Lentells Limited

CHARD 01460 64441 | SEATON 01297 20584 | TAUNTON 01823 286274 | PAYROLL 01460 68700
chard@lentells.co.uk | seaton@lentells.co.uk | taunton@lentells.co.uk | payroll@lentells.co.uk

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Thursday, 07 July 2022 12:27

Tax Year End Checklist

If your New Year resolution is to get to grips with your finances, now is a great time to review your position before 5 April, to see if you have utilised all the tax reliefs and allowances available to you.

Here are some key points to consider;

  • Have you used your full tax-free ISA allowance?
  • £20,000 for individuals and £9,000 for juniors in 2021/22

Have you considered pension contributions?

  • The government adds basic rate (currently 20%) tax relief on contributions up to £40,000 plus additional tax savings are available for higher rate taxpayers

You can even pay into a plan for a non-taxpayer (e.g. non-working spouse or child)

Have you made use of all allowances and considered child benefit?

  • Higher earners could pay pension contributions to reduce taxable income and retain the full tax-free personal allowance or child benefit

Married couples/civil partners can potentially transfer up to £1,270 of personal allowance to their spouse potentially saving tax of £254

Employees working from home, even for as little as one day in 2021/22 can claim tax relief on £312 of household costs

If you are a business owner, could you take profits before 5 April as pension contributions or dividends?

  • Directors taking dividends instead of salary will reduce NIC costs. The first £2,000 of dividends in 2022/22 are tax-free

This tax-exempt amount will continue into 2022/23; however, from 5 April 2022 there is a 1.25% increase in the rate payable on taxable dividends to reflect the new NIC charge 

Tax treatment depends on your individual circumstances. If you would like specific advice regarding any aspect of tax planning please contact your local Lentells office;
Chard; This email address is being protected from spambots. You need JavaScript enabled to view it., 01460 64441
Seaton; This email address is being protected from spambots. You need JavaScript enabled to view it., 01297 20584
Taunton; This email address is being protected from spambots. You need JavaScript enabled to view it., 01823 286274

Last modified on Tuesday, 04 October 2022 11:45

        

 
 

Chard Office

17-18 Leach Road 
Chard Business Park 
Chard
Somerset 
TA20 1FA

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01460 64441

Seaton Office

Kingsway
50 Fore Street
Seaton
Devon
EX12 2AD

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01297 20584

Taunton Office

Ash House, Cook Way
Bindon Road
Taunton
Somerset
TA2 6BJ

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01823 286274