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CGT When does it impact my Stocks?

April 19, 2018, 1:17 am
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Hi All, I've been reading into CGT lately and thinking about future impacts on Shares and needed a bit of help clarifying some questions I had.

I have quoted MSE below which prompted my questions.

Quote:
You don't pay capital gains tax (CGT) on gains made within an ISA - great if you exceed the £11,700 annual CGT allowance. CGT is a tax you'll have to pay on the gain you make when selling things such as shares, a second home (you don’t pay capital gains on selling your first home) and jewellery. So if you buy shares at £1,000 and then sell them for £1,500, you’ve made a £500 gain. You might then have to pay tax on that. But it's important to understand that... You’re allowed to make £11,700 of gains this tax year (2018/19) tax-free outside an ISA. So you would ONLY gain using a stocks & shares ISA in a year where you were making total gains over £11,700.
I have a small index fund currently in the S&P 500, less than 15k i have it setup to accumulate and don't make withdrawals from the fund.

I don't have an ISA currently and wondered if down the line it would make more sense to have a Share ISA to reduce CGT.

I understand I'm allowed to make gains of £11,700 during a year outside of an ISA without paying CGT i believe.

If I'm appreciating at 10% per annum let's say, is it only a concern when my gains in stock value reach this figure? On that basis when I have £117,700+ invested?

When does CGT affect myself?

Really appreciate any help in advance.

Thanks!
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Capital Gains Tax - Shares HELP

April 19, 2018, 4:01 am
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Hi All,

new here but hopefully someone can help with my question.

i have brought various amount of shares over the years in the same stock and currently hold a total of 30000 shares which every year i bed and ISA enough to meet my capital gains threshold.

However this year i made an error and sold the shares when i was only requesting a quote, upon realizing my mistake i bought the same stock back minutes later for a small loss. the details are below.

Sold - 3330 units
Book cost £4,796.50
Price 4.37
Proceeds after costs £14,405.49

Bought - 3299 units
Book cost £14,447.14
Price 4.38

can someone please explain the implications on firstly

my capital gains allowance - Have i used up a proportion of it by the sale? or does the buy the same day in the same stock roll it back to a small loss?

secondly implications on my Section 104 holding? previously all my shares were rolled up into one holding as they were all for one stock at different times over many years, does the same day sell and buy effect this, if so how?

Thanks

Marv
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Facebook technical support number(+1)800 683 8438

April 19, 2018, 9:25 am
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understand that you want a create page of your facebook home content page ,you would like to make your facebook working page on your friend home Page on Facebook. Your primary Page is the home page of Facebook Page and your business page , and you can switch or your primary Page and facebook default page anytime.our team solve your problem 24*7 hr call us +1 800 683 8438 (tool free)
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Unaffordable personal tax bill

April 19, 2018, 1:43 pm
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A bit complex (for me) be glad if anyone can help...
An error (on my part) meant I underpaid tax via self assessment in 2016/17.

Long story short I mistyped my employment expenses in 2015/16... In turn this enhanced my tax code and dropped my tax contributions. Granted I should have twigged faster but regardless, I was shocked when I completed my 2016/17 return recently and received a bill >£5k!

This was then compounded as when I contacted HMRC PAYE to correct the offending tax code, at the fourth time of asking they have decided I owe a further £4k through my 2018/19 code to cover underpayment of tax in 2017/18.

I had initially contacted SA to set up a payment plan for the original amount in late January. However they said they could not do this without my net income. I explained I could not determine this as my tax code was wrong. They basically told me to phone back when I knew. Further to this PAYE advised they would not know my tax code (to calculate net earnings) until my P60 was received. Today as it happens.

By coincidence I also received a second demand for payment billed as my 'final chance' to avoid DCA today, dated 11th. I phoned SA regarding this letter and they said my account was potentially going to be passed to DCA.

I explained in all likelihood I would not know my net wage until late May but all they could say was 'i'll take a note'.

I am concerned that a) I have £9k debt in tax, b) this might be pursued by separate parties (SA DCA and via PAYE) and c) this figure is completely unaffordable in HMRC conventional repayment timescales. For example the £4k PAYE debt alone will depress my wage by £400 a month for the next year, putting me well into the red for monthly budget.

