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    AT A GLANCE

    OUR JURISDICTIONS —

    UK

    LAST UPDATED 18/04/2024

    AT A GLANCE

    The United Kingdom (UK) is an island in the northwest of Europe. Its official language is English, and London is the capital city. Although it left the European Union (EU) in 2020, the UK had always retained the pound sterling (GBP) as its official currency, even when it was an EU member.

    A leading financial sector and trading power, the UK is a trillion-dollar economy with business services, insurance, and banking accounting for lion’s share of its gross domestic product (GDP). While manufacturing in the UK is an industry in decline, the leading sectors are in IT, specialist engineering, aerospace, pharmaceuticals, and biotechnology. 

    AI, fintech, and digital media are also robust industries in the UK, and intensive, highly mechanised agriculture provides around 60% of the country’s food requirements. A net importer of energy for over a decade, the UK’s natural gas and oil reserves are on the decline. 

    It’s a permanent member of the United Nations (UN) Security Council, a member of the Commonwealth, and a founding member of the North Atlantic Treaty Organisation (NATO). Since the UK left the EU, there have been a series of changes as some EU tax measures no longer apply.

    Our local Tax Natives in the UK can tell you everything you need to know about the ins and outs of your tax obligations there. Whether you’re buying a single property, or doing complex business deals, we’ll get you the advice you need. Just say the word and we’ll link you with a local expert who can answer all your questions. 

     

    THE HEADLINES

     

    • The UK has a headline corporate income tax rate of 19%, which is set to increase to 25% from 1 April 2023
    • The basic rate of personal income tax is 0% for earnings up to GBP 12,570. On earnings between GBP 12,571 and GBP 50,270 the rate is 20%. A higher rate of 40% applies on earnings between GBP 50,271 and GBP 150,000, with an additional rate of 45% on earnings over GBP 150,000
    • The standard VAT rate is 20%

    How Tax Natives works.

    Tax Natives is an international tax network that connects Explorers (taxpayer clients) with Natives (qualified and regulated tax advisers) from one jurisdiction to another.

    Ask a question to get started

    STEP ONE

    Select the 'Ask a question button located on the top of each page and follow through the process to compose your question

    STEP TWO

    Once your question is confirmed and your account is set up, navigate to your user dashboard to view the message exchange between you and your Tax Native.

    STEP THREE

    Each Tax Native has to accept a question from an Explorer before a conversation can begin. Once the Tax Native has accepted your question, a quote will be submitted for approval through the messaging portal.

    UK Tax Advice

    Crypto & Other Digital Assets

    Crypto, NFTs, CBDCs, Security Tokens, Stablecoins – the digital assets space is endless! We’ll introduce you to a regulated and insured expert on all these digital assets and more.

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    Estate Planning & Death Taxes

    Unfortunately, even matters of death are not immune from taxation. Having a reputable tax accountant that can take care of them for you during difficult emotional times is invaluable.

    UK Tax Advice

    Family Investment Companies

    Navigating the complexities of taxes and Family Investment Companies (FICs) can enhance your savings growth by minimising tax burdens with the right guidance.

     

    UK Tax Advice

    Employment Taxes

    Running payroll in a different country? We can introduce you to a local expert in employment taxation so you can concentrate on other more enjoyable things to do with your business.

    UK Tax Advice

    Ex-pat Tax

    Do you have to pay taxes as an ex-pat? The lines can be blurry. We recommend employing the services of a local tax expert who can take care of all the legalities for you.

    UK Tax Advice

    Tax Residence

    You may have to pay tax residency depending on how often you’re in the country. We’ll know someone in our network who is an expert on tax residency rules in your country.

    UK Tax Advice

    Offshore Trust Structures

    If you’re setting up an offshore tax structure then you definitely need to have someone who’s a tax expert in that country to guide you. We can make the introduction happen.

    UK Tax Advice

    Green or Environment Taxes

    Green taxes are tax levies for businesses for being more environmentally friendly and energy-efficient. Speak to a local tax expert to see what you’re eligible to claim back.

    UK Tax Advice

    International Corporate Tax

    Even Jeff Bezos isn’t immune from international corporation tax (debatable), so if you find yourself needing to sort out your corporation tax, speak to us first to find the perfect advisor.

