Artists Exemption (Income Tax and VAT Implications)
- Arts Council Bursaries when paid directly to individuals by the Arts Council.
- Residencies when paid directly to the individual by the Arts Council for the purposes of producing a qualifying work. (Income from residencies which relate to teaching art or facilitating other individuals to create works of art or similar type practices do not qualify for exemption.)
- Cnuas payments under the Aosdana Scheme.
- Payments from the sale of qualifying works abroad, which fall within the guidelines.
- Advance royalties.
Business Succession Planning
Interaction of CGT and CATThere is a requirement in both retirement relief and business asset relief for the assets to be held by the successor for 6 years, otherwise these reliefs may be subject to a clawback. It is also important to note that where both CGT and CAT apply on a transfer, a tax credit may be available for the CGT suffered against the CAT due. This is referred to as same event credit and is only available where the assets are held for two years by the successor from the date of gift. Stamp Duty A recipient of a gift may suffer stamp duty at market value of the assets. Stamp duty on business assets is generally applied at 7.5% whereas shares in a trading company would be subject to stamp duty at 1%. Conclusion Where there is a plan to allow a new generation take over a business it is important to consider the tax implications in advance. Retirement relief and business asset relief may result in value passing without a significant tax leakage. Now may be an opportune time to consider such a transfer. Many businesses which have had limited trade in the past 18 months may have a lower market valuation and it is always a fear that there may be changes to capital taxes in future budgets as the government try to ensure a strong exchequer take given the cost of covid reliefs. In Roberts Nathan we have experienced teams in both tax advisory and corporate finance advisory to help you with such business decisions. Please use the link to contact Brendan Murphy for any questions on any part of the above: https://www.robertsnathan.com/member/brendan-murphy/
Returning or Relocating to Ireland (Tax Implications)
- Split Year
- Special Assignee Relief Programme (SARP)
- Payroll Obligations
Updates to EWSS scheme
- Actual monthly turnover details for January to December 2019,
- Actual monthly turnover details for Jan to June 2021 and
- Monthly projections for July to December 2021.
How To Minimise Your Tax Liability As A Business Owner
Methods to reduce tax liabilities as a business owner
- Maintain systematic record
- Tax credit
- Finance capital expenses for tax exemptions
- Engage your spouse or any other family member
- Change your company's accounting reference date
- Preliminary tax
- Travel and subsistence
- Consider turning into a Limited Company
- Generate management accounts before the end of the year
RN Podcast: 2021 – What is in store for the Irish tax landscape in the year ahead
Cash flow benefit for companies importing stock from outside the EU (including UK/EU trade).
- provides for postponed accounting for VAT on imports from non-EU countries
- enables you to account for import VAT on your VAT return
- allows you to reclaim VAT at the same time as it is declared in a return. This is subject to normal rules on deductibility.
UK Businesses – Do you have the correct Irish VAT number?
|No, invalid VAT number for cross border transactions within the EU|