Basically I want any help or advice on my best angle of attack, if it's possible to merge the debts and how to reduce the repayments. If anyone has template letters or Income and Expenditure forms that would be great.

Thanks so much for reading!
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Fuel Card / Tax Relief

April 19, 2018, 11:18 pm
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Hi,

I am the director of a family-run private limited company and would like some advise on how to handle the dreadful fuel dilemma.

I use my Company Fuel Card to pay for fuel filled in my Personal Car which I use mostly for work (85% of miles are work-related). A fuel card saves me having to collect receiepts. I do not reclaim VAT on fuel as I'm under Flat Rate VAT Scheme.

Do I need to make a log of each work-related journey to act as proof of the 85% of miles are work-related?
What process/method should I use? Is it to pay the company from my wages (after income-tax) for personal miles? (if so, what rates/calculation do I use)
Am I better off paying for fuel using a personal credit card, collect reciepts, then pay myself through the company the work-fuel portion, and then claim the tax relief on the p11d?

I'm alittle unsure of what the best process/method would be - in the sense that, least admin-work required, and tax :p
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No response from HMRC

April 20, 2018, 6:51 am
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I ended up submitting my tax return late, by post, after trying in vane to use the online method. I managed to get all the different codes required to get online to do it but it refused to allow me so I sent it in by post in the first week of Feb.

I've heard nothing back, I think I owe about £900 in Tax but am not certain as I'm waiting for them to confirm that.

What do I do? Should I ring them, or send another letter?
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retirement income plus joint lump sum

April 22, 2018, 2:28 am
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Sorry if this is obvious to ppl but My wife and I are on the point of selling our Limited Company (hotel). We are joint owners (directors?). I am now 65 and officially retired with a total pension income of £13000 gross per year (private+state). As I became 65 (March 31st) I stopped all my income from the business, before April 6th. My wife and I are still joint partners (errr, and happily married , I think). We should have a pot of around £600000 after all expenses and bills. We use a joint account for the business and a private joint current account for domestic costs (same bank). What is the most tax efficient way to proceed assuming I do not take any of the £600k and we use the pot as a drawdown in my wife's name only, to retire with together? I am thinking that if we don't play our cards right, and legally correct, we could be in for some major financial headaches. We have also got a joint re-mortgage (on our private house) to pay off but that payment (if we are correct in our assumptions) is included in the expenses to still leave us with the £600k. I realise that I'm not thinking this thru properly but I need to get something moving to start the long haul.

Please be gentle and thanx.
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Council Tax - Student Exemption

April 22, 2018, 3:16 am
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Hi All,

I've reposted this here after putting it in the wrong section....

For the last 4 years I've been a mature full time student at uni, and been enjoying full exemption from Council tax at 2 properties I lived in, 1 I own in London I stay at 3 days a week, and 1 I rented from a friend in Southend where I stayed 4 days a week. I was the sole occupier of both. The only issue I've had up until now, was last summer (2017) my uni was slow with getting out our exemption letters, which meant despite me telling them what was happening, Southend Council (where I rented) got to the point of getting a liability order for me to pay, and then Newlyn started chasing me. Very shortly after however, I got my exemption letter, sent it to the council, and they sent me the revised bill, saying I had full exemption and owed nothing.

I heard nothing else, until 4 weeks ago, 2 council people turned up at my door at 8 in the morning, saying they're investigating an allegation of fraud. They asked about 2 things, the first being why I'm registered at 2 addresses (all my mail has always gone to the other property, and my exemption letters have always been addressed to the other property) and if I live on my own, which I do. They left saying I might be called in for interview. Obviously worried, I went later that day to the CAB, who confirmed that the 2 homes isn't a problem, it's the property that's exempt if it's solely occupied by students, it's not means tested.

I've since moved out of the rented property in Southend as my course has finished and told them to send anything to my other address, which they've always used. They have now sent me a final bill for the full amount of last years Council tax, £1,300 odd, and now Newlyn have sent me a letter saying they are chasing the same amount, quoting the liability order from last summer!

Can anyone point me to what I should do?

Thanks for your help,
Andy
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$91,000 inheritance from family property sold in Palestine, being sent to my father in the UK

April 22, 2018, 4:46 am
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Hey!

