Wrong things

Taxable benefit of job related accom rented by company

Higher of:

Annual value

Cost to employer

When do you TA a premium?

Job related accom where lease is less than 10 years

Tax relief on transfer of listed shares?

Relief given as £ for £ deduction at MV at date of transfer

No option to carry back

When is securities income taxable in the UK for non-resident periods?

If taxpayer has UK workdays in this period.

What are tax implications of fuel card for company car?

Taxed on fixed amount each year * CO2%.

However, if you reimburse the employer for private mileage, the fuel benefit charge is cancelled.

What are tax implications of fuel card for car with car allowance?

Cost of all fuel on the car is taxable benefit.

If company does not contribute towards business mileage then you get a taxable deduction based on business miles * £0.45

What is the list price of a car?

Manufacturers list price, VAT and delivery charges, plus cost of accessories provided with car.

Is provision of electricity for company car a BIK?

No - it is not within the definition of fuel so fuel benefit charge cannot apply.

What does it mean to payroll a benefit?

ER calc benefit for year, divide by no. remaining salary payments, add this to salary for each pay period and subject to IT via PAYE

How to tax restricted securities where restriction is to do with share sale?

Tax on award based on RMV

Carry forward % of untaxed UMV

On lifting of restrictions, tax charge based on MV * %

Describe a CSOP

• Not allowed to grant at discount

• Max value per employee £60k

• Can invite key employees only

• Can only exercise after 3-10 years

When can you get relief for EIS subscription?

Current year or carried back to PY

What is risk to capital condition?

To qualify for EIS/SEIS objective of company is for long term growth/development, significant risk of a loss of capital greater than ROI & relief

Diff between VCT and EIS/SEIS

Dividends are exempt (up to first £200k)

Withdrawal of reducer if sold within 5 years

When can the gain on insurance receipt be deferred until the property is sold?

If the amount retained is small i.. less than £3k or less than 5% of the amount received

allowable cost of part disposal for insurance purposes?

Cost * Proceeds retained / (Proceeds retained + Value after restoration)

Relevance of 6 April 2020 for transfer of property to spouse?

Post 6 April 2020 - can inherit if living together in any property

Pre April 2020 - Only inherit if living in that specific property together at transfer

Tax treatment: Taxpayer disposes of land (used for residence) and then will get contingent payment based on land development?

Part of gain attributable to period before intention to develop was formed

Value at this date subject to CGT with the remainder of payments subject to Income Tax.

How can profits from sale of land be taxed?

• Trading profit under IT

• Capital gain

• Under Transaction in land rules

What is taxable benefit of furniture?

Cost of furniture x 3.75% and then TA

How does mortgage interest on commercial property affect tax comp?

Deduct the relevant amount on £ for £ basis

Tax reducer relief of 20% on lower of finance costs, property income & ANI