questão  |
resposta |
Overseas income assessed under the remittance basis will be subject to income tax at ... rates. começar a aprender
|
|
1. Non-saving income. | 2. Saving income. | 3. dividend income. | To maximise tax relief in most cases offset PA and reliefs against income in the same order as above. | In some circumstances it is beneficial to offset the PA in different order.
|
|
|
I.T. Interest on qualifying loans relief is based on ... amount. começar a aprender
|
|
|
|
|
Maximum deduction from total income is greater of £50.000 and 25% or ATI. The ATI formula is: ATI - adjusted taxable income começar a aprender
|
|
Total income − Gross PPCs PPC - personal pension scheme
|
|
|
Marriage allowance (£1250) restriction: começar a aprender
|
|
Neither of spouses cannot be a higher or additional taxpayer.
|
|
|
DTR formula (income tax reducer): começar a aprender
|
|
lower of UK and overseas tax
|
|
|
|
ET PPT começar a aprender
|
|
Employment | Trading | Property | Pension | Trust
|
|
|
The income arising from assets held jointly by husband and wife is normally split 50:50, except... começar a aprender
|
|
shares in close companies.
|
|
|
The income arising from assets held jointly by husband and wife is normally* ... An ... is available, except... and shares in close companies. 3 começar a aprender
|
|
split 50:50. | An election is available to split the income according to beneficial ownership. | The election cannot be made for joint bank accounts or building society accounts.
|
|
|
Income earned by a child from a parental disposition is taxed on the parent if exceeds... começar a aprender
|
|
if the gross income exceeds £100 per annum. Note that, when the amount is greater than £100, the whole amount is taxable, not just the excess.
|
|
|
Income tax exempts. Interest on... 3 começar a aprender
|
|
NSI saving certificates. | Save as you earn (SAYE) share save accounts. | Tax repayments interest. NST NSI - National Savings and Investment
|
|
|
|
# começar a aprender
|
|
Statutory redundancy and £30.000 of loss of employment compensation. | Universal credit. | Child benefit. | Venture capital trust (VCT) dividends. | Educational grants and scholarship. | Interest* | Winnings and prizes. SUCh_VIEW *NSI saving certificates. | Save as you earn (SAYE) share save accounts. | Tax repayments interest.
|
|
|
I.T. ISA allowance on spouse death conditions: começar a aprender
|
|
Any combination of ISA-cash and ISA-shares up to £20,000.
|
|
|
Property income is assessed on cash basis but accrual basis is compulsory if... 2 começar a aprender
|
|
if gross annual rent is over £150,000 | or can elect to use accrual basis.
|
|
|
Property income. Expenses reliefs: 2 começar a aprender
|
|
Replacement furniture relief. | Interest paid is an allowable deduction*. *special rules for individuals apply
|
|
|
Property income losses treatment for individuals: começar a aprender
|
|
can only be carried forward against future UK property income. | The loss is automatically carried forward and set against the first available future property income. If a loss arises on the overseas property business it may only be carried forward against future profits from the overseas property business. | Profits and losses on all the properties are aggregated.|
|
|
|
|
começar a aprender
|
|
Rent received + Rental income portion of short lease premiums received − Allowable expenses
|
|
|
Tax relief on financing costs of investment property is restricted to... começar a aprender
|
|
|
|
|
Tax relief on financing costs of investment property applies to loans to... 2 começar a aprender
|
|
to buy | or improve residential property. Carrying out work to the property in order to make it more marketable, or taking steps to find purchasers, will indicate a trading motive. | Relief has been phased in gradually
|
|
|
Investment property financing costs relief for 2020/21 rules for individuals: 2cz começar a aprender
|
|
No finance costs deductible from property income. | Tax relief for all finance costs given at 20% by deduction from IT liability.
|
|
|
Investment property financing costs relief has not impose restrictions on: 3 começar a aprender
|
|
Companies. | Loans relating to the furnished holiday accommodation. | Loans relating to non-residential properties.
|
|
|
Property income. Premium for granting short leases formula: começar a aprender
|
|
n = number of years of lease
|
|
|
Rent-a-room relief conditions: 2cz+2cz Furnished room in a main domestic residence. começar a aprender
|
|
Gross rent up to £7,500 is exempt, | unless elect for loss. If the gross annual receipts are more than £7,500: – the individual may choose between paying tax on the excess | or being taxed in the ordinary way on the profit from letting (rent less expenses less replacement furniture relief).
|
|
|
Furnished holiday accommodation (FHA) tax treatment: 2 começar a aprender
|
|
property income but treated as arising from a single and separate business. | Business asset for Gift relief and BADR (as opposed to normal residential property). Relevant earnings for pensions relief.
|
|
|
Furnished holiday accommodation (FHA) and finance costs: começar a aprender
|
|
100% fully deductible from FHA income
|
|
|
Furnished holiday accommodation - all Plant and machinery (including furniture) treatment: 2 começar a aprender
|
|
Deduction available, if using cash basis. | Capital allowances available, if using accruals basis.
|
|
|
|
3 começar a aprender
|
|
Can only be set against profits from the same FHA business. | Firstly offset in the same year, then carry forward. | UK FHA losses can on be set against UK FHA profits (the same rule for EEA losses).
|
|
|
Furnished holiday accommodation conditions: 4 começar a aprender
|
|
Available to let for at least 210 days. | Actually let for at least 105 days. | If own more than 1 property averaging is available to satisfy the 105 day rule. | Not let for periods of ‘long term occupation’* in excess of 155 days. *occupation by the same person for at least 31 consecutive days.
|
|
|
Situation condition for Furnished holiday accommodation: começar a aprender
|
|
Must be situated in the UK or EEA.
|
|
|
Real estate investment trusts (REITs) definition and operating: 4 REIT gives investors the opportunity to invest in a quoted property business set up as an investment trust. | Dividends received by an individual out of the profits of a REIT are not treated like other dividend income começar a aprender
|
|
Quoted property investment trust (QPIT). | Dividend received by individual from REIT are treated as property income.| Received amount grossed up by 20% on IT return | but the tax credit will be given of this gross amount. QP20% Individual who receives dividends of £1,200 will include gross property income in his tax return of £1,500. The income will be taxed at 20%, 40% or 45%. Tax credit of £300 is available to reduce the actual tax payable, and can be repaid.
|
|
|
Company transfers quoted shares to its director, who pays £1 per share, whereas MV is £24.50. What is the amount of tax if director is additional rate taxpayer? começar a aprender
|
|
It is a taxable benefit equal to the amount underpaid, so it will 45% of IT and 2% of NIC ee* for £23.50 of each share. *Share are quoted so fall within the definition of ‘readily convertible assets’, therefore NIC class 1 is payable.
|
|
|
