Personal tax Archives

Sep 02 2023

HMRC Demands More Data

By admin Dividends, HMRC, Making Tax Digital (MTD), Personal Tax, Potts & Co Accountancy & Business Advice News

HMRC has confirmed that requirements to report additional information will come into effect from the 2025-26 tax year or possibly a later period. HMRC has set out its intention to collect data relating to trade sectors; locations; occupations; hours worked; shareholdings and dividends paid; and self-employed trading dates. Draft legislation…

Nov 25 2022

Income Tax

By admin Child Benefit, HMRC, Income Tax, Personal Tax, Potts & Co Accountancy & Business Advice News

The main income tax thresholds and allowances had already been frozen at the 2021-22 levels until 2026 and that has been extended to 6 April 2028. The main income tax rates are unchanged for 2023-24 at: 20%, 40% and 45%. Individuals in England, Wales and Northern Ireland will start to…

Nov 13 2018

Tax Data 2019-20

By admin Budget Update, Corporation Tax, HMRC, Inheritance Tax (IHT), Personal Tax, Potts & Co Accountancy & Business Advice News, VAT

All figures are annual amounts Tax Allowances Personal allowance £12,500 Allowance withdrawn from £100,000 Transferable marriage allowance £1,250 Trading income £1,000 Property income £1,000 Rent-a-room £7,500 Tax on earnings Earnings to £34,500 20% £34,501 to £150,000 40% Over £150,000 45% Tax on earnings for Scottish residents Earnings to £37,500 20%…

Sep 14 2018

Pension Lump Sum

By admin HMRC, Pensions, Personal Tax, Potts & Co Accountancy & Business Advice News

If you have taken a lump sum from your pension fund you may have had excess tax deducted by the pension company, but you can reclaim it. Although 25% of your pension savings can be drawn out tax-free, the pension company normally interprets this as being 25% of any single…

Sep 11 2018

Reclaim SDLT, LTT or LBTT

By admin Personal Tax, Potts & Co Accountancy & Business Advice News, Welsh Land Taxes

If you have acquired a new home since 1 April 2016 you should be aware of the 3% stamp duty land tax (SDLT) supplement which applies to purchases of second and additional homes. This 3% supplement was copied in Scotland for land and buildings tax (LBTT) and in Wales for…

Mar 07 2018

Paying Your Child From The Business

By admin HMRC, Personal Tax, Potts & Co Accountancy & Business Advice News

You can pay your son or daughter out of your business, but they must do some real work for that money, work which is worth what you pay them. You can't pay over the odds for an office assistant just because the worker is your relative. The work need not…

Dec 19 2017

Property Allowance

By admin Personal Tax, Potts & Co Accountancy & Business Advice News, Property

When you let one or more furnished rooms in your own home, the rental income can be free of tax if it is covered by rent -a-room relief, currently capped at £7,500 per year. But this relief only applies where the room is used as residential accommodation. If the room…

Dec 04 2017

SDLT Help For First-Time Buyers

By admin Budget Update, Personal Tax, Potts & Co Accountancy & Business Advice News, Stamp Duty Land Tax

First-time buyers can now take advantage of a permanent exemption from stamp duty land tax (SDLT) when purchasing a property which they intend to occupy as their main home. The exemption removes the SDLT charge for the first £300,000 of the purchase price, for deals completed on and after 22…

Nov 30 2017

Who Can Claim The Marriage Allowance?

By admin Budget Update, HMRC, Personal Tax

When an individual is married or in a civil partnership and has little or no income so that they don't use their entire personal allowance (£11,500 for 2017-18), that person can elect to transfer 10% of their allowance to their partner. This is called the marriage allowance. The recipient must…

Jun 05 2017

Paper tax return

By admin HMRC, Paper Tax Return, Personal Tax

Self-evidently, the UK tax system is very complex. What's surprising, however, is that HMRC can't program its computers to cope with all the permutations of rates and allowances that can apply in 2016-17. The key problem is that the law allows an individual to use their personal allowance in a…

Personal tax