Key measures announced by the Chancellor in the Spring Budget 2024 are summarised below: Income tax rates: England, Wales & Northern Ireland (non-dividend income) 2024/25 2023/24 0% starting rate for savings only Up to £5,000 Up to £5,000 0% on … [Read more...]
A Guide to Budget 2021
Budget 2021 - Tax Rates & Allowances 2021/22 2020/2021 £ £ Income tax rates (non-dividend income) 0% lower rate tax – savings rate only Up to 5,000 Up to 5,000 20% basic rate tax 12,571 to 50,270 12,501 to 50,000 40% higher rate … [Read more...]
Making Tax Digital for VAT
Making Tax Digital for VAT Making Tax Digital (MTD) for VAT went live on 1 April 2019. VAT registered businesses with turnover above the VAT registration threshold of £85,000 are required to comply with the requirements of MTD for VAT from the start of their first VAT accounting … [Read more...]
Tax Free Earnings
Below is a list of tax free allowances that mean you can earn money without paying tax or even declaring it to the taxman. Trading Allowance You can earn income of £1,000 tax free, without even having to declare it to the taxman. If you earn more than £1,000, the allowance … [Read more...]
Salary v Dividend
A popular way for directors/shareholders of small companies to take money out of their company is to pay themselves a small salary and take the rest out in dividends. So for the next tax year (2019/20) what should the salary be set at to ensure a director pays the least amount of … [Read more...]
Expenses Landlords Can Deduct
Expenses Landlords Can Deduct Landlords must pay tax on any profit from their property rental business (although income from property of less than £1,000 a year can be ignored). In working out the profits, expenses are deducted from rental income. To ensure that the landlord … [Read more...]
Paying Family Members
Many small businesses, whether incorporated or not, are paying family members for working for the business. However, as a recent case shows, it is easy to make mistakes which can prove costly. The case in question, Nicholson v HMRC, concerned the payment of wages by a sole … [Read more...]
A Guide to Autumn Budget 2018
Philip Hammond presented the Budget on 29 October 2018. A summary of the main measures are: Personal Allowance & Basic Rate Tax From April 2019, the personal allowance will increase to £12,500 and the 20% basic rate tax band will increase to £50,000. Dividend … [Read more...]
Budget October 2018 – Tax Rates & Allowances
Budget October 2018 - Tax Rates & Allowances 2017/18 2018/19 2019/20 £ £ £ Income tax rates not including Scotland - (non-dividend income) As announced or unchanged 0% - starting rate for savings only - note … [Read more...]
A Guide to Autumn Budget 2017
Autumn Budget 2017 Philip Hammond presented the Autumn Budget on 22 November 2017 and set out a number of actions the government will take including more housebuilding. The main attention grabber was that first time buyers will not have to pay stamp duty on homes costing up to … [Read more...]