Non-Cash Employee Benefits
Employers can give employees non-cash benefits as part of their remuneration. The value of non-cash benefits provided to an employee is normally taxable, but there are tax-free non-cash benefits available.
Salary Sacrifice Update
The UK tax treatment of Salary Sacrifice schemes changed from 6 April 2017, removing the advantage of using such schemes for many benefits. As we approach the end of the transition period on 5 April 2021, we look at the ways in which a salary sacrifice scheme can still work to your advantage.
Chancellor’s Summer Statement – SDLT Holiday, Hospitality VAT Cut and Staff Furlough Bonus
As the economy reopens, the Chancellor has announced temporary, targeted cuts in VAT and SDLT, along with a bonus for employers who rehire furloughed employees.
Car Subscription Services and the Company Car Charge
We discuss benefit in kind (BIK) and other business tax implications for company cars with car manufacturers moving to subscription-based models
Changes To Off Payroll Working Rules Suspended
The introduction of changes to the UK off-payroll working rules for the private sector, which was set to take place on 6 April 2020, have been suspended for a year due to COVID-19, and will now be introduced from 6 April 2021.
UK Tax Residence – COVID-19 Activity
The Chancellor of the Exchequer, Rishi Sunak, has written to the chair of the Treasury Select Committee to outline temporary changes to the Statutory Residence Test (SRT) for those coming to the country to work on COVID-19 related activity.
Inheritance Tax Planning
The new government has published its first post-Brexit budget and Inheritance Tax was not on the agenda. Given the current economic uncertainties, it seems that Inheritance Tax, rarely much of a priority for governments given that it invokes passionate feelings while in reality representing a small part of the total tax take, is unlikely to change for the foreseeable future.
Changes to Conditions for Entrepreneurs’ Relief
Entrepreneurs’ Relief has been the subject of recent changes including an extension to the length of the required qualification period and the introduction of a measure or protection for taxpayers who find that their shareholding has been diluted below the Entrepreneurs’ Relief threshold.
Year-end personal tax planning tips 2018/19
The last day of the 2018-19 UK tax year (5 April 2019) is looming large and for those who seek to be tax efficient, it is time to examine ways of potentially mitigating 2018-19 personal tax liabilities via year-end planning reviews.
Budget 2018 Summary
On 29 October 2018, the Chancellor set out his budget to Parliament, stating that austerity is "finally coming to an end" as the economic outlook improves, and appearing to spread some of the potential benefits around. The budget offered little in the way of significant overhaul, largely focussing on adjustments to existing reliefs, but what were the actual changes to the UK tax environment?
Top 10 Expat Tax Tips for Individuals Moving to the UK
The UK tax rules for non-domiciled individuals were thrown into confusion by the proposed reforms to apply from 6 April 2017 not being included in the Finance Act 2017, however, the Government has now confirmed that the Finance Bill due to be published in September 2017 will include the proposed reforms and that they will appl
Property Partnership Incorporation and SDLT
The government is clearly focused on directing private investment away from property and into areas that are more likely to stimulate economic growth, leading to a series of policies targeted against buy-to-let property owners.
Overseas Pension Changes 6 April 2017
HMRC have announced that the tax legislation regarding the UK tax treatment of the overseas pension scheme is changing from 6 April 2017.
UK Self Assessment Tax Return Filing and Penalties 2017/18
The end of the UK tax year for 2017/18 was 5 April 2018 and taxpayers need to consider completing and filing their Tax Returns for this year.
Tax Returns usually need to be filed with HM Revenue and Customs (HMRC) by 31 January following the end of the tax year if you file online (or by 31 October following the end of the tax year if you file a hard copy paper Tax Return).
New Offshore Bank Accounts for Expat Employees
Non-domiciled individuals that have come to work in the UK need to open offshore bank accounts outside the UK to take advantage of rules which exclude earnings from non-UK duties from being taxable in the UK. This relief is known as Overseas Workday Relief – or OWR - and in broad terms applies for up to three years providing employment earnings are paid outside the UK – offshore – and not remitted/brought to the UK.
Expanding into the UK Market: Tax Advice and Assistance
If you have started your business outside the UK and are looking to expand into the UK market, there are a variety of structural and regulatory issues facing you. Read more to discover how Tax Innovations can help.
Inheritance Tax Relief When Downsizing Your Home
From 6 April 2017, taxpayers have been entitled to an additional nil-rate inheritance tax (IHT) band, which applies to residences that are ‘closely inherited’ on the death of the donor.
HMRC Guidance Wrong on Directors Tax Returns
A Tax Tribunal has now agreed that HMRC’s view, and their published guidance on tax returns, is incorrect under the law.
Finance Bill 2017 Update
Several widely trumpeted tax measures that were going to be introduced by the Government have belatedly been withdrawn from the draft Finance Bill 2017.
