END OF YEAR TAX PLANNING TIPS by Ashleys Chartered Accountants in Hitchin
2010/11 Tax Year is nearly over – here are some planning points you may wish to consider courtesy of Ashleys Chartered Accountants in Wilbury Way in Hitchin
o Company Car Rules – Are being completely overhauled – don’t suffer a penalty by doing nothing!
o Dividend planning – the Inland Revenue are getting hot on paperwork being in place and you may find it beneficial to vote dividends on the 6th rather than 5th of April
o Maximise Capital Allowance Claims – again the rules are changing so be sure to consider sizeable purchases prior to the Tax Year End.
o Pension Planning – is again something into its own as a tax saving mechanism – if in doubt give Ashleys a ring on 01462 422555
o How much of your gain are you getting? There is a big difference between the rates of 10 and 28% - make sure you will pay the lower one if possible – also consider splitting assets between husband and wife.
o Inheritance Tax? - Have you considered using Trusts or other planning services. For a FREE consultation ring Ashleys.
o Income Tax – Higher Rates 40/50% - For those not already operating a Limited Company have you considered this as a tax saving option?
o Get the Accounts right, get the Tax right. This is vital, especailly when paying end of year bonuses.
o Enterprise Investment Schemes – Are still available as a major tax saving scheme – Investments up to £500,000 qualify for Income Tax Relief at 20% -
or a saving of £100,000!
o Utlise your Inheritance Gift Allowances
£3,000 per annum
£5,000 for a childs marriage
£250 to anyone and as many as you like!
o Careful Investment could generate a substantial Tax Free Fund
Consider ISAs – Junior ISAs are becoming available in Autumn 2011
These are just a few tax saving tips – if you would like to make use of Taxability which goes through every aspect of tax and how it affects you give Ashleys Accountants a call 01462 422555