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    Sale or Purchase of a Business

    You’ll have to pay tax on the purchase or sale of a business – how much varies considerably pending on where you are in the world. We know someone who can tell you.

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    Tax Returns & Other Compliance

    Tax returns – everyone’s favourite! You can’t afford to mess this one up so let us put you in touch with a tax consultant who knows the ins and outs of tax returns in your country.

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    Tax Advice for Property Developers

    Venturing into UK property development? Exciting yet tax complexities abound. We simplify tax matters for you, ensuring savings and compliance.

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    Making Tax Digital (MTD) Service

    Feeling overwhelmed by Making Tax Digital? You’re not alone in dreading the shift to digital record-keeping and filing.

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    Family Investment Companies

    Navigating tax rules, particularly concerning investments in Family Investment Companies (FICs), can be challenging. Managing your family’s finances while minimizing taxes requires careful attention. Without proper guidance, you risk overpaying taxes, diminishing savings, and impeding long-term wealth growth.

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    HMRC Nudge Letters

    HMRC nudge letters serve as friendly reminders from the taxman, indicating potential discrepancies in your tax affairs rather than punitive measures. Ignoring them could lead to penalties and unfavourable outcomes. If you find yourself puzzled by the letter, consulting with a Tax Native expert can rectify errors and liaise with HMRC, mitigating penalties. Consider us your tax troubleshooters, adept at resolving confusion and navigating the complexities of your tax matters with ease.

    UK Tax Advice

    Inheritance Tax Advice

    Inheritance tax can be puzzling, but we’re here to simplify it. Let us connect you with an expert who can help navigate the complexities. Planning ahead ensures your loved ones are taken care of. With a Tax Native’s guidance, you can optimise your legacy, leaving behind peace of mind.

    UK Tax Advice

    Property Tax

    The UK attracts residents and non-residents alike for property investment, but rising property values bring intricate tax implications.

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    Research & Development (R&D) Tax Credits Service

    Understanding R&D tax credits can be complex, leaving many unsure about eligibility and maximising claims. Clear expert guidance is essential to ensure you capture the full benefits you deserve without losing focus on innovation.

    UK Tax Advice

    Tax Compliance

    Navigating UK tax regulations can resemble a maze, especially with increasing digitalisation and HMRC’s call for greater transparency, placing strain on even the most adept tax departments. Ignoring compliance risks fines, penalties, and reputational harm. That’s where Tax Natives step in. Our network of tax experts ensures you stay compliant, guiding you through every step of the UK tax requirements.

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    Tax Disputes

    The tax landscape is intricate, and managing it effectively is no easy task. With the increasing prevalence of tax risks and bewildering rules and regulations, disputes are more common than ever.

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    Tax Investigation Service

    Tax investigations can feel overwhelming, with complexities surrounding the reason, taxable income, and compliance. Mistakes can result in missed refunds or penalties. Our Tax Natives offer expert guidance to navigate the process smoothly, maximizing benefits and minimising risks amidst busy business operations.

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    Trusts Service

    Navigating UK trust taxation can be overwhelming, from grasping tax implications to meeting compliance requirements and implementing effective tax planning strategies. Without proper guidance, financial pitfalls and penalties loom large.

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    VAT on Parking

    For parking, including multi-storey car parks or designated bays, the standard VAT rate of 20% usually applies, whether provided by Local Authorities or private companies. However, street parking is typically VAT-free, as it’s considered a public service.

    UK Tax Advice

    VAT on Property

    Understanding VAT’s impact on commercial property transactions is vital for buyers, sellers, and lessors due to its complex rules and exceptions.

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    VAT Sales Tax Advice

    Navigating UK VAT can be overwhelming, even for seasoned entrepreneurs. At Tax Natives, we specialise in guiding you through the intricacies of UK VAT Sales Tax, unlocking valuable opportunities for your business. From ever-changing regulations to complex exemptions, we’re here to simplify the puzzle of VAT and financial services in today’s global finance landscape.

    Bespoke tax solutions in the United Kingdom

    Tax Natives offer many taxation services via our network of UK-based tax experts.

    We will ensure that you abide by the local tax jurisdictions and making the money you’re investing work hard for you.

