Inheritance tax (IHT) is a tax on money or possessions you leave behind when you die, and on some gifts you make during your lifetime. However, a certain amount can be passed on tax-free, which we call the 'tax-free allowance'. This is also known as the 'nil rate band'. Everyone in the 2015-2016 tax year has a tax-free inheritance tax allowance of £325,000. The allowance has remained the same since 2010-11, and will stay frozen until at least 2017. There are also a number of gifts that you can make during your lifetime or in your will that are also tax free.
One of the biggest worries for any new business is taxation. It’s no wonder really when you consider the complexity of the subject. One particular tax that often troubles start-ups more than others is Capital Gains Tax (CGT). The rules can be complicated and can seem daunting to anyone unfamiliar with the system, so Steven Glicher accountants thought we’d try to simplify matters for you, and give you all the information you’ll need to know about CGT, but in language that is straightforward and easily understandable.
Income received from pensions and annuities etc. from various pension sources is generally chargeable to income tax. Relief from income tax is available in relation to certain contributions to such sources (including various contributions by employers). Part of an individual’s pension pot can however be taken as a tax–free lump sum at or around retirement age.
Limited company taxation covers several areas of business, and is collected and imposed in different forms such as on personal income (income tax through PAYE), taxable profits (corporation tax), and imports (excise duty), on goods and services (VAT) and capital gains (capital gains tax). Meanwhile, contributions such as National Insurance (NIC) which qualify you for certain state benefits, pension and support allowance are regarded as limited company taxation because they are mandatory. Other Items to consider are Stamp duty and Excise duties.