the TELEGRAPH TAX GUIDE 2022 your complete guide to the tax return for 2021/22.

Description

Cover Contents About the author Introduction 01 You and HMRC Tax offices Wealthy taxpayers Taxpayers with particular needs Accounts offices Dealing with HMRC Personal tax account Compliance checks and enquiries Determinations Assessments and appeals Prosecutions Your Charter Complaints Changes in legislation 02 Tax rates and allowances Income Tax rates Scottish Income Tax rates Allowances Personal allowance Marriage allowance Married couple’s allowance Blind person’s relief 03 Tax credits Who can claim? Child Tax Credit Working Tax Credit Income limits How to claim Payment Tax credits and other benefits Tapering Annual renewal Changes in circumstances Income disregard Penalties and interest Help and advice 04 Interest payments and other outgoings Home annuity loans Buy-to-let: finance costs Business loans Gift Aid Gifts of assets to charities Payroll giving 05 Working in employment Am I employed? Earnings The Pay As You Earn (PAYE) system Code numbers Emergency tax codes How tax is worked out using your tax code Form P60 Starting work Moving jobs Tax-deductible expenses Tax-free expenses Employee travel Home working Benefits-in-kind Employee share ownership Enterprise Management Incentives Payments on termination of employment 06 Value Added Tax What is VAT? Rates of VAT Exempt supplies Registration Voluntary registration Cancellation of registration Help from HMRC VAT invoices Records, accounting and Returns Online filing of Returns Making VAT digital Input tax Motor cars and fuel Bad debts Special schemes for retailers Flat Rate Scheme Cash accounting Annual accounting VAT visits and inspections Penalties, surcharges and interest Appeals Complaints 07 Working for yourself Am I self-employed? Starting up in business Records Accounts Cash accounting for businesses Fixed-rate deduction scheme Small business income allowance Tax Return information Profits for tax Profits of the tax year Pre-trading and post-cessation expenses Capital allowances Losses Limit of reliefs Taking on staff Some other ways to save on tax Foster carers Furnished holiday accommodation Other special situations 08 National Insurance and state benefits National Insurance numbers National Insurance Contributions Social Security benefits Capital limits Cap on benefits Benefits and rates State Pension Credit 09 State and private pensions The new State Pension Deferment State Pension forecast Private pensions Stakeholder pensions 10 Savings and investment income Tax-free income Savings income Dividend income Accrued income Rents Rent-a-room Non-qualifying life policies Individual Savings Account Lifetime ISA Help-to-Buy ISA Help-to-Save Enterprise Investment Scheme Seed Enterprise Investment Scheme Venture Capital Trusts Overseas investment income Joint income 11 The family unit Living together Marriage/civil partnership Children High Income Child Benefit Charge Tax-Free Childcare The Child Trust Fund Junior Individual Savings Account Separation and divorce Old age Death 12 Residence and domicile Residence The automatic residence test Sufficient ties test Working abroad: expenses Leaving the United Kingdom permanently Allowances for non-UK residents Income from UK property Double taxation relief Going abroad: Capital Gains Tax Residential property in the United Kingdom Coming to the United Kingdom permanently Domicile Taxation of non-domiciliaries 13 Capital gains Taxable gains Tax payable Married couples/civil partners Working out chargeable gains Relief for losses Business Asset Disposal Relief Investors’ Relief Assets owned on 31 March 1982 Investments in shares Your home A second home Chattels Gifts and valuations Short life assets Part disposals Enterprise Investment Scheme Seed Enterprise Investment Scheme Venture Capital Trusts Inheritances 14 How to complete your Tax Return and work out your tax Do I need to complete a Tax Return? Who has to complete a Tax Return? Employees and pensioners with complex tax affairs How do I register for Self Assessment? Filing deadlines The Tax Return Getting started Keeping proper records Filling in your Tax Return Working out your tax Illustration What HMRC do Some other hints on efficient tax compliance 15 Paying your tax, interest and penalties Tax payment dates Payments on account Reduced payments on account Statements of Account Paying your tax Certificates of tax deposit Business Payment Support Service What if I can’t pay my tax? Date of receipt Interest Remission of tax Late payment penalty Penalties 16 Elections and claims: time limits 17 Inheritance Tax Potentially exempt transfers Chargeable lifetime gifts Gifts with reservation and pre-owned assets Exemptions Your home Business property Agricultural property Rates of tax payable Taper relief Family home allowance Transferable nil rate band Death Sales at a loss Payment of tax Interest and penalties Excepted estates Intestacy Legacies How to save on Inheritance Tax 18 Budget measures 2021/22 Personal Allowances Tax rates and bands for 2021/22 Scottish tax rates and bands for 2021/22 Welsh tax rates for 2021/22 Rates of National Insurance Contributions for 2021/22 Rates of Child Tax Credits and Working Tax Credits for 2021/22 Pension Lifetime Allowance Personal Savings Allowance Savings income Dividend income Tax-free savings accounts Value Added Tax Capital Gains Tax Inheritance Tax Looking into the future Updates from the Spring 2022 Statement Appendices 1. Flat-rate allowances for special clothing and the upkeep of tools for 2021/22 2. HMRC (VAT) notices and leaflets 3. Rates of National Insurance Contributions for 2021/22 4. Social Security benefits 5. Rates of main Social Security benefits for 2021/22 6. HMRC (Revenue) explanatory booklets, leaflets and helpsheets 7. Main dates of the Self Assessment calendar: Tuesday 6 April 2021 to Tuesday 5 April 2022 Index