MolaahMatters
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I wasn't dealing with that side of things but a good question re ownership cert. Know the tractor tax has been paid on it.If probate was completed last year, contact the executor and let the executor contact the solicitor (if any) they used. Why wasn't registration, tax & insurance taken care of at the time? If it's being used or if it is stolen I'd suspect it's not insured.
It's not on the road at all these days. When it was the policy was in the "Reps of the late.."Does listing a tractor on the farm/house insurance cover it for use on a public road? I'm sure it's fine on private property, but not otherwise I suspect. I'm not an expert on these matters, but better safe than sorry.
Not sure if it's applicable in this situation but would VAT not have to be applied to the sale/gifting of the tractor given that its part of the businessAssuming that's true, I'm wondering if there are any implications on the farm accounts / mums side. For the avoidance of doubt sole trader set up (farm in mums name now).
Come on! Only a tiny percentage of farmers - pretty much exclusively a small subset of those running other off-farm businesses - are VAT registered and need to account for VAT.Not sure if it's applicable in this situation but would VAT not have to be applied to the sale/gifting of the tractor given that its part of the business
Wasnt VAT registered so VAT was paid when it was bought first. Good point though.Not sure if it's applicable in this situation but would VAT not have to be applied to the sale/gifting of the tractor given that its part of the business
Only partly true. She inherits it at open market value from her late husband, with no tax implications. If she continues the farming operation, it will be a commencement of trade, and if or when she later sells the tractor she will have to include a balancing charge or balancing allowance on any marginal gain or loss compared to the open market value on acquisition.If the tractor is a business asset, the sale would have to be included in the business accounts and included in the income tax calculation. If it's simply an asset that was willed to her, she can sell it with no tax consequences.
I've just seen this now,The farm is now leased and has been for a while.
Tractor now needs to be sold.
While the bigger (and more immediate) stuff was covered off with the accountant at the time e.g. sale of animals, leasing of the farm etc, the tractor wasn't. (We'll square whatever we do here off with them but curious is there is an angle we've missed.)
Only partly true. She inherits it at open market value from her late husband, with no tax implications. If she continues the farming operation, it will be a commencement of trade, and if or when she later sells the tractor she will have to include a balancing charge or balancing allowance on any marginal gain or loss compared to the open market value on acquisition.
Are you sure the tractor wasn't factored in for income tax purposes at the time of your Dad's death?
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