FREE PERSONAL/SMALL BIZ TAX HELP. Self assessment deadline looming

mallymal

Hi Tony,
We bought an appt in Portugal 3 years ago, and have been approached by a rental company who are keen to rent it out on our behalf. Say they earned us 3000 euros during a year...
1) Would I have to declare the 'profit' as taxable income to HMRC
2) Would we be able to deduct 100% of costs directly resulting from the rental - eg repairs
3) Main issue is how much of our normal fixed costs could we offset - eg Council tax, Utility costs, Monthly "condo fee"s, annual legal charge.

If we could offset enough of these, then the property could show zero profit and presumably be liable for zero tax.

Only want to go ahead with such occasional rentals if we aren't going to pay a bomb in tax.

Obrigado! :rotfl:

xtonys

Hi Tony,

I have started working for a company where they want me to pay 10p/private mile. I have been used to paying tax on fuel at around £700 pa.

I want to do this at my current employer, but am being told if I pay £700 in tax, they also have to pay £700 in tax or National Insurance.

How is it possible for two parties to pay tax on the same unit of fuel?

My previous employer had 3-400 company cars, so that would over £350k pa!
Cant be right, can it?

Please help!

Thanks

Tony

Diva_2

Hi, Tony

I work as a freelance sub-editor, which is a grey area when it comes to tax, as some publishers treat me as a casual employee and some as a contractor (10 companies in each camp last tax year, as my first online self-assessment testifies!), though I am doing exactly the same job! For those 'shifts', I work in their offices. However, I also have some clients whose work can be done from home and I fit those assignments in around the edges. I probably undertake the equivalent of five days' work a month from home at present, though this may increase in the new year. How do I calculate a fair and justifiable proportion of tax relief on utility bills and use of part of my home as office space (my PC is in the coner of the living room!) etc?

Thanks in anticipation of your advice!

sudabera

Hi

We own a spanish apartment we are considering renting out - can we claim against any taxes dueon rental income in respect of our expenses such as our 150,000 Euro interest only mortgage, management fees, cleaning and laundry and management and maintentance fees

mrkenny_2

Hi,

My wife and I are in the process of buying a larger house and want to rent out our current property. I understand we have to declare the rental income, but won't pay tax on that income if it just covers the interest payment of the mortgage. But, if we secure both properties on a single mortgage can we still claim the tax relief on the portion of the interest of the mortgage? ie. If the value of our rental property accounts for 1/3 of the total property value, can we claim for 1/3 of the interest, or do we need a completely separate mortgage to benefit?

thanks,
Kenny.

madmungo

Hi, I am in the process of starting a small business via a Ltd Co and wanted to know if it's worth inclduing my wife as a director so she can legitimately share the income/dividends to cut down on tax. She will be doing admin for me in between looking after the kids so it's a genuine partnership.

Secondly we are emigrating to New Zealand later next year (and hoping to transfer the company activities out there but continue to earn £ sterling. NZ will allow me to take any non-NZ income free for the first 4 years we live there. Do I have to still pay tax in the UK though if we leave the UK permanently, especially if we have the Ltd Co. structure.

Sorry it's a complex one and I appreciate any advice or a suggestion on where to go.

PKParks

Hi Tony,
My wife and I are both in full time employment. I am a basic rate tax payer, and my wife is higher rate. We have also earned a small extra income from sales on ebay and Amazon this year. Is it more effective for me to declare it as income, or for both of us to do so. Also do one or both of us have to start paying self employed National Insurance contributions?
Thank you

nimjacole

Hi Tony

My husband has just started his own company Ltd (Aug 07) and has given himself a basic wage of £5000 p.a.

We were actually claiming Child Tax Credit for our 2 year old being at nursery as I also freelance but I can only work during term time only until my 2 year old starts full time school in 2009. I have estimated my wage therefore being roughly £5,000 p.a. We have one child at school and other at private nursery our combined wages last year was £30K and we therefore qualified for full amount of CTC. Can we still claim CTC even though we now have a Ltd company? and do my husband qualify for any other credits towards childcare being a sole employee of his own company?

Thanks.

stwinnow

I am retired but work voluntarily for the local WRVS running people to the local hospital and docters surgery. On average I do about 3000 miles per year and over the last four years received between 34 and 37p per mile. This has now been increased to 40p per mile. I provide the car, petrol and my time. Can I claim a mileage allowance from the tax man?

minimoocow

Hi Tony,

I'm doing my Husband's return (he is employed) and just wondered about the following:

1. He was given preference shares (i.e. didn't pay anything for them) - he has a share certificate and can work out the cost - there is no scheme in place for any tax benefits - should he just pay tax on the value of the shares at the date he got them as if he was given cash instead? Is this a BIK or what? (Dividends not payable until next year)

2. He worked on some overseas projects for a couple of weeks at a time. His company don't pay any subsistence (ie £10 a night) - can he still claim for that or can you only claim if you actually receive it (IYSWIM!!!)

Thanks