    Need more information? Speak to our team about your unique tax situation and they’ll find a fully regulated and insured local expert to represent you in your chosen corner of the world.

    Every UK citizen’s financial situation is different. It doesn’t matter to us if you’re an SME owner looking to branch out, a wealthy investor, a property developer, or someone who has worked hard all their life and is now fully embracing the freedoms of retirement – we just want to make sure that you’re given the right tax advice to be able to enjoy it.

    So, whether you’re looking for reputable online tax services or need to find a tax adviser in the UK who is fully regulated and insured to look after your tax affairs, Tax Natives can provide the introduction.

    Ask us a question

    UK Tax Advice

    Business Restructuring and Reorganisation

    Navigating business restructuring involves tackling complex tax implications, varying by location and restructuring plan, with potential immediate and long-term financial consequences.

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    Business Sale and Purchase Tax Advice

    Understanding the tax implications of business transactions like buying, selling, or restructuring can seem daunting, but simplifying this complex realm of business sale taxes is achievable with a bit of clarification and breakdown.

    UK Tax Advice

    Capital Allowances

    Think of capital allowances as a tax office reward for your business investments, giving you back a portion of your expenditure on equipment, machinery, or infrastructure, and thus lowering your taxable profits—a form of recognition for modernising and expanding your business.

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    Capital Gains Advice

    Understanding capital gains is crucial for both individual investors and businesses, as it influences your financial outcomes. Knowing what constitutes capital gains, optimising strategies, and adhering to tax regulations are key factors that impact your final monetary returns.

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    Contaminated Land Tax Relief/Land Remediation Relief (LRR)

    With the UK’s Land Remediation Relief, transforming contaminated land into profitable ventures is more feasible, offering tax incentives for businesses focused on environmental sustainability and urban renewal.

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    Corporate Tax

    UK corporate tax, crucial for businesses of all sizes, has undergone numerous reforms over time, impacting livelihoods and profit margins. These changes have rendered it somewhat challenging for many business owners to navigate.

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    EIS & SEIS

    SEIS and EIS are UK government schemes offering substantial tax reliefs to early-stage company investors: SEIS provides a 50% relief for investments up to £100,000, while EIS offers a 30% relief for investments up to £1 million, with additional tax breaks on capital gains for investments held for approximately three years, including tax deferral options with EIS.

    UK Tax Advice

    Employment Tax Advice

    Navigating employment tax, with its payroll complexities and compliance requirements, often feels like a maze of regulations and paperwork. However, with Tax Natives at your side, you can navigate through it all with confidence.

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    Expanding Overseas

    International expansion entails navigating complex tax, compliance, and operational hurdles in new markets, where each country’s distinct regulations and tax systems necessitate tailored strategies, as a one-size-fits-all approach often proves inadequate.

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    Innovative Incentives and Reliefs

    UK innovation and R&D tax incentives revolutionise businesses. With expert guidance, companies can access significant financial benefits, including up to 44% savings for SMEs and 13% tax credits for large companies, with support extending to culturally impactful projects in creative industries.

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    IR35 Advice

    The UK government introduced IR35 legislation to distinguish genuine contractors from those acting as “disguised” employees for tax avoidance. This complex area often leaves professionals uncertain about its impact.

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    Merger & Acquisition (M&A)

    Mergers & Acquisitions (M&A) fuel growth, but the complex UK tax landscape adds uncertainty. Tax considerations can shape deal structures, influence valuations, and impact post-transaction outcomes.

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    Retail and Online Goods & Services

    In the competitive realm of retail, where every penny matters and competition is fierce, understanding your tax obligations is vital for survival and growth. Whether on the high street or online, navigating the maze of taxes can be daunting, but we’re here to guide you through it.

    UK

    Sale and Leaseback Agreement Tax Advice

    A sale and leaseback agreement involves selling your company’s property and then leasing it back immediately, effectively turning the seller into a lessee and the buyer into the new landlord. This transaction provides a substantial cash boost for your business while allowing it to continue operating from the same location.

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    VAT and Brexit

    Brexit has altered VAT and customs duty rules for businesses selling goods to the UK. Understanding these changes is crucial to maintain smooth operations in the UK market.

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