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Spanish Property Capital Gains

11-Apr-08

Are you one of the thousands of British property owners who made a capital gain on a property you sold in Spain?

The rules changed last year, but before this change many who sold their Spanish homes/property could have paid tax at a whopping 35% tax rate, compared to the Spanish flat tax rate of 15%.

According to Spanish lawyers Costa, Alvarez Manglano & Associates this increased tax on foreign non-residents is in contravention of the European Community Treaty.

I have provided a link to their site, but to know if you qualify they have provided a bullet point guide:

Do you qualify?

To make a claim you must meet the following criteria:

You sold a Spanish property between May 2004 and December 31st 2006.
You were NOT a fiscal resident in Spain when you sold it.
You paid the Capital Gain Tax to the Spanish Authorities.
You sold your Spanish property as an individual; not as a company.
You have, or can obtain, a copy of the Spanish Tax Form “Modelo 212” you completed when you sold the property.

So if you think you may be affected act now, after all the Spanish authority could be holding money that is yours!

 

Open Golf bonanza for Birkdale residents

10-Apr-08

The Open Golf Championship comes to Royal Birkdale this summer, and with it the chance for some to rent out their homes in what is always a lucrative opportunity.

For those thinking about doing this ‘Don’t forget about the taxman’, because he will surely not forget about you!

That’s right, renting out your home has tax implications, my recommendation, take professional advice, don’t fall foul of the taxman and his fines and penalty regime.

 

General update

09-Apr-08

Many of you will have noticed that what was once a regularly updating blog has since March become less regular, this is not because I have got bored, nor because I have run out of things to say, far from it!

We have at Holden Associates been very busy, and continue to be so. We are still in the middle of our office move, I am sure the painting of the severn bridge is quicker and easier than moving offices, we have also been very busy this year in taking on many new clients and settling them in and on top of all this we have been busy increasing our service offerings and ensuring our service levels remain high.

So all in all, we are busy, but fear not, I intend to get back to the blog shortly, and with ‘gusto’, I will be introducing a couple of guest blogger’s, who will blog about their particular specialist field, all with the SME in mind.

So please bear with me, ‘I will be back’.

Companies Act 2006 - Update 8

09-Apr-08

We have today updated our website for our latest Client Briefing, number 7, with all the latest on the implementation of the new Companies Act 2006.

This latest update covers the changes that came into effect on 6 April 2008, such as the shortening of filing periods for Limited Company accounts for private companies from 10 months to 9 months, increases in fines for late filing and the removal of the need for a private company to have a company secretary.

Our guides are designed to be an easy read and we would therefore urge anyone who runs a Limited Company to read them as the new Act does affect you!

 

Budget 2008

13-Mar-08

Yesterday, Alistair Darling, the Chancellor, delivered his first Budget. We have now loaded our budget report onto our servers for all our clients to view.

Our report highlights the main changes that will impact on you and your business and is written in plain English.

Should you have any questions on the budget please do not hesitate to contact us.

 

Companies Act 2006 - Update 7

05-Mar-08

We have today updated our website for our latest Client Briefing, number 7, with all the latest on the implementation of the new Companies Act 2006.

Although the target date for the Act to be in full force is October 2009, many parts of the Act are in fact being phased in between now and then, and unlike the 1985 Companies Act, the 2006 Act allows government to set out the detail of the legislation contained in the Act by means of Regulations. It is some of these regulations that this client fact sheet covers.

Our guides are designed to be an easy read and we would therefore urge anyone who runs a Limited Company to read them as the new Act does affect you!

 

Budget 2008

27-Feb-08

We now have only two weeks to go until Alistair Darling, the Chancellor of the Exchequer, will deliver his first budget report on Wednesday 12 March 2008.

It will certainly be an interesting first budget report, here we have a Chancellor who has thus far shown he does not understand business nor taxation for that matter, he has already had to climb down on what can only be described as rushed out and ill conceived tax policy as a result of pressure from the wider business community, and to further add to his woes we have a less than upbeat economic outlook. 

We will of course upload our Budget Report 2008 onto our budget page within 24 hours of his speech.

 

How to find more business?

26-Feb-08

This has to be the one thing every small business owner has in common, they want more business, they need more business, they can handle more business, just how do they go about finding  it?

