Holding crypto assets, and trading in crypto currency, have become much more mainstream activities in recent years. Increased scrutiny by HMRC and a new tax reporting framework means that in the future these transactions will need to be included on tax returns. Crypto assets are an increasingly popular type of investment with 10% of people […]
Whether managing your corporate or personal tax affairs, March is a really good time to spend a little while preparing for the impending end of the tax year. As ever, the budget statement on 6th March means a number of changes will take effect from April 6th, requiring due consideration in advance. There are also those perennial matters for which prior planning prevents post-Christmas palpitations – Yes, now is a good time to be thinking self-assessment.
After marginal decreases in property values in the latter part of 2023, and with mortgage interest rates still at their highest in more than a decade, some are using the chance to jump out of the property market, downsize or sell second properties and invest the cash.
If you’re thinking of selling property or downsizing and investing the proceeds, there are a few things you need to consider.
Important – If you are self-employed or in a trading partnership and your accounting year end does not match the tax year (April to March), new annual self-assessment reporting changes will impact you from this tax year.
New legislation that came into force from 1st January 2024, has left many individuals wondering whether they will end up paying tax on incomes generated through a range of online portals such as eBay and AirBnB. News of the reporting changes for digital portals spread like wildfire across social media with some suggesting this was a back door in for HMRC to begin charging tax on sales of unwanted goods and second-hand clothes. But clarity has now been provided to help online sellers and those renting properties via portals such as AirBnB understand what the new legislation is and when it might see them paying additional tax.
Our latest Autumn Tax briefing is now available to download here.
The Treasury and HMRC are reportedly looking at the removal of a ‘double tax break’ which currently enables families to inherit pension savings and not pay income tax or Inheritance Tax (IHT) on the proceeds. At present, families inheriting pension savings from somebody who dies before the age of 75 can withdraw funds and not pay any tax on the proceeds.
At the same time as a poll for the Sunday Telegraph suggested voters believe Inheritance Tax (IHT) to be the most unfair tax levied on UK residents, revised HMRC forecasts were suggesting that up to 50,000 more families would be faced with an IHT tax bill by 2028.
With house prices at all time highs, mortgage rates on the increase and disposable incomes under pressure, the property rental market has been booming as individuals, couples and families choose to rent rather than buy. If you’re thinking of buying a property to rent or you’re switching your current property to a rental as part of a relocation, you’re going to need to know about the tax implications of doing so.
News that HMRC has pulled in almost £650m due to complex inheritance gifting rules in the past three years, has once again highlighted the need for careful estate planning by families. Whilst the overall tax receipts from Inheritance Tax (IHT) between April 2022 and February 2023 were £6.4 billion, the focus of this latest news is on the proportion collected as a result of gifts made by the deceased in the period leading up to their death.
Following the completion of the latest round of Self-Assessment, HMRC is reported to be looking into undeclared income from short term lettings that it believes should have been included on tax returns in January. Those believed not to have declared income will be sent ‘nudge’ letters.
Analysis by HMRC suggests that millions of investors will be hit hard by the planned reductions in the dividend allowance coming into effect in April 23 and April 24.