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Flashcards in IN CLASS TEST Deck (52):
1

married couples joint income

split

2

Personal allowance below £100,000

£11,500

3

Personal Allowance above £100,000

is 0.5 of anything above £11,500

4

Personal Allowance above £123,000

is £nil

5

Income Tax Basic Rate

20% up to £33,500

6

Income Tax Higher Rate

40% between £33,500 and £150,000

7

Income Tax Additional Rate

45% above £150,000

8

Personal Savings Allowance

BR - £1,000, HR - £500, AR - £nil

9

Dividends Tax Exemption

First £5,000 isnt taxed

10

Dividend Tax

BR - 7.5%, HR - 32.5%, AR - 38.1%

11

Company Debenture

is * 100/80 and 20% is added back

12

Gift Aid Donation

treated as net and 20% is collected from the government

13

Lease Premium

P * (L-1) * 2%

14

Self Employed Taxable Income

Start with net profit, add back non allowable expenses and deduct non trading income

15

Expensive Living Accommodation

interest% * (money spent on property - 75000) * months

16

Assets taxed at

20%

17

Mileage

45p up to 1,000. Anything Above is 25p mile

18

CO2 emissions maximum

37%

19

Diesel Cars Supplement

3%

20

Fuel for private use

% * 22,600 * Months

21

CO2 emissions

50 - 9%, to 75 - 13%, to 94 - 15%, 95+ 18%

22

Class 1

12 % of employees income

23

Class 2

Self employed flat rate £2.58 pw

24

Class 4

Self employed percentage
8164-45000 9% then 12%

25

Class 3

Unemployed voluntary

26

Exempt from CGT

motor cars, chattels less than 6000, gilt edged securities, premium bonds and winnings

27

CGT Annual Exemption

£11,300

28

Capital Gains Taxed

10% or 20%

29

Residential Properties Taxed

18% or 28%

30

Allowable Expenditure (this is subtracted)

acquisition cost, legal fees, enhancement costs

31

Part disposal of Asset

A/A+B
A= disposal value
B=value of part remaining

32

disposal value =

sales proceeds

33

gifted assets

market value is used

34

Chattel exemption is lower of

chargeable gain or
5/3 * (gross proceeds - 6000)

35

always work out property chargeable gain first, then

subtract annual exemption and any losses

36

market value of shares =

lowest price + 0.5( difference between higher and lower price)

37

PPR =

whole gain * length of residence/ length of ownership

38

letting relief is lowest of

40,000 or PPR or gain on property

39

part disposal of land

cost * proceeds/ proceeds + remaining

40

last 18 months

of a property count if its been the main residence at some point

41

Main pool

18%

42

Special rate pool

8%

43

Capital allowance first 200,000

is annual investment allowance

44

cars > 130

are in the special rate pool

45

mortgage is taxed at

75%

46

for cars always use

list price

47

government gilts or bonds are

value * 100/80

48

PA over 100,000

11500-(salary-100,000)/2

49

gift aid donations

subtract before work out PA and extend basic rate when working out tax liability

50

less tax paid at source

PAYE, 20% of gment gilts and 20% of 25% of loans and mortgage

51

add disallowed expenses (8)

drawings, cap expenditure, private use, bad debt, legal fees, depreciation, sale of assets, GAD

52

less non trading income (3)

bank interest, property income, sale of NCA