HMRC Admin 17 Response
Joined: 1/20/2021
-
RE : Joint tenants vs tenants in common - rental income devision
Hi ,
Thanks for your question.
As the property is owned between family members and not spouses, you may wish to write up a valid declaration of trust outlining split of rental income and expenses between owners,
however, as ownership is not between married/civil partner couple,
it would not be a requirement, instead completing the additional information box would suffice.
Thanks -
RE : Corporation tax on rental income
Hi ,
The rates of tax for a company and individual are indeed different.
As you've pointed out a company will pay between 19 to 25 percent depending on total amount of profit whereas an individual will pay tax dependent on whichever tax bracket they may fall into.
Ultimately, the company will always pay a minimum of 19% on any profits through the limited company.
With regards to taking a traditional salary this would go through the usual PAYE system and naturally fall to income tax rates
which you mentioned previously.
There are other methods of receiving income from a company such as dividends but these too are subject to tax rates which also must be accounted for when making a decision.
Thank you . -
RE : Proof of residency
Hi .
Please submit a request for a letter of confirmation of residence at :
How to apply for a certificate of residence to claim tax relief abroad .
Please not that you cannot use a future date on the form .
Thank you .
-
RE : Maximum Pension Contribution includes Savings Interest?
Hi ,
Please have a look at the guidance at
PTM044100 ( PTM044100 - Contributions: tax relief for members: conditions ) ,
which lists what counts as relevant UK earnings when calculating your maximum allowed relief,
where UK relevant earnings are below £60,000.
Thank you . -
RE : Adjusted Income Annual Alllowance - query
Hi ,
Please refer to the following Guidance & Links :
Personal Allowances: adjusted net income .
Thank you . -
RE: Overseas Remote employee for a UK based employer
Hi ,
On your P85, you confirm that you will declare that you are still employed by your UK employer while resident in France.
We will write to your employer confirming they no longer need to deduct UK income tax.
UK national insurance will remain payable and your employer will continue to deduct this on your behalf.
Thank you . -
RE : Submitting a P11D when the PAYE scheme has been closed
Hi ,
Yes you should still be able to submit these online as the scheme was live in the relevent tax year.
If you arent able to do this please contact our helpline on 0300 200 3200 to request the scheme is reopened
for the purpose of filing the submissions.
Thank you . -
RE : What are the taxation implications to an employer offering financial incentives to liftshare?
Hi ,
There is specific legislation relating to employer provided or support parking, which may mean it could be non reportable as a benefit.
We would need more information.
Please contact us on 0300 200 3200 to discuss in more detail.
Thank you . -
RE: FPS has not updated employee personal tax
Hi ,
If you have amended the Jan and Feb submissions then this should update the employees personal record.
The employee will need to contact personal tax to advise on 0300 200 3300.
Thank you . -
RE : Corporation Tax payment on bank interest for Residents Association (Unincorporated Association)
Hi ,
With regards to property management, flat management and other such resident associations funds received in the form of interest is subject to corporation tax.
Whilst normally such entities would be entitled to what's known as concessional exemption whereby despite being active HMRC will record them as dormant one of the rules to this is that their tax burden does not exceed £100.
If you believe this would be the case for yourselves I recommend writing to HMRC detailing your circumstances so the situation can be reviewed.
Regarding the type of income when reporting such information this is covered by our online manual BIM40805 - Specific receipts: interest and dividends: whether trade receipt .
Thank you .