Mark McLaughlin points out that while penalties can be charged for tax return errors involving losses, a useful let-out may apply in certain circumstances The penalty rules for errors in tax returns, etc. potentially apply if a tax return contains…
Category: Tax
Share buyback. Why, how and the Tax implications
What is share buyback? Simply put, a share buyback is where a company buys some of its own shares from existing shareholders. Henry Catchpole explains all. There are three different types of share buyback: purchase of own shares; share redemption;…
PRR and delayed occupation… What happens?
Tax query: PRR and delayed occupation Private Residence Relief (PRR) is a subject that often causes confusion among accountants in practice, so here is a quick Q&A QUESTION: Relief under s 222 TCGA 1992 will be available in full to…
Don’t take a wild guess. The dangers of using estimates in Tax Returns
Don’t take a wild guess! Mark McLaughlin highlights the dangers of using estimated figures in tax returns The use of an estimated figure may sometimes be necessary when preparing a tax return. For example, records of a particular source of…
Gift into Trust: an IHT bonus?
Mark McLaughlin highlights a useful exemption which can, among other things, allow funds to be transferred into trust without triggering an inheritance tax charge. The inheritance tax (IHT) exemption for normal expenditure out of income is very generous. There is…
MTD’s Slow Progress
In part two of his series of regular articles for Accounting Practice, Darren Powell explains why the Making Tax Digital pilot scheme is making slow progress In my last article I was able to report on my experiences of the…
Trading and Property Allowance explained
Ben Chaplin explains how the newly introduced trading and property allowances will work. During his Budget speech in March 2016, then Chancellor George Osborne announced plans to introduce two new allowances intended to “help the new world of micro-entrepreneurs who…
Tales from the telephones – PPR on marriage
Here are some more sample questions submitted by accountants to the ICPA/Qdos telephone helpline Q: I have clients who are husband and wife and own a rental property that qualifies as a Furnished Holiday Let (FHL). The rental income…
Dividend waivers: what do you need to consider?
Henry Catchpole explains how dividend waivers work, and the steps to take to avoid having them challenged by the taxman. Your business has had a successful year and you want to reward your shareholders by giving a dividend. But what’s…
DAS and MTD have they and will they go away?
In an speech given to the CIOT recently the outgoing HMRC Chairman Edward Traup (pre knighthood award) gave some insight into the MTD situation and DAS. Regarding MTD the outgoing chairman said he viewed the journey to MTD as making…