30/12/2006, by Mark McLaughlin CTA (Fellow) ATT TEP, Tax article - General
Property Tax Portal by Arthur Weller & Amer SiddiqArthur Weller and Amer Siddiq outline the conditions and tax treatment for furnished holiday lettings.IntroductionIf you let a property in a popular holiday location, e.g., the south coast, then you could well be operating a holiday lettings business. This is especially the case if your target market is people visiting and staying in your property for short periods of time.
Qualifying Criteria for a Holiday LetIn order to qualify your property as ... Continue Reading
30/12/2006, by Mark McLaughlin CTA (Fellow) ATT TEP, Tax article - General
Employee Reward Structures by Aidan LangleyAidan Langley considers the implications when a company lends money, or procures a loan by a third party, to its employees, particularly to acquire its own shares.Loans to a Corporate TrusteeIt is illegal for a company to make a loan to a director in his capacity as a trustee of an EBT (CA 1985, s 330). It is, however, legal to make a loan to an EBT trustee or a pension scheme, even if directors are potential beneficiaries of the Trust (CA 1985, s 346(3)(b)).
Tax ... Continue Reading
30/12/2006, by Mark McLaughlin CTA (Fellow) ATT TEP, Tax article - Inheritance Tax, IHT, Trusts & Estates, Capital Taxes
Capital Tax Review by Matthew Hutton MA, CTA (fellow), AIIT, TEPMatthew Hutton MA, CTA (fellow), AIIT, TEP considers an important inheritance tax issue for individuals who are not domiciled in the UK.ContextThe issue is the IHT status of non-UK property within a settlement made by someone both actually and deemed domiciled outside the UK in which he reserves a benefit, dying at a time when he has become actually or deemed domiciled in the UK (without releasing the benefit). Do the excluded property ... Continue Reading
23/12/2006, by Mark McLaughlin CTA (Fellow) ATT TEP, Tax article - Business Tax
The Smart Guide to Business Taxation 2006-07 by Mark McLaughlin CTA (Fellow) ATT TEPMark McLaughlin CTA (Fellow) ATT TEP, General Editor of TaxationWeb, outlines tax considerations for self-employed taxpayers who work from home.Many businesses operate from home. Even if separate business premises exist, the proprietor will often work at home as well. What expenses can be claimed against business profits? The statutory rule for claiming tax relief on business expenses is that they must be ‘wholly ... Continue Reading
23/12/2006, by Mark McLaughlin CTA (Fellow) ATT TEP, Tax article - Inheritance Tax, IHT, Trusts & Estates, Capital Taxes
Capital Tax Review by Matthew Hutton MA, CTA (fellow), AIIT, TEPMatthew Hutton MA, CTA (fellow), AIIT, TEP reports ongoing uncertainty regarding HMRC’s view on the effect of the Trusts of Land and Appointment of Trustees Act 1996 in respect of a popular form of tax planning.ContextAn earlier Trusts Discussion Forum posting cast doubt that main residence relief may be available to trustees on disclosing of a share in a property held typically under the will trust of the first spouse to die. Further ... Continue Reading
23/12/2006, by Mark McLaughlin CTA (Fellow) ATT TEP, Tax article - VAT & Excise Duties
VAT Voice by Andrew NeedhamAndrew Needham, Director of VAT Solutions (UK) Ltd, reports a selection of recent VAT cases.Tribunal decides taxpayer’s insurance-related services
Were exempt from VATThe Appellant supplies outsourced services to the insurance industry. Its main activity is the collection of information from potential customers of insurance companies wishing to obtain life or health insurance.
An individual will contact an insurance company and apply for life or health insurance. ... Continue Reading
16/12/2006, by Mark McLaughlin CTA (Fellow) ATT TEP, Tax article - General
Busy Practitioner by Mark McLaughlin CTA (Fellow) ATT TEPMark McLaughlin CTA (Fellow) ATT TEP, General Editor of TaxationWeb, considers the ‘transactions in securities’ and ‘bona vacantia’ provisions on the dissolution of family and owner-managed companies.Many practitioners will have client companies approaching the end of their useful existence. The initial reaction might be to appoint a liquidator. However, a possible alternative to the potential expense of a formal liquidation is for ... Continue Reading
16/12/2006, by Mark McLaughlin CTA (Fellow) ATT TEP, Tax article - Inheritance Tax, IHT, Trusts & Estates, Capital Taxes
Capital Tax Review by Matthew Hutton MA, CTA (fellow), AIIT, TEPMatthew Hutton MA, CTA (fellow), AIIT, TEP highlights a potential misconception regarding the effect of the FA 2006 rules on trusts and divorce arrangements.ContextThere have been rumours in both the professional and national press that the Finance Act 2006 provisions relating to trusts will adversely effect property placed in trust for one of the parties to a marriage under the terms of a consent order between a husband and wife on ... Continue Reading
16/12/2006, by Mark McLaughlin CTA (Fellow) ATT TEP, Tax article - VAT & Excise Duties
VAT Voice by Steve AllenSteve Allen, Director of VAT Solutions (UK) Ltd, comments on some VAT tips - provided by HM Revenue & Customs!CommentThe following tips have been reproduced from the HMRC website. It would be interesting to see what you make of them, particularly with regard to complaints. On several occasions, we’ve had to send in a complaint about the Complaints Unit!
1. Making contact with HMRC and asking for advice.HMRC has a National Advice Service helpline – 0845 010 9000 – open ... Continue Reading
09/12/2006, by Mark McLaughlin CTA (Fellow) ATT TEP, Tax article - General
TaxationWeb by Malcolm FinneyMalcolm Finney examines the Special Commissioners decision in Gaines-Cooper v HMRC SpC 568 relating to the taxpayer’s domicile.IntroductionSo far most of the Press comment on the case has centred on the approach taken by the Commissioners in deciding the UK residence status of Mr Gaines-Cooper in which they counted nights spent in the UK in order that days of arrival and departure were thus not in fact totally ignored as is the usual position.
The decision of the UK ... Continue Reading
