Once the dust has settled on what was a radical far reaching budget by Chancellor of the Exchequer George Osborne, one of the more unexpected changes was the reform that will be brought in to change the way that property landlords will be taxed in future. There were several changes which we will examine in this blog
Tax relief on mortgage interest
Currently where a loan or mortgage is taken out to purchase, or renovate an investment property full tax relief…
In this analysis we have mainly concentrated on the tax measures that will directly affect individuals, employers and small businesses.
If you have any questions or would like one-to-one advice tailored to your needs, please call us on 01792 466 428 or email [email protected].
Q. I personally own a number of buy-to-let residential properties. My son will attend a new school from September and it would be convenient for the family to live in one of those let properties. Can the cost of repairs made to that property while we are living there be claimed as expenses against the rental income from the whole property portfolio?
A. Any expenditure on repairing the property will be incurred for the benefit of you and your family while you live there, so it can’t be deducted…
When you register your business for VAT you can reclaim the VAT charge on goods you acquired within the previous four years, and on services provided to your business within the last six months. As long as the items were used for your business, and you still held the goods (as stock or business assets) at the date of the VAT registration, you can claim back the VAT on your first VAT return.
However, the VAT man has recently changed his view on exactly how much VAT you can…
If you have received a penalty for late filing of your personal tax return it is possible to get it cancelled if all of the following conditions are met:
– the penalty relates to your tax return for 2013/14;
– you have now submitted that tax return to HMRC;
– your appeal against the penalty includes a reasonable excuse for the late filing.
The reasonable excuses that HMRC will accept include; computer faults encountered while submitting the return, unexpected postal delays (only applicable to paper tax returns), life-changing events such as the…
Employers are supposed to be warned in advance that a penalty for a late PAYE report is due. The HMRC computer system should send an electronic notice through the PAYE online system, but in some cases those electronic notices have not arrived. If you have received a late filing penalty for PAYE we need to check if any of the following conditions apply:
Three-day grace period
In February 2015 HMRC announced that full payment submission (FPS) reports could be submitted up to three days after the day on which the…
HMRC has started the tax reconciliation process for the majority of taxpayers who are taxed under PAYE. This may include you or your relatives, as this reconciliation also covers those in receipt of the State Retirement Pension and private pensions.
If the HMRC computer system finds there is a difference between the tax collected under PAYE and the amount due for the tax year to 5 April 2015, it will issue a form P800 which includes a tax computation. Even if we are authorised to deal with HMRC on…