Tax all Flashcards
Vat treshold for registration
90k or more.
some supplies are (res land, postal, education, health) exempt and cannt be registerd for vat and cannot claim it back
some supplies (books, food, water) are 0 rated and they can register and reclaim
Income tax allowances
marriage allowance-1260 if left over and basic partner
Blind allowance- 3070
dididend allowance- 500
personal allowance 12570 (reduced by 1 ever 2 above 100k)
property+ trading =1000 tax free
Vat reliefs
Imput tax relief- claim back what you paid
Income tax bands, nsnd, div
PA =12570
basic 20%- 12571-50270
high 40%- 50271-125140
additional 45% - 125141+
dividend
pa -1000
8%
33.75%
39.35%
Saving tax bands
PSA 1000/500 If applicable
0-5000 = 0% - Reduced by 1;1 on your NSNDI if above personal allowance
5001-37700= 20%
37701 - 125140 = 40%
125140+ =45%
Taxable income sources
Pension, rental, work, trading profit, dividend, annuities.
exempt- personal injury interests, gambling,, premium bond winnings and ISA account, state benefits
CGT rates
10% basic 20% higher
residential property but not main residence= +8% (18) basic, +4% (24) higher rate.
CGT reliefs
Loss relief can be carried foward indeffinately, but reduces to limit of annual exemption.
roll over relief- sell and buy, apply gain to cost of bought item- qualifying busi asset, 1:3 yrs.
roll over relief on incorp- all buis, shares in exch, continue under new company.(auto applied)
gift relief- gain transfered to person receiving
BADR- owner/ director ( need 5% min shares) owned for 2 years sells buis/ shares pay only 10% tax on up to 1mil in gains (lifetime)
CGT annual exemption
3000 or other trustees 1500.
Income tax period
6 april - 5th april per year
if parnership treated as started trading at time entered till 5th april
if starting buisness/ trading same as above apportionment
AIA and WDA
1mil AIA, comp get full exepensing ( unlimited amt, only on new P+M)_
18% existing plant machinery- WDA
what is indexation allowance
allwance for inflation, ended 2017.
can adjust for inflation and make a deduction based on the rate.
Considerations in Calculation chargable gain in CGT
(initial cost and incidental acqu cost such as legal fees, cost to enhance (not maintaince or repairs), cost of disopsal) - selling cost= chargable gain.
buy, enchance,sell - selling cost.
cost to maintain not included
stamp duty on share transfer
.5% of value of conside for the shares rounded up ot narest 5.
partner
