This week, I will begin winding up three companies’ tax efficiently that have served their purpose for our customers. Capital gains tax rates are lower than higher income tax rates on dividends, which means for higher rate taxpayers, there is a tax advantage to closing a company as a capital distribution to the shareholders. The…
One of my self-employed associate dentist customers who is planning to start a family this year told me yesterday she is preparing to leave the NHS pension and form a limited company. She had assumed she would get the NHS maternity pay if she had a limited company. This was incorrect. If you leave the…
Further reading – article links to government guidance and HMRC internal manuals The Rent-a-Room Scheme
Your company can provide its directors, secretaries, and employees with tax free health benefits. It’s important to know what ones are taxable and which ones are tax free. The taxable benefits come with an income tax charge for the receiver and a national insurance charge for the employer. There may also be a restriction on…
If you’re working as a self employed dentist, you may be aware that you can set up your own limited company – but why would you want to, and how could it help save you money? You can read our article here which compares self-employment to having a limited company. Here, we show 2 examples…
Updated: 24-11-2022 for Autumn Statement Encouraging electric car take-up The last few years have seen dramatic changes in car development. Diesel cars are now known to be bad for air quality. There’s been a lot of negative press coverage, and the tax rates are set to rise for fossil fuel company cars. Sales of new…
On 17 October 2022, the Chancellor, Jeremy Hunt, known to many dentists as his time as the health secretary, made a fiscal statement reversing almost all tax measures announced at the Mini-budget on 23 September 2022, other than those that have already been legislated. National insurance and stamp duty cuts will remain, as does the…
Criteria for dentists to claim for a tax-deductible party? With some simple tax planning, it’s easy to incorporate an annual staff event into tax-deductible spending to benefit yourself. You can invite other guests too, including your family, but it must be for the benefit of the staff/employees, not a personal event, e.g. your birthday. The…
There are important differences between associate dentists who are self-employed or company directors. Company directors have to comply with health and safety at work regulations. Self-employed workers do not. Self-employed dentists do not get tax relief on their glasses or eye tests To qualify for a tax deduction expenditure must be WHOLLY and EXCLUSIVELY for…
This legislation was designed to help the lowest-paid employees in the economy build a free state pension and have access to state benefits. By a quirk of the system, it benefits company directors and sectaries who pay themselves a low salary. If you earn an average of more than £520 per month or £6,240 per…