A few tips before new tax year

If you are like me and have failed miserably with your New Year resolutions, then fear not.

There is still time to take action ahead of the new tax year starting on April 6.

Here are some ideas you might want to consider:

Spouses or Civil Partners – Have both of you used your personal allowances or is one of you a higher rate tax payer?

You might want to consider gifting income producing assets such as shares or property to the lower paid spouse. Alternatively, if you are in business, you might want to employ your spouse and pay them a commercially justifiable salary for the employment duties they perform.

Pension Contributions – There is still time to make a pension contribution before April 5 and secure some income tax relief.

Even if you don’t have any UK earnings it may be possible to contribute up to £3600 a year (gross) into a scheme.

Changes for Residential Property Tax – It might be worth considering bringing residential property transactions forward due to changes in some tax-free exemption periods, and there is a new reporting requirement on the sale of all UK residential properties too.

Every new tax year brings changes to legislation and as advisors we ensure our clients are fully informed.

Another example coming in April is around Electric Company Cars which has the potential to turn previous wisdom on its head.

If you’d like to know more, or your current advisor hasn’t discussed these changes with you, call 01896 451 745 or email me directly: h.burt@ frenchduncan.co.uk.

We’d be happy to help.

Written by Hazel Burt, partner & head of personal tax French Duncan – the people for you.