Mitigate Capital Gains Tax With EIS Investments

Paying CGT has a negative impact on your cash flow and may even change your decision as to whether or not you wish to sell the property at all.Let’s say you’re thinking about selling a property investment that is now valued at £100,000 more than the price you originally paid for it. This is how your CGT will be worked out:£100,000 capital gain (profit on selling a property)
-£11,000 CGT allowance
£89,000 capital gain subject to CGT
£24,920 28% CGT liability (assuming an individual is a higher rate taxpayer).
Basic rate taxpayers will pay 18% up to the higher rate tax band.Enterprise Investment Schemes (EIS) and tax reliefOne way to avoid giving almost 25% of the money you’ve made to HMRC is by investing in Enterprise Investment Scheme (EIS) investments, which will provide you with tax relief. The Enterprise Investment Scheme (EIS) is aimed at helping smaller trading companies raise finance by offering a range of tax reliefs to investors purchasing new shares in those companies.Of course there is some risk involved in EIS investing, but if you are using it to mitigate CGT rather than gain a return on investment it would make sense to choose something low risk, with a typical yield of about 1-2%, rather than opt for something higher risk in the hope of a higher return on investment.The real gain you’ll make is on the tax relief you can obtain, which is 30% of the investment that you make into the EIS. If you invested the entire £100,000 from the above example, then you can get tax relief of 30%.As a bonus, the payment of tax on a capital gain can be deferred where the gain is invested in shares of an EIS-qualifying company. The gain can arise from the disposal of any kind of asset, but the investment must be made within the period one year before or three years after the gain arose. You could then sell your EIS investment in stages to make use of your yearly capital gains tax allowance – sell just £10,000 in each year and you’ll stay under the £11,000 allowance.You can also claim income tax relief from the previous year if you have invested in EIS.To qualify for the EIS tax relief you must ensure that:The company is able to accept your investment
Shares must be full-risk ordinary shares, and may not be redeemable or carry preferential rights to the company’s assets in the event of a winding up
The shares may not be acquired using a loan made available on terms which would not have applied other than in connection with the acquisition of the shares in question
The shares must not be issued under any ‘reciprocal’ arrangements, where company owners agree to invest in each other’s companies in order to obtain tax relief
Income tax relief can only be claimed by individuals who are not ‘connected’ with the company (non directors/shareholders)
Companies must have fewer than 250 full-time employees (or their equivalents) at the time the shares are issued
Companies are not allowed to raise more than £5 million in total in any 12-month period from the venture capital schemes
The company to be invested in must carry out a trade, not an investment (shares, land, property development, hotels, guest houses, nursing or care homes)
You should speak to and clarify the above points with an IFA and make sure you are comfortable with the risks involved in any EIS you are considering.Practical steps you should now take to invest in EIS and get your tax reliefIt is one thing to understand the theory, but it is another to put it into practice. Follow these basic steps to implement this strategy:Identify an IFA to work with
Work with the IFA to identify the investment
Invest the capital gain into the EIS
Complete the relevant forms with the IFA to get the tax relief
Ensure that you complete the relevant sections on your self assessment EIS relief to claim the relief

