What is inheritance tax? When someone dies, inheritance tax is paid on their estate, which is calculated as their assets less any outstanding debts. The estate will owe tax at 40% on anything above the £325,000 inheritance tax threshold (known as the ‘nil rate band’).

What is an indexation allowance? Indexation allowance has historically been a very useful way of reducing tax for both individuals and companies. It can be used to increase the base cost of relevant assets, so as to reduce or eliminate a company’s chargeable gain and

What is it? Principal Private Residence relief, or PPR, is a relief that enables taxpayers to sell their homes without having to pay Capital Gains Tax. What are the rules? To be eligible to claim this relief, the property being sold must be the taxpayer’s

Historically, mortgage interest has been a deductible expense for all individuals, irrespective of their marginal rate of tax. From April 2017, new rules are being phased in over the next four tax years to limit the tax relief to the basic tax rate. Previously, a

The annual investment allowance (“AIA”) has been increased from £200,000 a year (which has been the rate set since 1 January 2016) to £1m a year for 2 years from 1 January 2019 (to 31 December 2020). The AIA is an incentive for businesses to

The Chancellor announced in the 2018 Budget that the government will introduce a new Structures and Buildings Allowance (“SBA”), at an annual rate of 2% on a straight-line basis for new non-residential structures and buildings. Since the old Industrial Buildings Allowance was phased out in 2010,

New legislation has recently been introduced (which is most likely to take effect from 1 April 2020) to charge a further 1% SDLT on non-residents buying UK residential property. This follows the additional 3% charge to SDLT for anyone buying a second home, which took