-
Taxable income over 100k next tax year
I’m unexpectedly getting VR in May and have calculated that my taxable severance pay, earnings until my leaving date, and savings income will take me over 100k taxable income next year. Is this something to be particularly concerned about? I know my personal allowance will reduce but are there any other gotchas that I…
-
Salary sacrifice car tax
Have recently recieved a message from HMRC saying I owe them £2000 in unpaid tax for a salary sacrifice car I took out 4 years ago. They have calculated the value of the lease and charged me tax on this. I don't understand, I thought the whole point of having a salary sacrifice car is to reduce my tax liability. If they…
-
Tax Code Confusion
Hi Everyone, Was wondering if any kind soul can help or maybe point me in the
right direction on problem that seems to have manifested with my tax code. I’ve
spoken to HMRC twice (each time over an 1hr waiting) however I don’t think they're understating my issue. For the last 7 years I’ve been paying 12K into a…
-
Marriage Allowance - do I need to cancel
Hi, after watching the live show last night I realised some years ago I applied for the marriage allowance to be transferred to my husband when I was on a low income. For the last 3 years I have been on a higher income (20% tax payer). Do I need to cancel the allowance or will HMRC just see that I earn more? Not sure what…
-
eBay Self Assessment and Stock Held Q. ?
Posting here, as better suited for advice on this Forum. So I've registered for 2023/24 Self Assessment for the 1st time, as after 50+ years, I now exceed the £1k / 30 item benchmark by buying goods to resell on eBay. However, I'm unsure on one line of my upcoming Return. I'm employed Full Time, earning £20k+, so already…
-
Uniform Tax Clarification
I was wondering whether someone could clarify if we are able to claim for tax relief where we have been provided with a branded fleece to wear whilst at work. Although it is not obligatory, most of the time we are choosing to wear this, are we still able to claim?
-
CGT following divorce - please help!
Hi all, Desperate plea for help! Background: - married 2017, bought house 2018 - separated September 2021 - I moved out of jointly owned marital home March 2022 to live with friend - moved from friends in to rented house (not owned by me) in September 2022 - house sold September 2023 completed today (she moved out Sep 2023…
-
Marriage allowance
Received letter from HMRC on the 26th March saying I was owed £901.On the 17th April received email saying cheque should be with me within 21days but due to Covid-19 could be delayed and that the cheque was being held in a segregated, non-interest bearing account and will be with me asap. On the 21st May I received the…
-
Can I be fined for a terminally-ill parent missing their self assessment deadline before death?
Hi My terminally-ill parent missed their 2023 self-assessment deadline a few months before their death. When they were first fined, I wrote to HMRC and explained why. They eventually wrote back to say that I wasn't entitled to speak on my parent's behalf, so my explanation would not be considered without my parent's…
-
Giufting £3K to children
Understand each parent can gift £3k in a tax year, plus one roll over from previous year if it has not been used. Must this be a cash transfer? Can it be an I O U? Can it be a slice of equity in land or property?
-
eBay and Etsy Side hustle tax
My fiancee has been running a small high volume low margin business on eBay and Etsy where she makes about £5000ish per year in profit. Clearly, this is above the £1000 sole trader allowance and so she needs to declare this on a tax return. I'd have thought that HMRC would have bigger fish to fry but there you go..... She…
-
Tax on gifts
I'm aware of the gift allowances and the 7 year IHT rule, so assuming a gift is larger than any gift allowance and I live for more than 7 years after giving the gift, I'm a little confused about how the tax on income resulting from the gift is determined. For example, assume I want to give £20k to my 23 year old son. I…
-
CGT on foreign shares
I have some foreign shares to sell, which incurs fx costs to change to GBP and potentially to move from a USD to GBP bank account. Are such costs allowable costs, so can be removed from capital gains liability ? I note there is a judgement that the "amount of foreign currency must be converted into its sterling value at…
-
Tax worry regarding going into 40% bracket.. not sure how it works
As per headline my salary is £28,000 a year but ive done a load of overtime this last 12 months. I work for a council and my tax code has always been C1257L Cumulative. We go April to April for the tax year and into the last month it has gone to £52,025 for Niable pay and £48,329 for taxable pay. Does this mean I have gone…
-
When will HMRC adjust my code to reflect my pension contribution?
I am making a large pension contribution of £15k to get my NAI below 100k. I have just made the contribution however, HMRC do not know about this yet and I got a K code through the post last week since HMRC clearly think I will gross £115k and they know nothing about this pension contribution just yet. I do not get my P11D…
-
PAYE - being taxed on £421 worth of savings income - incorrect?
I made about £5000 in savings interest last year. I am being told I have to pay tax on £421 of it, but I only earned £12k, so should all this income not be tax free because of the personal allowance and the starting rate of tax?
-
PAYE Tax code change due to pension payments
Good Afternoon After speaking with HMRC, they are changing my tax code next year to consider the extra relief as I am in the 40% tax band for pension payments. I cannot work it out, but they say they are correct. Yearly Salary £70560 Yearly Pension payments Company Gross £2822 pension is deducted after tax, Private SIPP…
-
IHT or CGT? Help!
We sold an inherited property recently. The sale price was £150k more than the valuation we had previously used in the IHT calculations. We have paid off the IHT that was due. BUT, what happens with this additional £150k? Do we need to pay additional IHT on it? At 40%? OR do we need to pay CGT on it? At 28%? There were…
-
Tax on Medical Insurance (Benefit in Kind)
Hi I receive medical insurance via my employers and understand that I am taxed on this as a benefit in kind however, please can anyone advise whether I should just be taxed at the normal rate (I am a basic rate tax payer). At the moment the whole amount is deducted from my personal allowance. Many thanks
-
MSE Income tax calculator vs HMRC - WHO'S RIGHT??
Until recently I have been in receipt of an employee's salary, plus a pension from a previous employer. I have been checking the income tax I've paid over the last few years from the actuals I've had deducted by HMRC against the MSE Tax Calculator. The pension tax code is D0 and the figures from HMRC and MSE are the same,…