Finding The Best Furniture For You: Domain Furniture and Mirrored Furniture

Those searching for home furnishings may wish to consider choosing pieces that have a distinct period feel to them, as this is an ideal way in which to ensure that one’s furniture will have its own original attractiveness, different from that seen in other homes. Regardless of one’s personal taste, the addition of mirrored furniture to a home is an excellent way in which to use the home’s space to its best advantage.Going Mod with Mirrored FurnitureCurrently experiencing an increase in popularity in the home interiors market, mirrored furniture is a great choice when one wishes to make his or her home truly unique. Such furniture is also an excellent way in which a feeling of spaciousness can be added to the room. Whether one chooses mirrored consoles or dressing tables, he or she will find that such items fit well into any room’s decor.In order to make certain that one’s home will still look modern even when vintage pieces are used, he or she should choose neutral, rather than bright colors. In this way a seamless look can be created through the blending of both old and new pieces.Distressed Furniture–Decorating Shabby ChicAnother popular trend in home decor is the look of shabby chic. Pieces that fit into this category have a worn and aged look and the colors and shapes are often reflective of the past. This result of this look is a welcoming and informal appearance that both the homeowner and his or her visitors will enjoy.The addition of regency furniture is a nice way in which this look can be updated, and since classic furniture never go out of style, there are many options from which one can choose when selecting these types of pieces.Incorporating furniture styles from various periods into a modern home is a great way to add a personal touch and a unique flair to any room in one’s home. If a person finds that he or she cannot afford new furniture or authentic antiques, contemporary reproductions are a great cost-effective alternative.Domain furniture is a popular retailer that has been in business since nineteen eighty-two. It is now at the top of the market, since it sells various styles in both commercial and personal. New, stylish designs in every price range can be found at both outlets and retail stores. You also have the option of choosing between simple and extravagant. You can even get personal designs made to suit your space and budget requirements. Whatever your needs, whether commercial or personal, Domain furniture offers something for you.Sun-Room FurnishingsSun rooms are common in the south, but are rapidly becoming more so everywhere else. Domain offers such a wide variety of styles, colors, and prices that each and every buyer is sure to find something appropriate to them. There are material options which include wrought iron, raw wood, panacea and timber. Wicker is also a popular choice in indoor/outdoor furniture. Along with the choice in material, the buyer has options on how, and where, to buy. Besides going to a retail store, there are outlets that offer domain furniture. If your tastes run further from stores, you can also go onto their website or order from a catalog. domain produces sunroom furniture that is durable, reliable, and beautiful. You are sure to find the perfect balance between functionality and art.ExclusiveIf you desire something more unique than you can easily get at a store, domain offers exclusive furniture. For some, the option of designing their own furniture outweighs the slightly higher price that goes with it. If space is an issue, you can find people to help you choose furniture that will fit perfectly inside the space you have available. Domain offers full service help along with the do-it-yourself way.

Health Supplements vs Pharmaceuticals

Medicine-whether in the form of health supplements or pharmaceuticals-is big business indeed. With profit margins that are nearly four times the average of any other business, the pharmaceutical industry enjoys a top position being amongst the most profitable businesses in the world.The nutraceutical industry is not far behind offering stiff competition to pharmaceutical counterparts. Research is booming and science-based studies have given successful impetus to the plant-based health supplement industry. Some of the more popular botanicals like as Echinacea, gingko biloba, ginseng, garlic, and St. John’s Wort are seeing sales that put them in the same league with many prescription drugs. In fact, so popular is the health supplement industry that pharmaceutical giants like Bayer, American Home Products, Johnson and Johnson and Boeheringer-Ingelheim have all begun to sell supplements!What is the Difference?There is not much of a difference between nutraceuticals and pharmaceuticals except for the way in which they are regulated in the United States although both are regulated by the U.S. Food and Drugs Administration. Major differences include:* Pharmaceuticals that are derived from plant proteins for vaccines and medical treatments are not the same as nutraceuticals. The major difference is that pharmaceuticals are designed specifically for medical use under a physician’s supervision, and are subject to Food And Drugs Administration approval.
Health supplements do not need medical supervision, nor Food And Drugs Administration approval.
* Pharmaceuticals need prescription from a certified doctor for purchase. The choice of a health supplements is up to the individual. Health supplements are sold without restrictions at health food stores, grocery stores, drug stores, national discount chains, mail-order and Internet.
* There are no strict regulating laws governing health supplements. Just about anyone can put together a health supplement, notify the Food And Drugs Administration , and put it in the market. In stark contrast, it takes anywhere between 8-12 years for a new drug to be approved by the Food And Drugs Administration . Pharmaceuticals undergo intense regulatory reviews by the Food And Drugs Administration .
* Because of stricter regulations, pharmaceuticals have greater evidence of efficacy and safety. Whereas health supplements are based on tradition with insufficient evidence of safety and efficacy. However, this is changing as new research builds up to support the health benefits of some of the accepted nutrients. Eg omega 3 fatty acids.
* Pharmaceuticals are patented. Herbs and health supplements are not patented and therefore the profits are limited with stiff competition from all kinds of health supplement manufacturers.
* Pharmaceuticals spend millions of dollars for research and paperwork for a new therapeutic claim of an established drug all to satisfy Food And Drugs Administration requirements. Food And Drugs Administration requirements for health supplements are not at all stringent apart from barring them from making any false health claims about their product and adding a disclaimer: “This statement has not been evaluated by the Food and Drug Administration. This product is not intended to diagnose, treat, cure or prevent any disease.”
* Pharmaceuticals come with various side effects. Known side effects are required to be disclosed on the label. While health supplements do not require a listing of side effects, there tends to be fewer cases of side effects associated with the use of health supplements.Complaining about the high cost of traditional medicine and side effects, many people are turning to alternative medicine in the form of health supplements. A report by the Hartman Group, a leading market research firm called, “The Wellness Trends in 2002″ found that Americans are beginning to place the family and good health above the daily routines of life. Among those interviewed many expressed frustration with U.S. healthcare system and wanted more control over their own health. The report said, “Dietary supplements … (allow) them a way of self-managing their own health … giving them a sense of empowerment,” the report states. This is an advantage over pharmaceuticals.According to the Nutrition Business Journal fast growth in the nutraceutical market is seen in weight-loss products.The demand for such products is growing as you consider the more than 120 million overweight Americans and 17 million diabetics who are looking for supplements that increase metabolism, suppress or satiate appetite, and control blood sugar. Such sectors in the health supplement industry have gained footage over pharmaceuticals.In America, 60% of the consumers take some kind of food supplement and 30 to 40% take herbal supplements. Health supplements are gaining such credibility that many physicians are recommending them to their patients before prescribing riskier pharmaceuticals. Of the health supplement users 95% are satisfied with supplements.In the meanwhile, research is still booming in both industries! Health supplement manufacturers continue to unveil groundbreaking products as new evidence supporting the health benefits of nutraceuticals emerges.

