“Residential property landlords, due to legislative changes, have been reconsidering their business strategy.
In our experience, it’s first important to get the basics of ownership and expenses deduction right first before exploring more complex routes.”
“If a business qualifies for Entrepreneurs’ Relief, a Capital Gains Tax rate of 10% will apply but there are several potential restrictions to avoid.
Review your existing ownership structure to ensure that your current arrangements meet the current criteria for securing Entrepreneurs’ Relief, particularly given recent changes.”
“For larger, more profitable companies, the quarterly payment regime for corporation tax applies (if your annual taxable profits exceed £1.5m).
Avoid having unnecessary group companies as they can bring down this threshold and accelerate the date on which you pay corporation tax.”
“If you have annual taxable income of between £100,000 and £125,000, did you know that any charitable donation might attract over 60% of income tax relief?”
“There are significant differences between the tax treatment of cars and vans. In many cases it will be obvious whether the vehicle you are purchasing is a car or a van for tax purposes, but in some cases it is not so clear.
To avoid unwanted tax charges, please discuss the position with your EQ Taxpert.”
“Tax enquiries and investigations can often be avoided by simply paying attention to good tax compliance.
Did you know that lodging accounts and tax returns right on the filing deadline is an indicator of tax risk to HMRC?”
“As a business owner, there are a number of tax-efficient benefits you can to offer to your employees.
Benefits are a useful tool for rewarding and incentivising key staff members, and the added bonus is that a number can be offered with no tax implications for the employer or employee. To find out more, please contact our EQ Employer Solutions Taxperts.”
“When you are developing property, it is important to discuss your intentions for that property with your tax advisor to maximise input VAT recovery.
You should also speak to your advisor if your intentions for that property change, as without proper planning this can result in input VAT recovery being blocked and previously recovered VAT being repaid to HMRC.”
‘When renting out residential property, it’s important to retain a record of the original purchase date and cost, any expenses such as LBTT or SDLT and any legal fees.
Invoices covering any amounts you have spent enhancing the value of the property should also be kept, failure to do so could increase your capital gains tax liability in the event of a sale.’
“Are you a limited company ?
Have you been seeking to innovate a product or process in the past two years?
If you answered ‘yes’ to both of these questions, you could be eligible for valuable R&D tax credits.”