Top 5 end of tax year tips

My top 5 end of year tips listed below are just some of the things to think about as the tax year 2017/18 comes to an end. I guess the most important thing to think about is expenses and I’ve listed some of the main expenses that you might not have thought about below:

1.Expenses

If you have your own business and have lined up your year end to the tax year, think about anything you might need to buy. It might be useful to put it in this tax year to reduce your profits for the current tax year. Some useful expenses to think about apart from the obvious are listed below. You can download a list of expenses that are especially useful for bloggers here: Accounting for bloggers

2. Pensions

Putting money into a pension scheme can give you for tax reliefs if you are a basic, higher or additional rate tax payer. If you are a basic rate tax payer, then for every £80,you put in the government top it by £20. For higher and additional to get to the same £100, they only need to pay £60 and £55. More can be found I the following links

https://www.which.co.uk/money/pensions-and-retirement/personal-pensions/guides/contributing-to-a-private-pension-explained/tax-relief-on-pension-contributions-explained

https://www.pensionsadvisoryservice.org.uk/about-pensions/saving-into-a-pension/pensions-and-tax/tax-relief-and-contributions

https://www.gov.uk/tax-on-your-private-pension/pension-tax-relief

3. Donation to a registered charity

In the same way as pensions above, giving to your favourite charity will also give you tax relief for basic, higher or additional rate tax payer if you do it through your payroll. There is also gift aid available where the charity receives an extra 25p for every £1 you donate.

4. ISAs

ISA allowance for this tax year is £20,000. This is for both cash or shares or a mixture of the two. Anything in an ISA doesn’t get taxed.

5. Marriage allowance

Finally, don’t forget to use your marriage allowance. You can read more about it here but basically if your partner earns less than their personal allowance, they can transfer part of their personal allowance to you.

As usual, if you would like any further details on this or any other accountancy matters, please follow this link:

In the meantime, here is a download for next quarters tax dates:  Tax Downloads 2018 Q2