Tax Planning is an area many people prefer to put off for another day. You can, however, be certain that it will not go away and therefore, investigating your own position and taking precautions now may very well protect the next generation whilst giving you peace of mind. After all - what have you got to lose?
The role of Valuers in taxation is paramount. Our Valuers are qualified to "Red Book" standard.
Not only are accurate valuations needed for tax planning and assessment, but John Amos & Co have a wealth of experience to give a practical and understandable guide to tax planning.
Clearly, the advice of an Accountant and Solicitor is essential to ensure any planning is accurate, but often an informal overview together with provisional values in advance can prove extremely useful.
The interpretation of Inheritance Tax issues are changing and with the importance of Capital Gains Tax implications, few people can be confident that this planning is perfect.
With the Inheritance Tax nil rate band currently being just over £325,000, more and more people are becoming liable for Inheritance Tax on assets that do not qualify for relief.
A number of test cases have been challenged by the Tax Office over the last few years on rural assets. Clients with farmhouses in particular, that seemed to have good quality tax planning from only a few years ago, may well find it no longer appropriate.
John Amos & Co are in a position to offer an initial overview to assess a current tax situation and highlight any potential pitfalls or planning management that may be required.
People often forget that whilst Capital Gains Tax clearly deals with the disposal and any profits on assets for sale, it can also be triggered by gifts which are made as part of Inheritance Tax Planning. Therefore, careful consideration should be made before any tax planning is undertaken.
With historic values being required in addition to current values, it is essential that proper valuations are prepared before any useful tax planning can be undertaken.
John Amos & Co recommend before carrying out any major Capital Tax Planning, on working with qualified Accountants and Solicitors. We are quite happy to work with a client’s own Solicitor and Accountant or to assist in the selection of an appropriately qualified Accountant and Solicitor.
The role of the Valuer in tax planning is essential. The figures that are submitted to Capital Tax Officers need to be accurate and justifiable and if inappropriate figures are submitted and not supported by a fully qualified Valuer to the “Red Book” standard, then aspirations may very well not be met. Any figures for tax planning should not be relied upon unless these have been properly produced by a qualified Chartered Surveyor and/or Agricultural Valuer.
For further information contact John Amos at john@johnamos.co.uk or 01568 610007.