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Scottish Budget 2020: Scandal lights up dull affair

What preceded the Scottish Budget 2020 was more entertaining than the speech itself earlier this month.  Calamity unfolded on the eve of the Draft Budget on 6 February 2020 after revelations broke in the papers.  Finance Secretary Derek Mackay quit hours before...

Mortgage interest relief to be phased out in April

Residential landlords have had a rough time of it over the last few years and their ability to claim mortgage interest relief will end in April. Before April 2017, borrowing money through a buy-to-let mortgage was a tax-efficient method for residential landlords....

Off-payroll working in the private sector

Large and medium-sized businesses that use contractors have been gearing up for off-payroll working rules extending to the private sector next spring. From 6 April 2020, private firms are set to assume responsibility for deciding if a contractor supplies a service as...

Tax-efficient profit extraction tactics for directors

Extracting profits from a limited company has traditionally been done using a combination of salary and dividends. A director would pay themselves slightly less than the tax-free personal allowance and take the rest in dividends. Big tax savings were available for...

Capital gains tax: likely changes for 2020/21

Three potential changes to capital gains tax could have a significant impact on people who make profits from selling homes in 2020/21. This triple whammy will affect those who have a main residence and let it out, perhaps while working away or going through separation...

Requirement to correct offshore income and assets

It’s almost a year to the day since HMRC published a set of rules on income generated from overseas assets. The requirement to correct legislation required UK taxpayers to declare any foreign income or assets to the Revenue before 30 September 2018. From that point...

First MTD for VAT deadline goes without a hitch

The first main submission deadline for filing VAT returns through Making Tax Digital (MTD) came and went on 7 August 2019. It affected around 490,000 of the UK’s 1.2 million VAT-registered businesses with annual taxable turnover of more than £85,000. But, according to...

Self-assessment: sources of taxable income

It may seem like a long time until January with the summer holidays in full swing, but our thoughts are already turning towards self-assessment. The next batch of tax returns relate to the 2018/19 tax year, which ended on 5 April 2019, and are due for submission by...

Residence for tax purposes

A number of our clients swap the UK for warmer climes, but their domestic tax liabilities do not end there. While it is accurate to say calculating tax affairs for these individuals is more complex, our residency service covers all the bases. If you are unsure of your...

Corporation tax in Scotland

Companies in Scotland pay one of the lowest rates of corporation tax in the world. The 2019/20 main rate remains at 19% throughout the UK, aside from the Isle of Man and Guernsey, At 19%, Scotland - and the UK as a whole - have the lowest corporation tax rate of any...

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