28/05/2009 CURTIS PARKINSON OFFER TAX ADVICE TO MP'S
As the Parliamentary Expenses controversy continues, Nottingham Solicitors Curtis Parkinson have stepped in to offer some sound legal advice to MPs in Nottingham.
Curtis Parkinson Solicitors not only offer legal advice on tax planning, but specialise in private and commercial work, including buying and selling property, family law and family mediation, employment, debt recovery, court disputes, professional negligence, personal injury, equine law plus wills, probate, and powers of attorney.
It recently came to light that Cabinet Minister, Hazel Blears has avoided around £18,000 in Capital Gains Tax, whilst “flipping” second homes (although belatedly she has re-paid around £13,000 to the Inland Revenue).
Blears informed the Commons that it was her second home and claimed expenses as such. When she sold her second home, she should have paid 40% Capital Gains Tax (‘CGT’), the rate at that time due on properties not classified as a main residence. She advised the HM Revenue & Customs that it was her main residence though and paid no tax – appearing at the time to be undecided on which one it was that related to her expenses.
Ken Curtis, Wills & Probate Partner, at Curtis Parkinson Solicitors, commented "We are all liable for Capital Gains Tax on a second property. All of us are subject to this tax, including politicians. The good news for them, is that like the rest of us, they are entitled to Capital Gains Tax allowances that can reduce the CGT on property."
He continues "Should any local MP or member of the public require clarification on CGT on property, they should feel free to contact me. That said, I'm not expecting a call from Ken Clarke MP, the former Chancellor of the Exchequer!"
Ken Curtis adds "Apparently Hazel Blears may be acting as the final arbiter on the Sharps Hill Development Petition in Edwalton, which falls within Ken Clarke's constituency of Rushcliffe. Hopefully Ken Clarke will have advised Ms Blears that the badger community, which has already been moved out of the area to avoid the bulldozers if the development proceeds, are not liable for Capital Gains Tax on their new ‘second’ homes. Unfortunately, they won’t be able to claim for expenses either!" That said, we hope that Hazel Blears will make a fully informed decision on the development and take account of all views, including the locals.