Offshore Bank Account Reviews
It is time for non-domiciled “Expat” individuals to consider their offshore banking arrangements if they wish to continue claiming Overseas Workday Relief on an efficient basis.
Inheritance Tax: Future Planning
Without a strategy in place it is easy to find yourself with no options for Inheritance Tax mitigation just when you need it the most, and an unnecessary 40% Inheritance Tax liability.
Deemed UK Domicile Reforms 2017
The Domicile Reforms means that those deemed UK domiciled from 6 April 2017 will pay UK tax on worldwide income/gains & not on the “remittance basis”.
Brexit Tax Implications
On 23 June 2016 the majority of voters in the Referendum opted for the UK to leave the EU. Read what Brexit Tax Implications there may be for the future.
Non-Domiciled Rebasing for Capital Tax Gains: April 2017
The Non-Domiciled Capital Gains Tax Rebasing of the CGT cost leads to the possibility that only capital gains arising from foreign capital assets.
Capital Gains Tax Saving Opportunity
George Osborne’s recent deliverance of the 2016 Budget speech announced that the current higher rate of Capital Gains Tax (CGT) in April will see a reduction from 28% to 20%. The basic rate too will reduce from 18% to 10%. This will affect you if you are looking to sell assets which will realise a capital gain.
2016 Budget Summary
George Osborne gave his 2016 Budget speech to the House of Commons and Tax Innovations have created a clear, easy to digest summary of the documentation and what it will entail for tax in 2016.
ATED: New Annual Tax Rules from 1 April 2016
ATED is an annual tax payable by companies and other non-natural persons that own UK residential properties. From 1 April 2016 onwards ATED will apply to properties valued at £500,000 or more, where it previously only applied to properties worth at least £1 million. The ATED valuation date is 1 April 2012 or the date the property was acquired if that was later.
Expats: Offshore Bank Account Reviews
Many non-domiciled individuals that have come to work in the UK open offshore bank accounts outside the UK to take advantage of rules which exclude earnings from non-UK duties from being taxable in the UK (known as Overseas Workday Relief – OWR) .
Year End Tax Planning for Non-Doms and Expats
There are always as number of factors for “expats” to consider whether this relates to non-domiciled individuals (“non-doms”) living/working in the UK or Brits leaving the UK and seeking to establish non-residence status.
Year end personal tax planning tips 2015/16
The last day of the 2015-16 UK tax year (5 April 2016) is fast approaching and the UK Budget is taking place on 16 March 2016.
Non-Domiciled Status and UK Tax Planning
A consultation has been launched by the Government regarding the stricter regime to be introduced for “non-doms” from April 2017.
US Limited Liability Companies (LLCs) – Swift Case
Following the UK Supreme Court’s decision in Anson v HMRC (the Swift case), HM Revenue & Customs (HMRC) has now published its view of the decision.
2014/15 UK Tax Return filing deadline and penalties
The 2014/15 UK tax year ended on 5 April 2015 and taxpayers need to consider completing and filing their Tax Returns for this year.
UK pension planning for the 2015/16 tax year
Pension contributions to a UK registered plan remain a highly tax-advantaged strategy with personal tax relief due at up to 60% depending on your income level, and tax-free growth within the pension fund once contributions have been made.
HMRC Free to Access Taxpayer Bank Accounts
Despite a massive outcry last year against suggestions that HMRC should gain powers to collect tax debts directly from taxpayers’ bank accounts under the Direct Recovery of Debts (DRD) rules, it has recently been announced that HMRC intends to push forward regardless.
UK Budget – UK tax treatment of “non-doms”
In his Budget on 8 July, the Chancellor announced major changes to the way non-domiciled individuals (“non-doms”) will be taxed in the UK from April 2017.
Summer Budget 2015 – Key Points
With his summer Budget speech of 8 July 2015, Chancellor George Osborne has introduced significant changes to the UK tax system and set out the Conservatives plans to balance the budget by 2020.
Budget Newsflash – Changes to Non-Domiciled Rules
In his 2015 Summer Budget, the Chancellor has announced changes to the rules that determine an individual’s domicile status.
Income Tax Payable on UK Property Income
US LLCs – change in UK tax treatment
The General Anti-Abuse Rules
Election Pension Tax Planning
Tax on separation and divorce
UK Self Assessment Tax Return filing and penalties 2014/15
UK Property Sales: Capital Gains Tax for Non-Residents
Death of the UK Tax Return for Expats?
EFRBS Settlement Opportunity Deadline Looms
2015 Budget Summary
Top year end UK personal tax planning tips 2014/15
Expats Need to Review Offshore Bank Accounts
Changes to the Taxation of Share Awards for Expats
When to Register for VAT
Capital Allowance and the Annual Investment Allowance
SDLT Changes – Are They Enough?
Annual Tax on Enveloped Dwellings Returns
Employers: Do you know your staging date for automatic enrolment?
