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Debt relief |
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Debt reliefAny arrangement intended to reduce the burden of debt on a country, usually including forgiveness of part or all of what is owed to creditors who may include private banks and other entities, government, or international financial institutions.Debt reliefReducing the principal and/or interest payments on Less developed country loans.Debt relief Similar MatchesMortgage interest relief at sourceMortgage interest relief at sourceThe mechanism by which income tax relief was extended to a borrower on the interest paid on the first £30,000 of a mortgage on their main home.The system was known as MIRAS, and was operated by most building societies, banks and insurance companies, who would reduce the amount of interest eligible borrowers had to pay every month, and then claim the tax relief back from the Inland Revenue.The amount of relief available on MIRAS was gradually scaled down to 10% and ended altogether from 6th April 2000. Life assurance premium reliefLife assurance premium reliefA tax relief of 15% on the premiums paid into long-term insurance policies. Applies only to policies lasting for more than 10 years and issued before March 13, 1984. Tax reliefTax reliefAmounts which you can deduct from your annual income to reduce the amount on which you have to pay tax. For instance, if your income before deduction of reliefs is £20,000, and you made pension contributions in the year of £1,000, you could deduct £1,000 from £20,000 to produce a total income of £19,000. That is because pension contributions are payments on which the Inland Revenue allows you to get relief.From total income, you would also deduct any allowances, including your personal allowance of £4,615 in the year 2003-2004 for people under 65, to produce your taxable income. Holdover reliefHoldover reliefThe practice of deferring capital gains tax liability on a gift by transferring the liability to the recipient. When the recipient eventually sells the gift, the full CGT bill will normally fall due then, and the recipient will have to pay it, not the donor.To put this in context, remember that normally when a person makes a gift of, say, shares to anyone other than his/her spouse, the gift is deemed to have been made at fair market value and will be liable to capital gains tax if a gain has been made. This can be unattractive to the donor because he/she will not actually have made a gain, and won't have received any money at all if the asset was given freely. Holdover relief puts the tax burden on the recipient rather than the donor, and postpones the time when it has to be paid. Tax reliefTax reliefThe government allows an artificially low tax rate to encourage purchases or savings such as with pensions and ISA's. Further Suggestionsagricultural property relieftaper relief double taxation relief retirement relief Import relief business property relief rollover relief |
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