Latest News

Short-Term Business Visitors

HMRC are consulting on ways to simplify the tax treatment of short-term business visitors from the foreign branch of a UK company, to ensure the UK is an attractive location for business headquarters.

Notify HMRC of EBT and Similar Loans by 30 September

HMRC have published revised guidance on settling tax liabilities in relation to the use of disguised remuneration schemes involving Employee Benefit Trusts (EBTs) and similar arrangements.

In order to settle on preferential terms before the outstanding loan charge arises on 5 April 2019, taxpayers must register with HMRC and provide all of the required information by 30 September 2018.

Trust Taxation

We are still awaiting the promised consultation on the taxation of trusts announced in the Autumn 2017 Budget. However, in the meantime, HMRC have updated their guidance on how different types of trust income are taxed, what management expenses and reliefs can be deducted, and understanding the tax pool.

New VAT Rules for Building Trade in 2019

Under new rules due to come in on 1 October 2019 builders, sub-contractors and other trades associated with the construction industry will have to start using a new method of accounting for VAT.

The measure is designed to combat VAT fraud in the construction sector labour supply chain which HMRC argue presents a significant tax loss. HMRC has now published draft legislation to introduce the Reverse Charge for Construction Services.

Advisory Fuel Rate for Company Cars June 2018

These are the suggested reimbursement rates for employees' private mileage using their company car from 1 June 2018.

Note that for hybrid cars use the equivalent petrol or diesel scale charge. However, it may be more beneficial to compute the actual cost.

Where there has been a change the previous rate is shown in brackets.

Extracting Money from my Property Company

There are three ways of extracting money from your property business and the best option usually depends on how far into the property journey you have travelled. These are by way of Director or Shareholder Loan Repayments, a Salary and/or Dividends. Let’s cover these in a little further detail.

Borrowing Money from an Existing Business for Property

Funding the expansion of your Property Portfolio can sometimes be difficult. However, if you have money in other businesses that you are involved in which is not required for trading purposes, you have an alternative option.

If the company with the money is solely owned by yourself then you could transfer the money to your property company as an interest-free loan and which is either repayable on demand or a fixed term, depending on your preferences.

Property Company Tax vs Landlord Tax Return

To enable us to explain the differences between how you pay tax as a company and how you pay as a Landlord, the easiest way is to explain the two regimes that are currently in place.

Company Taxation

Why Set Up a Limited Company for My Property Business?

Sadly the answer to this question is “It Depends!!” However, there are some general principles that you can consider when deciding what is the best approach for you and your business.

There are some questions which depend on your tax position, and a few that relate to your own preferences. These are some starting questions to ask yourself:

Lasting Power of Attorney

Lasting Powers of Attorney (LPA) are considered to be one of the most important areas of planning you can put in place during your lifetime for yourself.

Steve Bryan of Eagle Estate Planning led the implementation for the Mental Capacity Act (MCA) across Derbyshire between 2008 and 2012 and lectures on its application. The MCA introduced Lasting Powers of Attorney.

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