Farmers Guradian
Topics
Nine ways to keep your farm vehicles safe

Nine ways to keep your farm vehicles safe

Arable Farming Magazine

Arable Farming Magazine

Dairy Farmer Magazine

Dairy Farmer Magazine

British Farming Awards

CropTec

LAMMA 2018

New to Farmers Guardian?
Register Now
Login or Register
New to Farmers Guardian?
Register Now
New to Farmers Guardian?
Register Now

You are viewing your 1 free article

Register now to receive 2 free articles every 7 days
Already a Member?

Login | Join us now

Farmers advised to use tax wisely

Businesses can make savings when selling parts of a business or disposing of assets by reducing Capital Gains Tax


Twitter Facebook
Twitter Facebook

Farmers have been advised to plan and use tax in the best way possible to reduce financial burden.

 

Those selling all or part of their business or disposing of assets including shares or property can reduce Capital Gains tax by planning carefully.

 

Carol Cheesman of Cheesman Accountants advised farmers to calculate their gain then subtract their annual tax free allowance and allowable expenses. The remaining is added to income.

 

"If the total is below the higher rate tax, then your gain is taxed at 18 per cent. If your gain pushes your income into the higher rate band, then the amount of your gain above that threshold will be taxed at 28 per cent," she added.


Read More

Budget 2016: Chancellor cuts corporation tax and earmarks £700m flood defence boost Budget 2016: Chancellor cuts corporation tax and earmarks £700m flood defence boost
Chancellor's Autumn statement a real mixed bag Chancellor's Autumn statement a real mixed bag
Tax timeline for the New Year: use tax wisely and efficiently Tax timeline for the New Year: use tax wisely and efficiently

Ms Cheesman’s top tips

  • Utilising the annual exemption Think ahead to make the best use of each year’s allowance.
  • Utilising losses If you have any investments standing at a loss, it may be beneficial to crystallise these.
  • Deferring disposals If the annual exemption for the current year has already been used, consider deferring the sale of assets until after the end of the tax year.
  • Bed and spousing The practice of bed and breakfasting is where stocks or shares are sold and then repurchased shortly afterwards. This applies only to a repurchase by the same person. Your spouse or civil partner can repurchase the shares without this rule being applied.
  • Negligible value claims If an asset becomes worthless, a negligible value claim can be made.
Twitter Facebook
Post a Comment
To see comments and join in the conversation please log in.
Facebook
Twitter
RSS
Facebook
Twitter
RSS