I was really hoping somebody could help point me in the correct direction or provide some advice at all.

My grandfather's property was recently sold in Palestine, and my uncle has the money in his account (he arranged sale, had his name on the documents etc). After splitting the money between family, my father is due to receive around $91,000.

Could anyone provide any help on what we need to be careful of, and the best ways to get this money to my Dad (UK bank account) without being gutted by fees, exchange rates and additional taxes please?

I'm assuming there'll be a fee for:
  • Transferring from a Palestinian (or Jordanian) bank account to a UK Bank account
  • Exchange rates from transferring from USD to GBP (I know these can be huge costs)
  • Potentially some taxes for the money once it hits the UK? (not sure how that should be declared / avoid unnecessary fees?)

Another point that was brought up, is whether this can be classified as a gift? I see there's a £3000/year limit in the UK, but what about money from abroad?

I'd really appreciate any advice you can provide for us please :)
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Santander Account Charges.

April 22, 2018, 5:06 am
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I was wondering if the Santander 123 current account charge of £5.00 per month charge would be deductable when working out my interest earned on that account.

The slightly higher interest on that account is eaten up by the £60.00 annual charge.
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Income tax - moved to UK within Tax year

April 22, 2018, 12:33 pm
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Hello to everyone.
i need you knowledge

i became permanent resident in UK within the tax year 2017/2018 -

- how much is my annual allowance of tax free income?
- do i have the full amount tax free - or only partially from the month i arrived in UK?

for the first months I was paid weekly and now monthly in case this matters.
could i transfer any "unused" allowance to the next tax year?

cheers and many thanks in advance.
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HMRC Online Chat

April 23, 2018, 3:05 am
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Is anybody actually ever available on this thing? Every time I try it says nobody is available and states to try again later! I just thought it might be easier than waiting on the phone forever, but it seems to be a fake service, or they have about 3 people.
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Second Job - Higher rate tax query

April 23, 2018, 8:19 am
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This is a little bit complicated, but I'll initially keep it as simple as I can.

I have started a second job. The total annual income I have for both jobs pushes me (just) into the higher tax band.

However, HMRC have issued a higher rate tax code to my second employer i.e. I will pay higher rate tax on all of my earnings from my second employment, when only a small amount of my total earnings should be at higher rate.

1/ Are they correct in issuing a higher tax code to my second employer? (I understand a part of my salary should be taxed at higher rate, but the majority shouldnt be)

2/ Can I apply to have a standard tax code applied to my second job?

3/ As it stands, at the end of the year, I will have paid too much tax, will this be refunded automatically? or how do I claim it back?

4/ Potentially, the same situation will happen next year. Is there a way of fixing it?

Thanks in advance
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Self-employed paid taxes to the NIC account

April 23, 2018, 2:34 pm
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Paid £200 taxes to NIC account via FPS on 8th January. A month later my bank received a letter from HMRC saying they received £200
but since I didn't give any reference they had no idea what to do with the money. They sent it to me so I have a proof they did receive the money. I have being calling them ever since (5 times) trying to get the money back without much success. I had to pay £200 again (now to the correct account) but I would really like to have those £200 I sent to the wrong account back.

I am not sure what would be the best course of action. Should I do it in writing? Because every time I call them we are back at square one and I have to explain the whole story from the beginning. They never give me case reference number or anything like that. Any ideas?
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Council Tax - Single Person Discount

April 24, 2018, 3:19 am
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My local council has decided to send out letters to anyone receiving the SPD asking them to provide additional details in order to validate that the discount is being correctly applied. Im told that if I do not, the discount will be removed.

Having paid The full CT for the last 30 years, it is all the more galling that following the death of my wife to MND, and becoming a single person (in both meanings) they are not prepared to take my word for it. Add to this it is outsourced to a CRA who who will check my information who will then advise the council of my likleyhood of actually lying to them.

I am aware of the power of CRAs mistakes to get things wrong and have done all I can to ensure wherever possible they have no information on me, so I see no reason why I should bother being forced to deal with them when I have no wish to.

To circumvent the possible travails of having the council unilaterally remove the discount due to a no-response, Ive been thinking a way would the issue is by way of a Statutory Declaration - has anyone tried this, and did it cut through the usual carp over you having no choice in the matter?
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Accountant filed self assessment late - implications?

