Tax Insider 3 x Newsletter Bundle 

Of the four types of approved share schemes, the enterprise management incentives (EMI) scheme offers both flexibility and discretion in its use. It was originally introduced to incentivise and retain key employees (but excluding contractors). 

Reshma Johar provides a helpful checklist for company owners when considering enterprise management incentives for employees.

VAT: The advantages of self-billing

Self-billing is an arrangement between a supplier and a customer, whereby the customer produces the sales invoice on behalf of the supplier; this can have advantages for both parties. 

Andrew Needham looks at self-billing for VAT purposes and the advantages it can have for businesses.

SEISS grants: What’s the tax position?

Following its launch in March 2020 as part of the UK government’s response to the Covid-19 pandemic, the self-employed income support scheme (SEISS) has proved a huge success. In total, almost 10 million claims have been made, with a total value of £27 billion.

Iain Rankin explains the rules on self-employed income support scheme grants, how they are taxed and why they are still causing a degree of confusion among some taxpayers and agents. 

Tax implications of owning assets personally

It is very common for a business owner to bring that business’ premises or land into a limited company with the rest of the business upon incorporation, or to place those assets within the partnership through a capital account. 

Chris Thorpe looks at some of the implications of owning assets personally which are used in the owner’s company or partnership.

Discovery' and 'pre population' of tax returns: Whose fault?

Under the government’s 'making tax digital' initiative, HMRC receives information from specific data providers (e.g., employers and pension providers through PAYE) and automatically adds (‘pre-populates’) the details into a taxpayer’s records and tax return. 

Jennifer Adams reviews a recent tax case where the taxpayer relied on the new 'pre-population' of tax returns as the basis of an appeal against a discovery assessment issued by HMRC.

When compensation receipts may be taxable

A business could suffer a loss of income or profits through no fault of its own. This may result in entitlement to compensation or damages.

Mark McLaughlin looks at an instance where compensation receipts may be taxable as income, not capital. 

Q&As with Arthur Weller

HMRC powers - are your documents out of reach? 

Taxpayers are sometimes issued with information notices requiring them to provide HM Revenue and Customs (HMRC) with information and documents ‘reasonably required’ to check the taxpayer’s tax position (or to collect a taxpayer’s tax debt). 

Mark McLaughlin warns that taxpayers may be required to provide HMRC with documents not physically held.

Maximising tax free income from April 22

The tax rates and allowances that will apply for the 2022/23 tax year have now been confirmed. There were few surprises, as the Chancellor had announced in his March 2021 Budget that most rates and allowances would be frozen at their 2020/21 level until April 2026. 

Sarah Bradford looks at the tax rates and allowances applying for 2022/23 and considers how to take advantage of allowances to maximise tax-free income.

New HSCL and corporation tax rates: What are the implications?

Owner-managed business (OMB) taxation is set for some quite significant changes over the next year or so, with the March 2021 Budget announcing changes to corporation tax from 1 April 2023, and the new health and social care levy (HSCL) planned from April 2022. 

Lee Sharpe considers the effect of the health and social care levy on owner-managed businesses in light of the scheduled rise in corporation tax rates.

Getting to grips with the stamp duty changes (Part 2): All change!

In the second part of this article, we look at some of the other recent stamp duty changes that may affect owner-managed companies on various corporate transactions.

Peter Rayney continues his review of the recent changes to stamp duty affecting owner-managed companies.

Q&As with Arthur Weller

Jointly owned property - form 17 and its uses

It is very common and in certain cases tax advantageous to hold assets such as investment property jointly in the names of a married couple (or civil partners). However, careful tax planning is needed to maximise the benefits.

Mark McLaughlin looks at some practical issues for spouses and civil partners of making a declaration of beneficial interests in joint property and income.

Not all capital expenditure is equal…

The tax system distinguishes between capital and revenue expenditure, and different mechanisms exist to confer relief for that expenditure.

Sarah Bradford explains how tax relief may be given for capital expenditure.

How to tax rental income received as part of a trade

A number of situations may arise where rental income might be received within a trade or profession.

Meg Saksida explains the tax treatment of rental income received by the owner in the capacity of a trader.

Tax-efficient property development

One of the key challenges, regardless of whether you are a landlord or a property developer, is to get the right tax structure in place, ideally from the outset.

Alan Pink suggests a structure for a property development business.

Q&As with Arthur Weller