Well, if this is you and your asking yourself how do you find it then you are half way there, at least you realise you have to go looking for business, it won’t come and bang your door down!

It’s quite overwhelming the number of places you need to be to be seen, do you have a website? So many more people are search the web for business. Having a website is not in itself the answer, once you have the website up does anyone know it exists? Is your website on your letterhead, business cards etc? Which site have you got it listed on?

Traditional advertising, although it doesn’t work for everyone it still does work. Yellow Pages, Thompson Local, Local Newspapers both paid for and free ones, are you listed in any of these places?

Networking events, and that does not mean a Friday night down the pub with your mates, organised events of which there are many now throughout the country and world. These events can also serve more than standing there asking for a referral, it is a place to meet other small business owners like yourself and share experiences. It also sometimes helps to get out and meet other people.

Marketing, what marketing activities do you undertake, and I don’t mean an add in the local paper, have you used a telemarketing company, no why not?

The thing to remember when you are looking for more business is that you have to actually go and look for it, seek it out, there are no short cuts, and very few of us have businesses that operate in niche sectors where the work does come to you.

If you don’t have a big budget there is much you can do cheaply yourself, great some flyers printed and go out one nice day and put them through letter boxes, write letters to potential customers introducing yourself, why not what have you to loose? Keep an eye on the local press and when a local business is in there about an achievement, write to them, congratulate them, introduce yourself and your business and let them know you will be phoning on a set day and ask them if they would take time out of their busy schedule to take your call.

Depending on what your business is, you can give seminars, run them for free, but run them with two or more others who will compliment your business, for example, Estate Agents, Surveyors, HIPS providers and Mortgage Brokers.

There may be tougher times ahead in the UK economy but that doesn’t mean you have to sit there and wait for it to affect you, quite the opposite in fact, small businesses have great advantages over their bigger rivals, it can move quicker and do it cheaper!

Take some time out, sit down and think about where your marketing is going, have you got a plan in place, shouldn’t you have one?    

 

Are you a landlord, do you receive rental income?

25-Feb-08

HMRC have now started to write to people who own UK property that they do not appear to live in, and who are not declaring any rental income.

If this is you and you have recently received a letter from HMRC I would urge you to not ignore it.

If you have not received a letter, and you are not declaring rental income that you are in receipt of, now would be a good time to come clean and seek professional advice, not all the income you receive will be taxable, there are expenses that can be taken into account when calculating your rental profits.

Remember, HMRC know where you don’t live.

 

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Do accountants do enough for their clients?

23-Feb-08

I know this is a strange posting for me to make, but it is prompted by a recent article by Kristen Fischer on Freelance Switch.

Kirsten covers the basics in this posting, such as sort your receipts, compile forms and believe it or not get an accountant.

So this got me thinking, do accountants do enough to help their clients, due to the numbers of clients many accountants have I fear the honest answer is no.

So what can we accountants do to help? Well at Holden Associates we provide, free of charge, online accounting software which we tailor to your business and this deals with giving you a set way of recording everything, it also allows for being paperless with the ability to scan invoices in.

Is this enough though? I think not, one of the comments on Kristen’s posting mentions:

it will be a huge advantage to you to be working with the accountant who truly understands the idiosyncrasies of YOUR business. I’m so pleased I found an accountant who specializes in “creative types” and focuses his efforts on serving the specific tax/accounting needs of such individuals.

This is true, it does make life easier if you have an accountant who can relate to what you do and how your industry works.

What else can your accountant do, well sometimes we need to communicate better, we know what we are doing and talking about and sometimes we need to remember clients have not had our training and years of experience of different business and industry types.

We also need to do more to ’show our worth’, there are many small businesses, early years businesses and bootstrapping businesses out there who all say the same thing, an accountant is expensive, I’m not big enough yet but maybe next year and other similar statements.

Yes many accountants have a minimum charge, we are a business too, but have you ever considered what it is costing you by not hiring a professionally trained, qualified and experienced accountant to guide you through all the red tape and complexity of the tax system. We may even save you money, a casual conversation I had with a client last week while they were doing the VAT saved them c.£40,000 in VAT that quarter, due to their lack of knowledge surrounding the administration of the ‘cash accounting’ VAT system.

Although such savings are not common place there are still many smaller saving that we can help business owners make, and not just at tax time.

 

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