How to choose employee incentive schemes to save tax?
Income Tax
Many companies offer Tax Advantaged incentive schemes to employees as part of long-term incentive plan. These include:   Share Incentive Plans (SIP) Save As You Earn (SAYE) Company Share Option Plans (CSOP) Enterprise Management Incentives (EMI)   Share Incentive Plans (SIP) Employees can buy their employer companies’ shares with their …
Take advantage of Stamp duty holiday
Property tax
The Chancellor of the Exchequer recently announced a mini holiday from stamp duty on residential properties. The holiday lasts from now until next March, and all categories of buyers will benefit including landlords, first time buyers, and buyers who have owned homes before. Let’s look at how this works and …
Rent a Room relief
Property tax
Individuals can earn up to £7,500 rental income per annum tax free under Rent a Room relief by letting out furnished accommodation in their own home. The £7,500 is rental income, before any expenses are deducted. If the income is below £7,500 for the year, and an individual is not …
Income tax and NIC at RSU vesting
Income Tax
Venture-backed companies often grant Restricted Stock Units (RSU) to its employees as a form of incentive plan to encourage employees stay with the company for longer. The shares in RSU can be restricted (with no voting rights, for example) and only become available to employees after certain conditions are met, …
Savings starting rate for low income taxpayers
Income Tax
You may already be aware of the personal savings allowance. This offers an allowance of £1,000 of interest income for basic rate taxpayers, or £500 for higher rate taxpayers. (The allowance is not available to additional rate taxpayers.) Additionally, if you are a low-income earner, you may be eligible to …
Year end tax planning with Pension
Pension
Pension contribution is being used more and more as part of tax planning. Tax strategies involving pension can be highly effective in reducing your tax liability and are easy to implement. Higher rate and additional rate taxpayers will both benefit from these strategies, but to varying degrees. If you happen …
Act before the lettings relief rule change
Property tax
Rules for two ancillary reliefs on Capital Gains Tax (CGT) relating to rented residential properties are changing. Changes to final period of property ownership,  and lettings relief will apply to property disposed of from 6 April 2020 onwards. If you are planning to sell a property within the next couple …