12 Quick New Year Tax Tips

Posted by siteadmin on Tuesday 22nd of March 2016.

  1. Don’t waste your (or your partner’s) £11,000 personal allowance.
  2. Don’t forget the new personal savings allowance, reducing tax on interest.
  3. Think about how the new dividend allowance will affect you – for better or worse.
  4. Don’t ignore National Insurance contributions – they are really a tax at up to 25.8%.
  5. Think marginal tax rates – the tax system creates 60% (and higher) marginal rates.
  6. The dividend and savings changes warrant a review of who owns which investments.
  7. ISAs should normally be your first port of call for investments and then deposits.
  8. Check that you understand all the future tax changes before investing in buy-to-let.
  9. Trusts can save inheritance tax, but suffer the highest rates of CGT and income tax.
  10. File your tax return on time to avoid penalties and the taxman’s attention.
  11. Never let the tax tail wag the investment dog.
  12. Don’t assume HMRC won’t find out: automatic information exchange is spreading.