Taxing Company Cars: The Basics If you have access to a company car for personal use, you’re required to pay tax on the benefit you receive. The tax charge is calculated as a percentage of the car’s list price, including any optional extras, with adjustments for any employee capital contributions up to £5,000. This percentage, […]
A Unified Approach to Property Income From 6 April 2025, a major shift is coming to the way rental income is taxed. The separate tax treatment that applied to Furnished Holiday Lettings (FHL) will be scrapped. Going forward, income from FHLs will be taxed under the same rules as income from other residential properties. If […]
What Is the Official Rate of Interest? The official interest rate is a benchmark set by HMRC used to calculate the taxable benefits employees may receive from their employer. Specifically, it applies to: Cheap or interest-free employment-related loans Employer-provided accommodation valued above £75,000 This rate determines how much tax an employee may owe on these […]
Why Invest in Woodlands? Take a drive through the countryside, and you may notice signs declaring ‘Woodlands for Sale.’ These aren’t just scenic plots of land—they can be a strategic investment with noteworthy tax advantages. Investing in commercial woodlands can open the door to several reliefs and exemptions, especially when managed with profit in mind. […]
What is ATED? The Annual Tax on Enveloped Dwellings (ATED) is a charge levied primarily on non-natural persons—typically companies—that own UK residential property valued over £500,000. If your company owns such a property and none of the exemptions apply, an ATED return must be filed, and the corresponding tax must be paid. Key Filing Dates […]
Why Pension Contributions Matter Saving into a registered pension scheme remains one of the most tax-efficient ways to plan for retirement. Whether you’re an individual, a business owner, or an employer, making pension contributions can offer valuable tax relief. Contributions can be made for yourself or on behalf of someone else, and employers are also […]
The Shift is Here: MTD for Income Tax Confirmed After several years of delay, the launch of Making Tax Digital (MTD) for Income Tax is finally happening. This new phase will significantly change how millions of self-employed individuals and landlords report their income to HMRC. As announced in the Autumn Budget 2024, by the end […]
A New Era for Landlords Begins in 2026 The way landlords report rental income to HMRC is about to undergo a major shift. Starting in April 2026, Making Tax Digital for Income Tax Self Assessment (MTD for ITSA) will come into force for many landlords. This change means moving away from traditional paper records and […]
A New Era for Employers Starting 6 April 2025, significant changes to National Insurance contributions (NICs) will take effect, impacting employers of all sizes across the UK. Here’s what to expect: Lower Threshold, Higher Rate: The secondary threshold—the point where employers start paying NICs on employees’ earnings—will drop to £96 per week (£417 per month […]
Understanding Business Entertainment Rules When claiming tax relief on business entertainment, HMRC has made its stance clear: most entertainment costs are not tax-deductible and cannot be used to reclaim VAT. Even if the expense is a legitimate part of running a business, it’s generally not allowed. However, there are some important exceptions worth understanding. What […]