UK Tax Returns for Expats, Non-Doms and US Citizens
Pensions – 55% “Death Tax” Abolished
UK Tax Returns for Non-Residents and Non-Doms
UK Tax Update for Non-Doms
UK Tax – Focus on Non-Resident Landlords
Retained Cash and Business Property Relief
HMRC to Force Accelerated Payment of Inheritance Tax
There has been recent press coverage of HMRC powers being used to force the accelerated payment of inheritance tax (IHT)
Taxation of UK Property Income
A New Dawn for the UK Pension Regime
Partnership Profit Allocation in Mixed Partnerships
Non-residents – consultation on Personal Allowance
Inheritance Tax on Trusts to Increase
New Pooling Requirements Limit Capital Allowances Claims
Charging Capital Gains Tax on Non-UK Residents & UK Property
Impact of Budget for Expats
As the dust settles on the 2014 Budget delivered by the Chancellor last week here is a round up of some of the provisions for “expats” such as non residents and non domiciled individuals.
Reviewing Offshore Expat Bank Accounts
Employment Allowance: Up to £2,000 off your Class 1 NICs
HMRC EFRBS Settlement Opportunity
HMRC is currently sending letters to companies that have made contributions to Employer Financed Retirement Benefit Schemes (EFRBS) that outline an opportunity to settle the taxation treatment of these contributions under one of two possible treatments.
Self Assessment Penalties for Tax Year Ended 5 April 2013
High Income Child Benefit Charge – Update
Directors Loan Accounts
Capital Gains on Residential Property
The Media and Tax Avoidance
Child Benefit – Update on the New Rules
Tax Return deadline date looms for paper Returns
Pensions Auto Enrolment
Revised guidance for modified PAYE/international assignees
As you may be aware HM Revenue & Customs are carrying out a major overhaul of how employers report details of their PAYE employees’ earnings & withholdings.
Self Assessment taxation for expatriates
Clampdown on tax evasion for expats in Spain
Inheritance Tax Overpayments
Child Benefit Payments to Parents are Changing
A busy year end – Employers 2011-12 PAYE deadlines!
The 2011-12 tax year ended on 5 April 2012 and employers are being reminded by HM Revenue & Customs (HMRC) to submit their annual PAYE P35 payroll Returns on time, or be liable to penalties.
UK – Swiss Tax Changes
VAT changes affect employee benefits
E-Traders Targeted by HMRC
This new campaign targets individuals who trade goods via e-marketplaces such as Ebay that have not disclosed the appropriate business trading income in their tax returns.
Year End Tax Planning
With the end of the UK tax year (5 April) looming in to view; it is time to consider various year end tax planning that might make a difference in reducing your tax liabilities. Issues to consider include but are not limited to:
Expatriate Tax Planning News
Record number of on-time taxpayers
PAYE on Share-based payments
Payments made by an employer after an employee had ceased working for them used to be taxed at the basic rate of tax. This was altered so that currently, graduated rates of PAYE tax are applied depending on the level of payment made.
HMRC ESC C16
Pensions Rules Changes
The Annual Allowance for making UK pension contributions remains at £50,000. However, with careful planning relating to “pension input periods” and the three years carry forward of unused Annual Allowances from previous years, it may be possible to receive tax relief in the current tax year on contributions well in excess of £50,000.
Self Assessment Tax Returns
HMRC Launches Offshore Tax Unit
Modernising the personal tax system
The publication 'Modernising Administration of the Person Tax System' details ideas of how personal taxes can be made more visible to individuals and invites professionals and taxpayers to submit their views on a number of questions about the subjects mentioned below.
HMRC Targets Foreign Property Owners
Seafarers UK tax relief
HM Revenue and Customs (HMRC) has announced that they intend to extend the Seafarers' Earnings Deduction to European Economic Area (EEA)/European Union (EU) resident seafarers who have paid UK tax from 2011 - 12.
ISA limits increased for April 2012
HM Revenue and Customs has announced that from April 2012, the subscription limits for Individual Savings Accounts (ISAs) will increase to £11,280.
Employer National Insurance Holiday
The Employer National Insurance Holiday is the entitlement to a reduction in NIC's, dependent on meeting certain qualifying criteria.
Her Majesty's Revenue and Customs (HMRC) are in the process of contacting up to 1.2 million people over the next three months to notify them that they underpaid their tax for the year 2010 - 2011.
The UK Investor Visa
Pension Tax Relief Imbalances
Reminder for New Tax Return Penalties
Her Majesty's Revenue and Customs (HMRC) have sent out a reminder regarding the new penalty system for self-assessment returns that comes into effect for 2010/2011 and onwards.
VAT “Amnesty” Rule Breakers
PAYE Notices of Coding
£50,000 Non Domicile Charge
- Property Partnership Incorporation and SDLT
- UK Property Sales: Capital Gains Tax for Non-Residents
- Offshore Bank Account Reviews
- Non-residents – consultation on Personal Allowance
- UK Tax – Focus on Non-Resident Landlords