Tax Question and Answer
I’m planning to buy some new equipment for my business. Can I claim the cost for tax? As a general rule, if an expense is incurred for business purposes then it can be deducted from income to reduce the taxable…
Marriage Allowance
Whilst not as valuable as the Married Couple’s Allowance, which requires at least one partner to have been born before 6th April 1935, the Marriage Allowance can still provide a tax saving. Its main application is for couples where one…
Tax On Dividends
I run a small limited company with my wife. In previous years we have each taken a small salary then dividends from the remaining profits. This has previously left us with no tax bills. Now I find we both have…
Questions and Answers
In a brief period of unemployment, I did a little bit of self-employed freelance work. I now have another full-time job. Do I need to report this income? If your total income from self-employment was less than £1,000, then you…
Questions and Answers
I’m VAT registered and I have just bought a second-hand vehicle for the business. Is there any VAT I can reclaim on this purchase? If the vehicle you have purchased is a car, it is extremely unlikely you will be…
Tax Questions and Answers
I work in the building industry, with most of my work being short-term contracts on various sites. Do I need to register as self-employed each time I start a new contract? When you are working as self-employed, regardless of the…
SHEIKH GULZAR: The debt gets personal
Sheikh Abid Gulzar, recent controversial buyer of Hastings Pier, told HIP in an interview which we published last month (Issue 106) that he was spending his own ‘good hard-earned money’. When our interviewer pointed out that two of the companies…
Taxation of Redundancy Payments
Redundancy is a situation where an employer needs to reduce the size of their work force. When someone loses their job as a result of redundancy, the taxation of the amount they receive for this will be dependent on a…
Tax Questions and Answers
When we last moved we were unable to sell the family home, and so have rented it out for some years. With the improving housing market locally, we hope to sell in the near future. Will we face a tax…
Tax Questions and Answers
I’m told I will need to make a payment on account in July. What is this? When you receive income from PAYE, tax is deducted from each payment throughout the year. When you have income outside PAYE, from such things…