Yousaf & Co. Accountants have a number of great tax tips for you.
The tax tips often require our expert knowledge to be mode relevant to your individual business. Contact us today and let us see if we can save you money!
Savings & Investments
Don't forget the kids! Children are entitled to make £9,600 (increased to £10,100 as of 5th April 2009) of tax-free gains in their own name.
If you let out furnished holiday accommodation and this incurs a loss then you may be able to claim this loss against other income in the year. There are varying conditions surrounding this tax saving.
Benefits in Kind
Consider buying the Company Car and charge your employer for business mileage. No more car or fuel benefit charges. You can charge your mileage at no more than 40p per mile for the first 10,000 business miles in a tax year, 25p per mile over 10,000 miles.
Personal Tax Planning
Call us if you have doubts about the amount of tax requested. HMRC do make mistakes!
National Insurance & VAT
Reclaim input VAT if your employees use a rate per mile to calculate the business use of their private car. Customs and Excise provide a chart that explains the claims procedures.
Tax Allowable Payments
Claim up to a possible 50% tax allowance if your business invests in any plant or other equipment during the tax year 2007-2008. The 50% is valid for that year only.
From 5th April 2008, businesses investing in qualifying fixed assets (like machinery) can claim l00% first year allowances on these assets.
Do you have a Nil Rate Band Trust included in your will? This will save Inheritance Tax on the first death.
Property & Loans
Tax Refunds from Holiday Homes! If you buy a property to let as a holiday home the taxman considers this to be a trade. If the rents you collect do not exceed the outgoings, bank interest etc., you can set the loss against your other income and obtain a refund.
File your Self-Assessment return on time. Don’t forget, £100 fine if you file your 2006/2007 returns after the 31 January 2008.
Business Tax Planning
Zero Tax for Small Companies. The zero rate band for small companies was abolished 31 March 2006. After this date the first £300,000 of profits are taxed at 20%.
This rate has increased to 21% with effect from 5th April 2008.