A definition of trusts
HMRC’s internal manuals states that the word `trust’ describes a relationship between certain persons
which is recognised by the law;
concerned with particular property; and
enforceable by reference to rules of trust law.
Effectively, a trust is an obligation that binds a trustee, an individual or a company, to deal with assets – such as land, money and shares – which form part of the trust. The person who places assets into a trust is known as a settlor and the trust is for the benefit
New Energy Bills Discount Scheme
The government has published details of a new Energy Bills Discount Scheme which will replace the current Energy Bill Relief Scheme that comes to an end on 31 March 2023. The new scheme will offer support until 31 March 2024, to eligible non-domestic energy customers, including UK businesses, the voluntary sector, for example charities, and the public sector such as schools and hospitals.
Under the new scheme, eligible non-domestic customers who have a contract with a licensed energy supplier
Dissolved companies and bona vacantia
A company comes to a legal end when it is dissolved. However, one if the important points to be aware of when doing so is that the dissolved company can no longer do or receive anything including receive a tax refund. It is the responsibility of the company directors to ensure that all of a company’s assets and liabilities are all dealt with before it is dissolved.
Any assets or rights (but not liabilities) remaining in the company at the date of dissolution will pass to the Crown as ownerless
IHT – estimating an estate’s value
Inheritance Tax (IHT) is levied on a person’s estate when they die and can also be payable during a person’s lifetime on certain trusts and gifts. The rate of Inheritance Tax payable is 40% on death and 20% on lifetime gifts.
The current IHT nil rate band is £325,000 per person, below which no IHT is payable. This is the amount that can be passed on free of IHT as a tax-free threshold. A reduced rate of IHT of 36% (reduced from 40%) applies where 10% or more of a deceased’s net estate after
When you must register for VAT
The taxable turnover threshold, that determines whether businesses should be registered for VAT, is currently £85,000.
The taxable turnover threshold that determines whether businesses can apply for deregistration is £83,000.
It was confirmed as part of the Autumn Statement 2022 measures that the taxable turnover registration and deregistration thresholds will be frozen at the current rates until 31 March 2026.
Businesses are required to register for VAT if they meet either of the following
Check your National Insurance Record
HMRC offers an online service to check your National Insurance Contributions (NIC) record online. In order to use the service, you will need to have a Government Gateway account. If you don’t have an account, you can apply to set one up online.
By signing in to the ‘Check your National Insurance record’ service you will also activate your personal tax account if you haven’t already previously done so. HMRC’s personal tax account can be used to complete a variety of tasks in real time such as