News
As a self-employed trader, do you diligently record the mileage for every business journey you take? This attention to detail is necessary to convince HMRC that the cost of the journey is tax deductible. There are several apps which can… more
As a self-employed trader, do you diligently record the mileage for every business journey you take? This attention to detail is necessary to convince HMRC that the cost of the journey is tax deductible. There are several apps which can help you with this. The question is: where does your business journey start? HMRC will argue that your work only starts when you reach your customer's site and any business activities performed at your home-office are irrelevant. This would restrict your allowable travel costs to journeys between your customers and deny travel expenses for travelling from your home to the… more
When you sell a business or shares in your personal company, the gain made on that disposal will normally qualify for entrepreneurs' relief which applies capital gains tax (CGT) at 10%. Up to £10m of gains can qualify for this… more
When you sell a business or shares in your personal company, the gain made on that disposal will normally qualify for entrepreneurs' relief which applies capital gains tax (CGT) at 10%. Up to £10m of gains can qualify for this relief in your lifetime. For a company to qualify as your personal company you must hold at least 5% of the ordinary share capital and 5% of the associated voting rights. For disposals made from 29 October 2018 you must also have a right to 5% of the net assets of the company and to 5% of its distributable profits. … more
If your business is VAT registered, and the turnover for the last year has exceeded £85,000, you should soon receive a letter from HMRC stating that you must comply with the making tax digital (MTD) rules from April 2019. The… more
If your business is VAT registered, and the turnover for the last year has exceeded £85,000, you should soon receive a letter from HMRC stating that you must comply with the making tax digital (MTD) rules from April 2019. The MTD regime requires you to keep all records relating to VAT in a digital format and submit VAT returns through MTD-compliant software. The online VAT return form on gov.uk will be closed to all businesses required to comply with the MTD for VAT regime. This is because HMRC wants to minimise the risk of human error in submission of VAT… more
Following the Scotland Act 2016, the income tax rates and thresholds for Scottish taxpayers differ from those in the rest of the UK. Since income tax is only partly devolved to Hollyrood, these rates apply to non- savings and non-… more
Following the Scotland Act 2016, the income tax rates and thresholds for Scottish taxpayers differ from those in the rest of the UK. Since income tax is only partly devolved to Hollyrood, these rates apply to non- savings and non- dividend income (which are still taxed in line with the rest of the UK). Although Scottish income tax is collected by central government, it is paid to the Scottish Government. The rates for 2018/19 are shown in the following table: The table shows the 2018-19 tax rates you pay in each band if you have a standard… more
