I was going to start this article with a joke about the ‘trickle-down’ economy, but 99% of people wouldn’t get it…… Trickle down economics was known in the latter part of the nineteenth century as ‘horse and sparrow economics’. The theory being that if you fed the horse enough oats, some will pass through to...

Next quarterly or monthly VAT return must be filed using MTD-compatible software From Tuesday 1 November 2022, businesses will no longer be able to use their existing VAT online account to file their quarterly or monthly VAT returns. Businesses that file annual VAT returns will still be able to use their VAT online account until...

You live on a farm and have decided to convert a barn on part of the land into a self-contained dwelling and live there when it is completed. Building work will be carried out by external contractors. What are the VAT issues that you should be aware of?  Tax expert John Craig explains further. The...

The rules for sharing income from your company with your spouse or civil partner are well known. But, if you’re not legally joined, is there a tax-efficient way to share your income?  Helen Johnstone looks at this in more detail below. A few years ago, HMRC lost a long running fight to prevent married couples/civil...

Your father recently died having spent the last two years in care. Last year you sold his home to help pay the nursing home fees. When preparing the inheritance tax forms, are you entitled to claim the residence nil rate band?  Tax Partner Brona MacDougall discusses. The inheritance tax (IHT) residence nil rate band (RNRB)...

During major sporting events such as The Open or Commonwealth Games, many people looked to boost their income by renting property to spectators and so on. So why might these people receive a letter from HMRC? Lauren Herbert advises. A sporting event held over several days is a great opportunity to utilise spare rooms or...

New rules were introduced on 6 October 2020, that requires more UK trusts and some non-UK trusts to be registered on the TRS, regardless of whether the trust has any tax to pay, by 1st September 2022 but with some specific exclusions. Registration requirements The main categories of trusts caught by the new requirements include:...

A set of draft company accounts have been prepared and they show that the director shareholders received “unlawful dividends”. What are the tax consequences of this and how can they best be managed? Jane McWilliam provides advice. The last couple of years have been tough with many businesses having had significant contractions in profits compared...

Your business leases cars for your employees, paying VAT on the monthly charges. But are you correctly claiming input tax and what happens if you return the vehicle before the end of the agreement? Or if you receive a rebate of your rental payments? VAT Expert John Craig explains. If the car has business and...

You are planning on holding a summer party for your employees but what is the tax and NI position of such an event and what do HMRC’s rules say about it? Lauren Herbert advises. Usually, business entertainment is not a tax-deductible expense. However, the cost of entertaining your employees (including directors), such as having a...