Tax Question of the Week

Question My client owns an investment property and pays higher rate tax on the rental income but her husband has some unused personal allowance and fully available basic rate band. It would make sense for him to have some of the income but she wants to leave the property on her death to her children… Read more »

HR Question of the Week

Question A client is struggling with how much her staff are talking about the general election. She thinks it’s great that they’re all interested but can see the talk ending up in confrontation. Is there anything she can do to manage this? Answer Politics is an issue that can easily cause disagreements amongst staff because… Read more »

VAT Question of the Week

Question My client has been paid twice by a customer for the same invoice. He has tried to contact them but without success as they appear to have gone out of business. Does my client have to declare output tax on the overpayment? Answer No, where an overpayment is received due to a mistake by… Read more »

Tax Question of the Week

Question My client spends time working from home and wishes to claim a deduction against her trading profits for use of home expenses. I doubt whether the income tax savings will be significant and could easily be outweighed by future capital gains tax payable because of a loss of principal private residence relief. What should… Read more »

HR Question of the Week

Question One of my clients has an employee asking her for double pay because they worked the bank holidays in April – are they legally entitled to this?   Answer Bank holidays are generally viewed as a bonus day off work for staff but employers often struggle with applying employment rights correctly across these days…. Read more »

VAT Question of the Week

Question My client owns a residential property and is looking to build another one 17 meters from the main house.  Although the new building will be self-contained residential accommodation, there are restrictions in the planning consent that refer to it as an annexe and state that the annexe cannot be used or disposed of separately… Read more »

Tax Question of the Week

Question I have a client who wishes to gift his sole trade business to his son.  No consideration will be paid by the son.  What is the position with the trading stock?  Will this trigger a tax charge?   Answer If a person permanently ceases to carry on a trade, in calculating the profits of… Read more »

VAT Question of the Week

Question My client has recently arranged for a UK business to supply consultancy services to a business in the USA and he will be invoicing the UK business for his commission imminently. I understand that the place of supply for intermediary services is where the customer belongs and so, as my client’s customer is in… Read more »

Tax Question of the Week

Question I have been told it is possible to give an employee £1,000 tax free in recognition of long service. Is this correct? Answer No, but it is possible to make tax free non-cash awards to employees with no less than 20 years’ service provided the value of the award does not exceed £50 for each… Read more »