April 24, 2018, 4:36 am
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My accountant did not file my tax return on time for year ending April 2017. I approved it for filing in December, they said they'd submitted it, but they hadn't - and they only actually submitted it yesterday (April). As a result, HMRC have issued a £100 penalty.

Will it affect my credit rating? Has the HRMC points system been implemented yet? Other than the penalty, are there any other implications?

Thanks for any help.
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Help with Tax penalty appeal

April 24, 2018, 4:52 am
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Ok, dont shoot me for stupidity, as tempting as it might be......

Back in 2007/2008, I did some work self employed, didn't earn much, circa £1,000 per month, local accountant sorted tax etc and I didn't complete any self assessment docs as accountant did not tell me I needed to do this, spent previous 15 years being employed PAYE so had no idea how the self employed thing worked. Stopped being self employed end of 2008, went into full time PAYE paid work in Jan 2009.

I did not inform HMRC that I was no longer self employed.

I have just queried my Tax code with HMRC and been advised that they (understandably) worked under the impression I was still self employed and due to not completing self assessment forms I have been paying penalties ever since through an adjusted tax code, HMRC had an old address for me, never received any mail re this.

It looks like I have been paid penalties of around £2,000 for years 2012 through to 2015 and estimate maybe another £1,500/£2,000 for years 2009 through to 2011.

They are sending me forms to complete for employment history and salaries from 2008 onwards and need to return these. I have also been advised to write in to HM Rev & Customs, Self Assessment Centre to explain my situation/stupidity and plead my case to see if some or all of the fines could be refunded.

Are there any suggestions out there on how this should be phrased, template letters, advice on how to explain situation? Perhaps admit my fault through my lack of knowledge and accept that some of the fines (already paid) should stand and perhaps request a percentage of the fines be refunded?

Any help and guidance much appreciated.
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Higher rate charity donation tax relief

April 25, 2018, 8:48 am
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I have a question about what counts as a charity donation for the purposes of claiming back tax on a self-assessment for a higher rate tax payer. Obviously the proper charities (Oxfam etc) count, but does money paid to any organisation with a charity number where you have been asked to sign a gift aid form count as a charitable donation? I understand that it wouldn’t could if you get a product or service in turn, but what if all you get is a monthly magazine or the right to buy tickets earlier than other people?
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Confusion about taxable benefits on self assessment

April 25, 2018, 12:23 pm
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I'm currently filling out my self assessment for 2017/2018. I have been a contractor from April 2017 until October 2017, and have then been employed full time as an employee by the same company, so have seized my business (as a soletrader) in October.

However, now that I have been an actual employee, I get benefits such as a Food, Gym, and Travel allowance. I essentially send over my receipts for everything at the end of the month and they reimburse me a few weeks later (this does not show up on my payslip).

Other people that are employed by the company and get those same benefits, say they don't think they pay tax on those benefits. However, seeing as I have to submit a self assessment due to having been self employed as a contactor for the first 7 months of this recent tax year, I came across the following questions under the employment section:

Quote:
Have you received any taxable benefits and expense payments from COMPANY ?

Do you wish to claim any employment expenses or capital allowances while working for COMPANY ?
Do I have to add up all the expenses I have had reimbursed since October and enter them or do I leave them out? I'd without a question just add them in, but seeing as other employees of the company who don't do self assessments due to not having been self employed at all don't seem to enter them anywhere I'm slightly confused.

Thanks in advance for your help, and sorry for asking such simple questions, I just wanna make sure I get this right.
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Inheritance Tax

April 25, 2018, 10:35 pm
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Hi, I’m confused about inheritance tax. Myself and my sister live in the single family home with my father. My monther passed away recently and both myself and my sister are thinking about the future and what lies ahead.

What is the inheritance tax threshold, as I’ve seen different figures, none of which are based on our situation. Brother and sister living with father in a house worth around £280000. No other property, just savings, investments, car, my mums jewellery etc etc. Upon my fathers death, hopefully many years hence, will the threshold be £325000 or £450000 or £650000, as these are the figures I’ve seen banded about.

Thanks in advance
Chris
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