Age Allowance is a tax relief designed to benefit senior citizens, allowing them to retain a greater portion of their income by providing a higher personal allowance as they reach a certain age.
An inheritance tax relief available on the transfer of agricultural property under specified conditions, with relief rates at 50% or 100% depending on possession status and leasing history.
A capital allowance introduced in April 2008 that enables businesses to offset 100% of their capital expenditure in any one year against corporation tax, up to a specified limit. The allowance is available to businesses of any size or legal form and cannot be claimed on non-commercial motor vehicles.
Business Property Relief (BPR) is a form of inheritance tax relief available on certain types of business property, designed to protect family businesses from the burden of inheritance tax upon the death of an owner.
Capital allowances refer to allowances against UK income tax or corporation tax available to businesses, sole traders, partnerships, or limited companies that have capital expenditures on plant and machinery used in the business.
Deductions at Source, also known as withholding tax, involve a method of tax collection where a portion of income is deducted at the time of payment by the payer to ensure timely and efficient tax collection.
A Double Taxation Agreement (DTA) is an agreement between two countries aimed at preventing the same income from being taxed twice. These agreements offer various forms of double taxation relief to companies or individuals who are subject to tax in both countries.
The Enterprise Investment Scheme (EIS) is a UK government initiative designed to help smaller, higher-risk companies raise finance by offering tax relief to investors who purchase new shares in those companies.
An investment scheme in the UK that replaced the Business Expansion Scheme (BES) on 1 January 1994. It helps small higher-risk unlisted trading companies raise capital by offering tax relief to investors.
An approved share option scheme designed to help small high-risk unlisted companies attract and retain key employees.
Entrepreneurs' Relief (ER) is a tax relief scheme introduced on April 6, 2008, in the UK, offering a reduced rate of Capital Gains Tax (CGT) on disposals of qualifying business assets, effectively encouraging entrepreneurial activities.
The Foreign Tax Credit (FTC) is a credit allowed against U.S. income taxes for foreign taxes paid on income earned overseas. It helps to mitigate the double taxation of income that is taxable both in the U.S. and by a foreign country.
Free depreciation is a method of granting tax relief to organizations by allowing them to charge the cost of fixed assets against taxable profits in whatever proportions and over whatever period they choose. This provides considerable flexibility for businesses in managing their cash flow and tax liabilities.
Domestic accommodation available for letting for at least 140 days each year and actually let for at least 70 days. Each letting during a seven-month period of the year must also be for less than 31 days. When this arithmetical definition is satisfied, the income arising is treated as if it were trading income. Loss relief is available, pension contributions can be made on the basis of the letting income, and the income qualifies as earned income.
Gift Aid is a UK tax incentive system that allows individuals and companies to donate money to charities and for the charities to reclaim the basic rate tax from the government on the donation's value, increasing the money going to the charity.
Group relief is a tax mechanism allowing companies within a 75% ownership group to transfer qualifying losses to other group companies, thus optimizing their overall tax position. From April 1, 2000, group members no longer have to be resident in the UK to qualify for this relief.
The 2008 Income Tax Rebate Plan was a significant part of the $168 billion economic stimulus bill proposed by President George W. Bush. It provided tax relief to individuals and couples, raised loan limits for housing agencies, and offered incentive deductions for businesses.
Quick-succession relief is designed to prevent the severe double taxation of inheritance tax on the same property within a short timeline — specifically when two related individuals pass away within five years of each other.
The Rent-a-Room Scheme is a UK tax relief initiative that allows individuals to earn up to £4,250 tax-free from letting furnished accommodation in their main or only residence.
A repayment claim is a request made by taxpayers to recover overpaid taxes for a fiscal year. Such claims are necessary when basic rate taxes are deducted at source from income without considering personal allowances.
A person who makes a series of significant financial gifts to a charity, impacting the tax treatment of transactions between the donor and the charity.
A tax allowance is a threshold within the tax code that partially or completely exempts certain amounts of income, spending, or investment from taxation. This allowance can reduce the amount of tax that must be paid.
Tax relief is a reduction in the amount of tax that an individual or corporation owes to the government, typically through various statutory provisions. In the UK, tax relief can be applied to income tax, capital gains tax, and inheritance tax through different mechanisms such as allowances, exemptions, and credits.
An agreement between two countries that specifies how income, profits, or gains are taxed to prevent double taxation and provide tax relief.
Thin capitalization refers to an arrangement where a company is financed through a high level of debt compared to equity, typically involving intercompany loans within a multinational entity. This is often structured to gain tax advantages by exploiting interest payment deductions.
Unilateral relief is a measure taken by the UK authorities to provide relief against double taxation for taxes paid in a country with which the UK does not have a double-taxation agreement.
A Venture Capital Trust (VCT) is an investment vehicle in the United Kingdom designed to provide capital to small, expanding companies and give investors tax benefits.
The Writing-Down Allowance (WDA) is a form of tax relief that allows businesses to depreciate certain types of assets to reduce taxable profits.
