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Civil Service backdated pay award - lump sum or installments?
Hi, As the title says, I am a civil servant who is getting a pay award backdated from April 2024 and being payments beginning in Jan 2024. Total is £860. I'm not sure if I will get taxed more if I choose the lump sum option? I am on plan 2 for my undergraduate loan and pay a postgraduate loan too. My net pay monthly is…
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Tax or no tax on savings calculation
Wife works part time and earns £9,718. Her personal allowance is £10,473, as we claim marriage allowance. Allowing for her personal allowance and the starting rate for savings, which is up to £5000, how much interest can she earn on savings tax free, as we don’t know if that includes her personal saving allowance, which is…
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2023/24 full tax assessment + gift aid
I've just received my 2023/24 tax letter, saying I owe some tax. I'd like to understand whether the calculations are right, particularly re. the gift aid figure. Hopefully someone can help me out! The letter says: Income: £49284.20 (salary) + £2429.00 (untaxed interest) = £51713.20 [these are both correct by my records]…
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Can I stop HMRC sending me a Simple Assessment?
I have paid tax through Self Assessment for decades. In the last four or five years I have received PA302 Simple Assessments relating to bank and building society interest. In the past I have phoned up explained that I pay tax via Self Assessment and the Simple Assessment has been cancelled. But then the next year I get…
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How to calculate whether capital gains push me into the higher rate bracket?
This is for tax year 24-25. And I'm talking about GIA (unsheltered investment accounts). In anticipation of the budget immediately applying the new CGT rates (which turned out to be the case), at the beginning of October I sold a load of GIA funds and thus made some capital gains. I have found an online app (for which I…
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IHT 7 year rule on gifts into joint accounts
If I were to gift money into a joint account in my name and my 3 children’s names and document it as a gift to them, the 7 year rule would apply but after that it is be considered as theirs, or 1/4 mine or completely mine as I gifted it?
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IHT. Gifts from excess Income. Does normal expenses include occasion expensive holidays
Good morning. I am recording my ‘normal’ income and expenditure on an Excel sheet so I know what my excess income is so I can gift it to my son. My estate is over the IHT limits. I am 70 and in good health, but would like to start passing some wealth to my son tax free, just in case. Establishing my normal expenses was…
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New van
Hi, my husband took a loan to buy a van. Do I add the whole £11,000 to his tax return for 2023/24? How do I then log the loan repayments. I use quickbooks. thanks for the help.
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Inheritance Tax
I currently am fortunate enough to have spare cash but at 64 don’t know how many years I’ve got left. It’s likely my estate will be more than £1m but less than £2m. If I gift my two children £100k each now & live the required 7 years but at some point need to borrow money from my children & pay interest on the loan, is…
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Payment on Account question if under the PA
Hello, I helped my fiancee complete her first Self Assessment for FY 23-24. She was in employment but also has a small side gig going on Etsy so she had to do a SA. We have done this, it wasn't so difficult and she owes about £1200 in tax. We expected this and have the money to pay it. Cool. We also have a to pay another…
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Tax on one off bonus
Hi looking for some help understanding the tax I paid on one off bonus I get paid weekly and my normal pay is around £800 a week and my yearly is around £38000 tax code is 1263L my normal tax deduction is around £105 a week On week 31 I received a retirement and loyalty bonus which took my pay for that week to £28,311 I…
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Capital gains help please
Hi, I’m hoping for some advice re capital gain tax on rental property please. I bought this property (flat) in 2011 for £185k and it used to be my only home until my now husband and I, bought a house together in 2017. For a smoother purchase transaction I was advised by Eastate agent to turn my flat into a rental, which I…
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23/24 Self Assessment Gift Aid change to Personal Allowance
Hello everyone, I am reviewing my self assessment for 23/24 that my accountant has prepared and I have a query for my own calculations. I made a small gift aid payment of £95 and on the tax calculation is states: Your basic rate limit has been increased by £119 to £37,819 for Gift Aid payments. This reduces the amount of…
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Primary residence relief on a property in trust.
Looking for some advice re CGT/Private residences relief/trusts House was put in to trust by brother of Mrs A in 1999. Beneficiaries were Mrs A’s children but it stated in the trust that Mrs A was entitled to live there during her life unless she consented otherwise. Mrs A lived in the house for that whole time, with all…
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Do I owe Dividend Tax?
I'm trying to figure out whether I owe HMRC for Dividend Tax in year 22/23. Company Pension Earning = £11080 Bank Saving Interest = £3953 Dividends On Shares/Funds = £2045 I worked it out like this: My pension is less than my Personal Allowance £12570, so I should get the full 'Starting Savings Rate ' of 5k, therefore I…
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Self assessment-is an accountant needed?
Hello, we're struggling a bit to get our heads around self assessment and was wondering if an accountant would be needed for the following situation regarding my relative. He works full time starting in June 2023 PAYE 2023-2024 Earned £22,500 (PAYE) Started a Youtube Channel in August 2023 2023-24 Earned £1800 £8,100 from…
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Asking for inheritance to be paid to children
Hello, My grandmother passed away this year and my mother received some money from the estate. She would like to gift this money to me and my 2 siblings. However, I would like this money to go directly to my children so I can save it/invest it for them. Can I ask my mum to write cheques directly to them and I could pay…
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Employed & Self Employed - Tax on savings interest
Just completed my Self Assessment and the tax on my savings interest has got me wondering. I'm in full-time employment so pay normal basic rate tax through PAYE I also do a bit of web design work which brings in extra income. Used to be quite a bit but its slowly petering out and this year profit from that is about £2K.…
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Inheritance Tax
House prices rise and the inheritance tax threshold remains frozen, so, in the fullness of time, even with a modest property value, more people could get caught up in this tax. Apparently, you can leave your property to your children to avoid this tax, but what does that mean? Thanks.
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CGT again: "details of computations of gains and losses"
I'm helping a friend with the SA forms 23/24. She has sales of ~£20,000, gains of £6,068 (so just above the £6,000 exempt amount) and losses of a bit more than £2,000, so no CGT is due but we still have to give HMRC details about the sales, 16 in number, most small. So far we have had only two or three sales for CGT and…
