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PAYE Cutting Tax
Hi folks Firstly, I realise this post makes me extremely lucky. I am PAYE employed in a good job with an salary that has recently increased to close to £100k pa. I also get variable bonus which this year took my total earnings to £120k for the 24/25 tax yr. I take advantage of maximum DC workplace pension contribution - I…
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IHT Nil Rate Band question
My father died last year and left his half of the house to me - probate value of house was £580k. So £290k to me. My mother died recently and my solicitor has said Mum only receives £290k of the Nil Rate band. As that is what her half is worth. Why do we lose the other £60,000 of the Nil rate band? Shouldn't that be…
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HMRC Simple Assessment
I’m wondering if anyone else has experienced this issue with a simple assessment. In August 2024 I received one and it said “you owe HMRC £xxxx.” i subsequently paid this online in 3 instalments by the deadline of Jan 31st 2025. Today I’ve received a letter demanding payment for a totally different amount (about £400 less)…
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MTD - change year end or too late?
I have already submitted using MTD and am a tad confused. My year end is 31 December so I think I am will always need to resubmit the return after 31 December each year. Assuming that is correct, and as I already submit vat returns using MTD, would it be better and less confusing if I changed our year end date to 31 March…
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Not registered as self employed for National Insurance?
Hi, can anyone help please? I called the National Insurance hotline to fill in any payable gaps and they told me I had to top up two lots of money for two recent tax years. I paid. Then I got a letter today saying that they do not have me registered as self employed for national insurance purposes so they are unable to…
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HMRC Mileage Allowance Relief
Hi all new to this forum so please bare with me. I joined a new company last October and I have a car allowance which allows me to buy my own car and use it for work purposes. I claim back my mileage monthly from my employer at 26p per mile. I have just gone to do my self assessment tax return in order to claim back the…
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Inheritance Tax, new rules.
With pensions being considered part of the IHT estate from 2027, I need to revisit my arrangements. This will take me over thresholds I had thought myself under. Presently, my wife is leaving everything to the kids in her will; I have split it 50% to her, a sixth each to those same 3 kids. But it strikes me that we both…
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Changing Estimated Income for Income Tax
Hi all, I work in a commission based job where I have a basic salary of 35k and I am paid quarterly bonuses/commission in April, July, October and January. My April bonus was circa 5k, my July bonus will be circa 15k and while impossible to tell at this stage, based on targets I would estimate that my October and January…
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Mistake by payroll department with Tax Code
I’m helping out a friend who has recently started to receive her state pension in June. Her tax code was changed to take the state pension into account and is 32LX. All correct so far. Her June payslip correctly used the code and her payslip shows Tax Basis as Week1/Month1 so all good in June. Unfortunately her July…
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VAT between unregistered and registered businesses
We are a band of amateur musicians. We performed at a venue which ran the box office selling tickets for our show. We negotiated a profit share arrangement with the venue whereby they would pay us 75% of the ticket money and they would keep 25%. We are not vat registered but the venue is. The venue want to deduct vat from…
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Gifts to adult children
I’m confused by the rules on gifting/making
payments to children/grandchildren and wonder if anyone could shed some light? I’ve read what I can from the HMRC website,
but I’m out of my depth when it comes to understanding it! I have read that, (above and
beyond the £3000 worth of gits each person can make each tax year),…
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Higher rate tax
Hi I just need a little advice please. So I've recently had a pay rise and worked out my income is going to be £52000 a year which I presume puts me into the higher tax bracket or does it? I also pay £2500 a year into my work base pension so does anyone know if this means I will still be in the basic tax bracket? No other…
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Tax on pension
Hi, Looking for some advise for my Mum please! she receives her state pension but also receives a small pension from her old employer. She is taxed on her employer pension and for the 2nd year running she has received a tax bill which is essence amounts to the total amount of employer pension she has received? Is this…
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Claiming Pension Contribution refund 2024/25
My daughter has maxed out her pension contribution to cut her below the £100K 62% killer rate. Her salary was inflated on a one-off basis by a buyout/bonus The contribution was made outside of her firm's salary sacrifice and the pension scheme does not apply the 20% contribution.She's been on PAYE and now and will now need…
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Selling family home inheritance Tax
My mother has just gone into a Care Home and the family home is now empty. I have EPA so was going to sell the home but wondered if the £175,000 property allowance would still apply for Inheritance Tax if the house is sold (would it be seen as cash). The house is worth £325,000 and she has savings of £140,000. At moment no…
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SEIS Income Tax Relief
Hello all, I have a question about SEIS income tax relief. I have made an investment into a start up business and received a SEIS3 certificate in order to claim tax relief. I earned £125k PAYE last financial year so I do not need to do a tax return but wondered how I go about claiming the tax relief for the above if I do…
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40% tax
Hi All A recent pay rise has shifted me into the 40% tax bracket, the problem for me is as im drawing a private pension all of that income is taxed at 40% my pay rise took me to £51306 pa but now costs me an extra £200 in tax. question is can i put more into another pension with my current work to offset that . i know i…
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Restarting part self employed
Hi I went employed 18 months ago after 15 years self employed. Submitted my last sole trader tax return last January, no submissions since paid off outstanding balances of what I owed (which worked out more than I thought) Im looking to commence hybrid employed and self employed, but only doing 2-4 days a month self…
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Working from Home allowance
Just had a call to HMRC to sort out my underpayment - dealt with and updated on another thread. BUt incovnersation it appears they have removed my Working from home allowance and advised me that since 2023-24 there is no longer a £6 per week flat refund and that everything has to be calculated and I have to claim yearly.…
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Tax Code
Greetings. I've have various income sources (nothing grandiose, wage plus pensions) and have been channelling big chunks of wage into AVC to avoid 40% tax (am aware of 60% or salary limitation). HMRC changed my code to collect some unpaid tax for last year. They then changed the code again after I started receiving CS…
