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Difference Between Tax Planning And Tax Avoidance Recent years have seen HMRC stepping up its efforts to reduce what is termed the ‘tax gap’ (defined as being the amount of tax that HMRC think should, in theory, be paid in comparison with the amount actually paid) which from statistics published in February for the 2019/20

Loans To Participators Owner manager companies are usually ‘close companies’ that is ‘under the control of: (a) five or fewer participators, or (b) participators who are directors’. For most small, limited companies, ‘participators’ means ‘shareholders’. However, the legal definition is broader in that a ‘participator’ can be anyone (or their associate) with a financial interest

Identifying A UK Property Rental Business Where a landlord runs an unincorporated property business, the profits from that business are charged to income tax. Where the business is carried on through a company, the charge is to corporation tax. There are four different types of property business: a UK property rental business; a UK furnished

Undertaking Work On A Rental Property While Empty – Can You Deduct The Costs? Where a property is let out, there are likely to be periods when the property is empty, either between tenants or, in the case of a holiday let, between guests. Properties need to be maintained, and it is easier to undertake

VAT Flat Rate Scheme – Is It Worthwhile? The VAT is a simplified scheme that can save work. Instead of working out the VAT that you need to pay over to HMRC by deducting input VAT from output VAT, you pay a fixed percentage of your VAT-inclusive turnover. The percentage depends on the nature of