married. Our mortgage advisor would like the house in joint names to ease getting a new mortgage.
Would putting my wife’s name on the deeds effect us getting Private Residence Relief when the house is sold? (My wife never lived in the house)
Stamp Duty on putting a let house into joint names.
I have a house that used to be my main home that is now rented out, our mortgage advisor would like the house in joint names (with my wife) to ease getting a new mortgage. He says there will be no stamp duty, is he right?
Benefit in Kind when no corp tax relief
My Ltd Co client provides IT sevices and one director has been working at a client's premises about 150 miles away for a period in excess of 24 months. The company pays the £650 per month rent for a flat used exclusively by the director Monday to Friday. For the past two years this has been charged to P & L and no Plld entry made.
Now that 24 months has passed this is no longer considered to be temporary accomodation and any rent paid should have been included on the 2009/10 P11D, but it was not.
