Accountancy News

VAT – Flat rate scheme

From April 2017 there is a new 16.5% VAT flat rate for businesses with limited costs. A limited cost trader will be defined as one whose VAT inclusive expenditure on goods (excluding capital expenditure, food or drink, vehicles, vehicle parts and fuel) is either less than 2% of their VAT inclusive turnover or greater than [...]

By |February 23rd, 2017|Accountancy News|0 Comments

Property – Capital gains tax

From April 2019 there will be a requirement for capital gains tax to be paid within 30 days of completion of any disposal of residential property. This will be a significant shift away from the current system where the payment window is between 10 and 22 months. The change will affect buy to let property [...]

By |February 23rd, 2017|Accountancy News|0 Comments

Property – Stamp duty

From April 2016 there has been an additional 3% on usual rates of stamp duty for buy to let properties and second homes. For a property purchased for £200,000, stamp duty will increase by £6,000. The government has a strict interpretation of second home so it will be very difficult to avoid this increase. Purchases [...]

By |February 23rd, 2017|Accountancy News|0 Comments

Property – Wear and tear allowance

HMRC have replaced the 10% wear and tear allowance on property with relief for the actual costs of like-for-like renewals and replacements with effect from April 2016. The replacement relief is available to landlords of unfurnished, part-furnished and furnished properties. The new relief applies only to the replacement of furnishings. The initial cost of furnishing [...]

By |February 23rd, 2017|Accountancy News|0 Comments

Property – Restriction of finance costs for landlords

The restriction of finance costs is going to be a huge issue for private landlords where the properties have been purchased with mortgages, especially if highly geared. For the time being, corporate landlords will be unaffected as interest is a deductible business expense. Landlords will no longer be able to deduct all of their finance [...]

By |February 23rd, 2017|Accountancy News|0 Comments