Completing a self-assessment tax return can be daunting, even for experienced taxpayers. As the January 31 deadline approaches, many individuals find themselves rushing to submit their returns, which often leads to common mistakes. Understanding these pitfalls and how to avoid them can save you from penalties and stress. Common Tax Return Mistakes 1. Not Realizing You… Continue reading Master Your Tax Return: Avoid These Key Mistakes
Category: Personal tax
Tax Efficient Director Salary and Dividends for the 2024/25 Tax Year
As we enter the 2024/25 tax year, understanding the most tax-efficient methods for extracting income is crucial for directors of limited companies in the UK. This article focuses on Tax Efficient Director Salary and Dividends 2024/25, outlining key tax rules and strategies that can help you optimize your financial outcomes while minimizing tax liabilities. Whether you’re… Continue reading Tax Efficient Director Salary and Dividends for the 2024/25 Tax Year
Tax Efficient Director Salary and Dividends for 2023/24
As of the 2023/24 tax year, there have been adjustments to the tax landscape for directors in the UK. Tax Efficient Director Salary and Dividends remains a crucial strategy to ensure that directors extract income while minimizing tax liabilities. In this article, we will explore key strategies for balancing salaries and dividends to remain within… Continue reading Tax Efficient Director Salary and Dividends for 2023/24
Gift Aid
If you give money to charity then you can obtain tax relief if you are a higher rate taxpayer and the donation was made to a registered charity in the EU (plus Norway, Iceland and Liechtenstein). You can also obtain relief for donations made to Community Amateur Sports Clubs (CASCs) that were registered with HMRC… Continue reading Gift Aid
Pension contributions tax savings
Pension contributions can be a great way to save tax. Disclaimer Decisions about whether or not to make pension contributions should normally be led by investment considerations and our clients generally use financial advisers to decide whether or not to contribute as the money will usually be locked away and there can be various risks… Continue reading Pension contributions tax savings
Tax efficient director salary and dividends 2022/23
THIS ARTICLE NEEDS TO BE UPDATED FOR THE NEW NIC THRESHOLDS ETC Compared to 2021/22, the personal allowance threshold will not change and will stay at £12,570 per year and the higher rate tax will also still start at £50,270. From 6 April 2022 the dividend tax rates will all increase by 1.25% : First… Continue reading Tax efficient director salary and dividends 2022/23
EMI Schemes (Enterprise Management Incentive)
EMI schemes (Enterprise Management Incentives) are tax advantaged schemes offered by H M Revenue & Customs to small and medium sized businesses (“SME”) for incentivising the SME’s employees. EMI schemes are share option schemes which fundamentally provide tax savings for both the employee and the SME whilst also providing the facility for the SME to incentivise… Continue reading EMI Schemes (Enterprise Management Incentive)
Overseas Workday Relief – OWR
Have you recently started to live and work in the UK but consider your “home” country to be elsewhere? If so, you are likely to be a UK resident but non-domiciled in the UK. If prior to becoming UK resident, you were also non-UK resident for a continuous period of 3 tax years, you are… Continue reading Overseas Workday Relief – OWR