Thank you Vince54, and, looking deeper into the NEST and Pension Regulator's websites, opting-out does seem more cumbersome of a process that I'd first imagined.
I have a client company whose sole activity is the provision of children’s sports activities during the Easter break (3 weeks) and the summer holidays (7 weeks). Each year, about 50 or more “assistants” are employed (no more that about twenty in any one week) – a mix of older schoolchildren, university students, and graduates. Some are “regulars”, though most employees change as the years go by.
A handful of employees will undoubtedly be "Eligible Jobholders", but of these, some or even all of them may work for one or two weeks only for my client in the year - and be gone before they receive their "Welcome Pack" from the pension provider to enable them to opt out...
Do readers have any slick ideas about opting-out under these sorts of circumstances?
Yesterday, Nigel Sycamore wrote "even if you were to 'force' everyone to 'opt out' - which I do not condone - you would still have had to set everything up and deduct the first contribution to enrol them in the first place!".
Is it true that, even when an eligible employee is going to opt-out upon commencement of employment, it is mandatory to deduct a contribution from the first week's/month's pay? If so, would it be refundible?
Sorry about this, but I gave the wrong information. The first tenant moved out in June 2006, and my client didn't return to live at the property till September.
The property should be on the market for sale by the end of October, and my client will live there till the property is sold, when he will return to live with his partner and their children.
I assume that the final short period of occupation would not therefore qualify for the three additional exempt years (CG65051 - "quality of occupation"). Do you concur?
Regarding taper relief on enhancement expenditure, do you mean that this should be added to the initial cost at October 1998 and 30% taper relief applied to the resultant net gain, thereby effectively treating the cost of the freehold as having been incurred when the leasehold was aquired 8 years ago?
Taper Relief on sale of property Many thanks for the comments so far. I assume that 30% taper relief will apply to the apportioned taxable gain after lettings relief, if the property has been owned for 8 complete years.
The freehold of the property (a two-bedroomed flat) was purchased in 2002/03. Can readers suggest how this additional cost would feature in the CGT computation, when only, say, 10% taper relief would apply?
My answers
"Half Bad"
The article in The Guardian also mentions the name of the book...
Slick Opt-out option?
Thank you Vince54, and, looking deeper into the NEST and Pension Regulator's websites, opting-out does seem more cumbersome of a process that I'd first imagined.
I have a client company whose sole activity is the provision of children’s sports activities during the Easter break (3 weeks) and the summer holidays (7 weeks). Each year, about 50 or more “assistants” are employed (no more that about twenty in any one week) – a mix of older schoolchildren, university students, and graduates. Some are “regulars”, though most employees change as the years go by.
A handful of employees will undoubtedly be "Eligible Jobholders", but of these, some or even all of them may work for one or two weeks only for my client in the year - and be gone before they receive their "Welcome Pack" from the pension provider to enable them to opt out...
Do readers have any slick ideas about opting-out under these sorts of circumstances?
Opting-out Option
Yesterday, Nigel Sycamore wrote "even if you were to 'force' everyone to 'opt out' - which I do not condone - you would still have had to set everything up and deduct the first contribution to enrol them in the first place!".
Is it true that, even when an eligible employee is going to opt-out upon commencement of employment, it is mandatory to deduct a contribution from the first week's/month's pay? If so, would it be refundible?
Re CG Manual
Alan
Sorry about this, but I gave the wrong information. The first tenant moved out in June 2006, and my client didn't return to live at the property till September.
The property should be on the market for sale by the end of October, and my client will live there till the property is sold, when he will return to live with his partner and their children.
I assume that the final short period of occupation would not therefore qualify for the three additional exempt years (CG65051 - "quality of occupation"). Do you concur?
Regarding taper relief on enhancement expenditure, do you mean that this should be added to the initial cost at October 1998 and 30% taper relief applied to the resultant net gain, thereby effectively treating the cost of the freehold as having been incurred when the leasehold was aquired 8 years ago?
Taper Relief on sale of property
Many thanks for the comments so far. I assume that 30% taper relief will apply to the apportioned taxable gain after lettings relief, if the property has been owned for 8 complete years.
The freehold of the property (a two-bedroomed flat) was purchased in 2002/03. Can readers suggest how this additional cost would feature in the CGT computation, when only, say, 10% taper relief would apply?