5 April 2021 is only three weeks away, so we thought we would give you some ideas to save tax before the end of this tax year.
There are many ways to legally reduce your tax bill, whether you are an employee, company director, investor, self-employed or pensioner.
Here are just a few simple ideas for you to consider, boosting the amount of your income that you keep:
- Do you have an up-to-date Will that is Inheritance Tax efficient?
- Did you know if you run your own Limited Company you can take out life cover that the company pays for, without any taxable benefit for you?
- Do you give to charity? If so, make sure you donate through Gift Aid!
- Consider making a pension contribution, it is always tax efficient!
- Are you married? Does your spouse earn under their personal allowance? The Marriage allowance transfer will save you up to £250!
- Have you used up all of your ISA allowance? If not, wouldn’t now be a good time to consider it?
- If you own or are considering buying any buy-to-let properties, consider owning them with your spouse. This can give both an income tax saving as well as a Capital Gains Tax saving.
- Remember, when owning investments that pay dividends, everyone has a £2,000 tax free dividend allowance, consider owning investments in your spouse’s name.
If you want a more in-depth tax review, please do not hesitate to contact Holden Associates.