Money Matters, the Autumn 2013 newsletter from Hart Shaw is now available to download from our website.
Click here to download your copy. 
Money Matters
Our front page article considers some of the issues to be aware of when considering the availability of Entrepreneurs’ Relief. For those who run their own business it is important that when you decide it is time to sell that you are able to take advantage of this important relief which reduces the tax liability to 10% of the gain. We consider the complexities of the conditions for the relief and some of the potential pitfalls. With capital gains tax otherwise being due at 28% it is important to get the details right.
Real Time Information (RTI) is now mandatory for broadly all employers. Under RTI employers report pay and deductions to HMRC on or before the payment is made to the employee. Some small employers may be able to take advantage of a relaxation of aspects of these rules until 5 April 2014.
Car benefits which are a popular perk but can be expensive for both the employee in tax terms and the employer with regard to the provision of the vehicle and related costs. Some employers have sought alternative arrangements to provide the cars and we report on a recent case where employee leasing agreements were used.
For those who are self-employed, claiming tax relief on travel expenses continues to be a constant area of challenge by HMRC. We review a recent case which highlights this topical issue.
We also consider the new optional system of flat rate expenses which may be used by unincorporated businesses for 2013/14 onwards. The flat rate expenses cover use of vehicles, use of home and private use of business premises. Please do get in touch if this would be an area of interest for you.
For many, their most valuable asset is their home; we consider the availability of
the principal private residence capital gains tax exemption. You need to make sure you satisfy the necessary conditions and get the paperwork right especially if you are fortunate enough to own more than one property.
Another issue we consider is the availability of IHT Business Property Relief; we consider key situations where relief may not be available concerning property businesses.
Included with the newsletter you will find special briefings where we look in more detail at:
Business motoring – tax reliefs and benefits
Understanding the current tax position of business motoring is a core requirement for businesses. Here we consider the tax deductions available on different types of vehicle expenditure and how individuals are taxed when vehicles are provided for employees or directors.
We also consider future changes relating to car capital allowances and employment benefits so that you can make informed choices when it comes to vehicle replacements.
Please do get in touch if you would like advice in this area.
Click here to download Business Motoring.
Neither a borrower or lender be
Here we explore the tax implications of shareholders borrowing from or lending to their owner managed business (OMB).
We consider the tax implications for the company of loans, whether directly or through an intermediary, and consider the new rules which have been introduced with easy to understand examples. We also consider the implications for director shareholders of receiving loan advances and write offs.
With many individuals lending to the OMB we also consider the tax reliefs available.
Please do get in touch if you would like specific advice in this area.
Click here to download Neither a borrower or lender be.
Please contact us if you have any questions regarding any of the articles we have included in our newsletter or if you would like further information on a topic we have not covered. Your views are always important to us and we would welcome your feedback.
Brendan Hall, Marketing Co-ordinator
T: 0114 251 8850
Email: brendan.hall@hartshaw.co.uk
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