July 2021 Newsletter | Cylchlythyr Misol Gorffennaf 2021
Details of the fifth grant under the Self-Employment Income Support Scheme (SEISS) have been published. Applications will open from late July and close on 30 September 2021. Full details are available here
Beware of scam emails purporting to be from HMRC inviting you to apply for the final round of SEISS grants. Remember to check that the email address includes "@gov.uk" and if you are unsure, you are welcome to give us a call.
If you require a state pension forecast either visit https://www.gov.uk/check-state-pension or call 0800 731 0175 (0800 731 0453 am y llinell gymorth Gymraeg).
If your will was made many years ago it should be periodically reviewed. For very old wills, individuals may have appointed executors who are now unable or unwilling to act. Relatively simple changes such as the appointment of new executors can be made by a codicil to the will, which is much simpler than making a new will.
Ask Huw and Aled: I am considering starting a charity. Are there tax advantages available to a charity and to individuals who donate to a charity?
Under Charity Commission guidelines, the charity must have 'charitable purposes' for 'public benefit'. These may include contributing to education, the arts and to relieving poverty.
Most of the income and gains received by charities are exempt from Income Tax and Corporation Tax provided that the money is used for charitable purposes only. This exemption can be extended to Capital Gains Tax from the sale of buildings held by the charity, provided the proceeds are used for charitable purposes only.
Individuals can claim 25% tax relief on charitable donations under the Gift Aid scheme. If an individual leaves a charitable donation in their will, the amount donated is excluded from the individual's taxable estate, saving 40% Inheritance Tax on the donation. For example, a donation of £10,000 can save £4,000 of Inheritance Tax.
If an individual decides to leave at least 10% of their 'net estate' to charity, this can reduce the rate of Inheritance Tax on their whole taxable estate from 40% to 36%, under current tax rules.
If you are considering making large gifts to charity and are unsure of the inheritance tax consequences, please get in touch.
