We are in a new year – and a new Financial Year is fast approaching. This usually means a few changes to tax that could impact individuals, self-employed, landlords, and businesses. This overview will outline and summarise the key developments these changes will create. By understanding what’s coming, we believe you can plan ahead and minimise the impact.
Tax Changes in 2020 – The Low Down
Domestic Reverse Charge VAT Scheme – This scheme is aimed at construction and building service providers. However, due to complications and pressure from lobbyists the scheme has been delayed until October 1st, 2020 we will know more about the scheme by the end of the year as more information will be released in the runup to scheme’s launch.
IR35 “Off-Payroll” Rules – This is a deeply unpopular move by HM Government and will impact you if you are a contractor or freelancer – these changes are coming in April 2020 and will change forever the way contractors and businesses collaborate.
Private Residence Relief, from April 6th, 2020, will see a reduction in the final period of PRR exemption which will be reduced from 18 months to 9 months for landlords with portfolios of 2 or more properties when one is unsold and the other is your main residence.
R&D Tax – From April 1st, 2020, HMRC has changed the sum payable in relation to R&D tax credits that are linked to qualifying “loss-making” company expenses so they apply the credit for up to three times a year during qualifying financial periods.
Capital Gains Tax – HMRC has changed the rules on CGT mandating that payment must be made within 30 days of selling or transferring ownership of a property to a family member. If this payment isn’t done within the 30-day deadline, further charges.
Call Prestige Business Management for Tax Advice and Support
Why not call Prestige Business Management today on 0203 773 2927? We can help you stay ahead of tax deadlines, new tax rules and generally provide insightful tax-related insight helping you stay ahead of the curve. Call us today!