Tax Insider 3 x Newsletter Bundle 

Whether it is a result of the Covid-19 pandemic or planned legislative changes, there have been a number of changes to taxing the self-employed (SE) since 6 April 2020. 

Meg Saksida reviews the most important changes that affect the self-employed in 2020.

HMRC has increased the amount of the existing flat rate tax deduction, which is available for employees who incur additional household costs because they work at home under homeworking arrangements.   

Sarah Laing looks at expenses that may be claimed by employees required to work from home, including a new temporary exemption due to the coronavirus (Covid-19) pandemic.

There are two ways retailers can finance interest-free credit; self-finance (i.e. where the retailer simply collects payment over an agreed period of time) and finance provided by a third party finance house. 

Andrew Needham looks at the VAT implication of selling goods on interest-free credit.

A company with a large amount of cash on the balance sheet is obviously a ‘good thing’ for the company’s owners. The only problem is how to get it out, and in a tax-efficient manner?

Chris Thorpe explores some options available to owners who wish to extract profits out of their companies.

The coronavirus lockdown has caused serious financial distress for many businesses. Unfortunately, some of those businesses that closed will never open again. 

Jennifer Adams looks at the effect the coronavirus is having on some closed businesses. 

Some taxpayers seem to consider that HM Revenue and Customs (HMRC) does whatever it wants. Of course, that is not the case. For example, there are certain conditions and exceptions about when HMRC can request information and documents from taxpayers..  

Mark McLaughlin looks at whether proposed changes to HMRC’s Charter will make it better or worse for taxpayers.

It is common for director shareholders of owner-managed business to build up an overdrawn loan account during an accounting period, with a view to subsequently either clearing the loan by a dividend or getting the company to write off (waive) the loan. 

Kevin Read explains the different treatment for income tax and National Insurance contributions purposes when an overdrawn directors’ loan account is written off.

For an owner-managed business operating as a limited company, there are situations where covering education fees for staff (including directors or employed family members) can offer significant tax savings.

Iain Rankin looks at ways for company owners to pay education fees via the business to maximise tax efficiency.

The government has put in place a number of measures, encompassing both grants and loans, to help individuals and businesses affected by the Covid-19 pandemic. 

Sarah Bradford explains the help available to the self-employed through the self-employment income support scheme.

Winding up a company can be by far the most tax-efficient method of extracting value from it. This is what might be termed the central or ‘classic’ problem of owner-managed business tax planning.

Alan Pink considers the option of winding up a company as tax planning and important points to look out for.

It is common these days for individuals to work from home. For tax purposes, their attention is often focused on claiming tax relief for business expenses incurred while homeworking, or on whether capital gains tax ‘principal private residence’ relief will be restricted when the house is sold. 

Mark McLaughlin looks at working from home and whether it can save stamp duty land tax on the purchase of a home. 

Is it a capital or an income expense? This is a question that is commonly asked when calculating a tax computation for a let property.

Meg Saksida reviews the classification and clears up some common confusion.

Where a landlord lets a property furnished, domestic items will be provided for use by the tenants. Special rules apply to determine both the timing and extent to which tax relief is available for the costs incurred in relation to the provision of domestic goods.

Sarah Bradford explains how landlords can obtain tax relief for replacement domestic items.  

Some (predominantly online) businesses have prospered from the coronavirus pandemic while millions of people have been encouraged to stay at home, but most businesses have suffered. 

Lee Sharpe looks at the implications for landlords whose tenants are struggling to pay rent in the Coronavirus era.

The expression ‘putting someone on the property deeds’ is commonly used to describe changing the legal ownership of a property, such as an individual’s home.

Mark McLaughlin looks at inheritance tax issues of ‘putting someone on the deeds’ of an individual’s home.