An Introduction to Automotive Credit Cards

Automotive credit cards exist for a variety of reasons, such as helping towards a new car, auto parts, or services. You may choose an automotive credit card for the reward program or because you like that manufacturer. In order to understand how these cards work, you need to know a little more about them. This introduction to automotive credit cards can help you make the right decision for the right card.The most important item to remember about the automotive rewards is that they can only help you towards the purchase of a car. While you may have 10,000 or more rewards points it will only help you towards the purchase. The rewards points are not actually a dollar amount. Most often you will receive a $1,000 to $3,000 discount on the car based on the amount of rewards points and the type of automotive credit card that you have. The companies also limit how you can use the rewards points. For instance they are only valid on certain models of cars, and generally do not include used vehicles. In order to find out what type of car is eligible for the discount you will want to speak with the credit card company’s rewards department. Another aspect of rewards points is that you have to buy a new or leased car.When choosing the proper credit card you will also want to be cautious about the interest rate and fees. As with any credit card you always want to check out the interest rate and fees that may apply. First of all, credit cards, unless they have a fixed rate, will change with the economy’s interest rates. This means you may start off with a great interest rate and find out later on they have raised it to 30%, which is the current maximum interest rate a credit card can have. Fees that may apply include annual fees, late fees, and redemption fees. If the card has an annual fee you will be required to pay that as long as you have the card. Most annual fees are between $45 and $90. Late fees are typically considered $30 charges when you are late in making a payment. Redemption fees may apply if you are trying to use the automotive credit card rewards towards certain things such as cars. In order to make the best use of a credit card, you need to be aware of the potential usage fees from using it and try to somewhat limit yourself in spending the money that you have available trough your credit line. By planning your spending activity, you will avoid incurring a debt you can’t handle.Most automotive credit cards are great for those who know the type of car they wish to purchase. If you are simply looking for a credit card, you might want to check out all the other credit cards; not just those that can give you rewards towards a new car. If you are interested in a new car then choosing an appropriate automotive credit card will help you to financially realize your dream car into reality. Source: