Sample Q&A's continued
- Article Dates:
- 2012
- All Months
Displaying Matches 1 thru 8 of 8 Found.
Tax Question: Hi I have a question regarding PPR and CGT. The scenario is a client has owned a property for 16 years. He lived in the property for only 3 of those years and has rented it for the rest. So there is obviously PPR for those 3 years plus the final 3 years. On top of this there is a Private Letting claim. He got married a few years ago and wishes to transfer 50% of the ownership to his wife. He has asked for a potential CGT calculation. This is fine just for him as owner. But what about his wife. If they sell it and they are both owners then the gain will get split between them, but does she qualify for any PPR relief and Private Letting Relief given that she never actually occupied the property only her husband....
Tax Question: Hi, My wife and I are UK resident and non domiciled and will become UK deemed domiciled for inheritance tax purposes in a few years time. We are considering setting up a discretionary excluded property trust primarily for inheritance tax protection of our foreign assets. However we would like to be able to liquidate the trust if we decide to leave the UK. Three questions: 1] I understand that we could set up a UK resident or a UK non resident trust. What are the relative advantages and disadvantages? 2] Are the assets placed in the trust subject to capital gains tax when setting up the trust ? Can this be avoided by paying the remittance charge and selecting the remittance basis of taxation? 3] If we left the UK we would probably want to liquidate the trust. Does this mean that we or the trust are exposed to capital gains tax? Is this influenced by the choice of a UK resident or non resident trust or by our residence location at the time of liquidation? Bob...
Tax Question: I am a non resident having left the U. K. some eight years ago. I have recently been offered the opportunity to purchase the freehold of a building consisting of four maisonettes.The premium should be approx. 12k & I am wodering if I will have any tax liability if I were to go through with the transaction.I am Irish & no longer intend to return to the U.K. I would probably purchase the freehold jointly with my partner & I wonder what is the best way forward....
Tax Question: You have just answered a question from me dated 21.06.12 re purchasing a property in The Philippines in the most effective way to mitigate Uk IHT You state " Ideally you would structure the purchase through a non UK domicillary such as your wife " I,m not married what would my next best option be ?...
Tax Question: I am a non resident UK citizen.Living in Manila Philippines.Aged 65 divorced. my estate is valued at about £2'300'000 My IHT deductable allowances are £1,500,000 inc. Personal allowance £325000 QROPS £800000 and gifts under 7 years and EIS investments. Etc. leaving me with a IHT amount of £800000 at 40 per cent would leave my estate with a IHT liability of £323000. My main IHT planning was a Family Settlement Trust set up by Vantis plc ..set up in the sum of £285000 the then personal IHT allowance. This was the shares of a company I owned.This was set up when I was UK resident. the intention was after 7 years this sum would fall out of my estate for IHT purpose. it was just recently discovered by my accountants who moved out of Vantis due to them being put into administration..that the scheme had not been registered with HMRC even though the company shares had been transferred to the Family Settlement Trust. My accountants state that I would have been liable to C...
Tax Question: I was born in the UK and am a British Indian. My father however was born in India [as was his father] and despite living here for more than 17 out of twenty years now, I am under good advice, given his strong links with India he could qualify as non UK-domiciliary for tax purposes. This is especially pertinent as he genuinely visits all the time and may settle back there one day [hence keeping his Indian passport all these years]! We do however have two issues. One is inheritance tax planning. My father having worked hard has built up a small portfolio of investment properties and 2 houses. These are obviously above the combined IHT threshold by a significant amount I should imagine [by at least 500K plus]. He cannot of course gift them to me without triggering a significant CGT on disposal and without planning a significant IHT problem looms. I read with great interest on your site, how using a combination of being non-dom and the double tax treaty with India, could p...
Tax Question 1: I understand that the inheritance tax threshold of 325k is passed to a spouse on death. Does this mean that when the surviving spouse dies that the threshold of 650k is used for calculating the amount of inheritance tax due? Tax Question 2: Cash and asset gifts are accounted for with regard to Inheritance tax if the person gifting these items dies within 7 years. My question is are there any rules or liabilities for tax other than IHT when gifting cash or assets? Could I give cash away or assets to any individual without any tax liabilty assuming I live for more than 7 years - for either party?...
Tax Question: Hello I am a non UK resident (resident of Malta) but a UK citizen and domicile. I have a residential property portfolio with substantial capital gains that I wish to sell prior to moving back to either France or the UK or elsewhere. The properties are registered in my own name (127 of them in a singles estate) so there is no transfer tax (value less than 125k each). I am thinking of transferring them to to an offshore company to crystallise a capital gain whilst I am non resident. thereby paying no capital gains tax. The plan would then be to sell the properties later, maybe when I am a UK resident or tax payer, so as to minimise the tax payable. Questions: Is an offshore company a sensible way of crystallising this gain? One of the reasons for doing this would be to allow me freedoms to live where i want to without tax considerations. Are there any offshore jurisdictions where it would be better to set up an offshore company for this purpose, bearing in mind I may...
Displaying Matches 1 thru 8 of 8 Found