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Class 2 NICs are flat-rate contributions payable by the self-employed, currently charged at a rate of ยฃ3.45 a week. Non-payment (or credit) could mean entitlement to the state retirement pension (and other contributory state benefits) will be affected unless the individual is also paying Class 1 NIC because they are employed. The majority of self-employed
The potential to be charged capital gains tax (CGT) arises with the sale or gift of an asset. Deferral of the charge is possible with reference to business assets using ‘hold-over’ relief, thereby avoiding an immediate CGT charge for the donor. The donee takes over the donorโs CGT base cost, increasing any gain on
If you have a spare room in your home, you may consider letting it out to raise some much-needed cash to help meet rising living costs. If you do decide to do this, the rent-a-room scheme means that you may be able to enjoy the associated rental income tax-free. The scheme applies where you let
The main residence exemption applies for capital gains tax purposes to the extent that a property is used as the taxpayerโs only or main residence. Where a property is used partly for business and partly as a residence, the relief only applies to that part which is used as a residence. The gain relating to